That's a really interesting angle! I did something similar when my father moved in with us. We were able to deduct a portion of our utilities and even some modifications to the house as medical expenses. But I think you need documentation from a doctor recommending the living arrangement for medical purposes.

This is really helpful information, thank you! If I understand correctly, I would calculate how long I used it as a primary residence within the 5 years before selling, divide that by 2 years, and multiply by $250,000? In my case, I hadn't lived there personally for about 6 years before selling, so would that mean I get zero exclusion under this calculation?

Since you hadn't lived in the home as your primary residence during the 5-year period before the sale, you're right that the first part of the calculation would be zero. However, there's still potentially the second part - the time between the qualifying event (your uncle's death) and the sale. If the sale was primarily due to your uncle's passing, and you sold within a reasonable time after that event (which sounds like you did since it took about a year to sell), you might still qualify for some level of partial exclusion based on that timing. I'd strongly recommend consulting with a tax professional who can review all the specific dates and circumstances, as the calculations can get quite complex and the IRS rules have some nuances that might work in your favor.

Thanks for this! Do you know how often the cash back percentages change? Should I wait until closer to the filing deadline to see if the rates go up?

The cash back percentages typically change every 2-4 weeks, sometimes more frequently during peak tax season. They usually increase as we get closer to April 15th, but there's no guarantee. Last year the highest rates were actually in mid-March, then they dropped slightly in April. If you don't need to file immediately, checking back every week or so might help you catch a better rate. Just don't cut it too close to the deadline in case of technical issues.

This worked for me! Found a coupon for 20% off and it stacked with the Rakuten cash back. Ended up paying like $79 for Premium instead of $119, then got about $12 back through Rakuten. Every bit helps when you're paying taxes!

Thanks for mentioning this! I haven't received any W-2G forms yet, but I did have a couple of bigger wins that might have triggered reporting. Would the casino have given those to me right away when I won, or would they mail them later? Also, do you know what the income limits are for my parents to claim me as a dependent? I'm a full-time student.

Casinos typically mail W-2Gs by January 31st for the previous year's winnings, though for larger wins they often complete the paperwork at the time of payout. If you had wins over $1,200 on slots or $5,000 on poker/table games, you should expect to receive them. For your parents to claim you as a dependent while you're a full-time student under 24, there's no income limit, but you must not provide more than half of your own support. The support test looks at who pays for your housing, food, education, etc. - not just your income. So even with your gambling winnings, if your parents still provide more than half of your total support, they can claim you. But if those winnings meant you provided more than half of your own support this year, that could change your dependent status.

Is this really necessary for a college student with only $8,500 in winnings? Seems like overkill. The IRS isn't going after small fish like this when there are millionaires to audit.

If they do have these threshold amounts, why doesn't the IRS just publish them? Seems like it would save everyone a lot of time and stress over tiny amounts.

They don't publish the exact thresholds for a strategic reason. If everyone knew precisely what amount they could "get away with" not reporting, many people would deliberately stay just under that threshold, and the cumulative effect across millions of taxpayers would be significant. The IRS wants everyone to report everything accurately, but they have to allocate their limited enforcement resources effectively. They keep these internal tolerance levels confidential and also change them periodically to prevent systematic abuse.

For overpayments, the calculation is different. You're getting YOUR money back, so it depends on how much your time is worth. A refund of $20 might be worth the 30-45 minutes it takes to prepare and mail a paper amendment. Remember though, paper amendments can take 6-12 months to process currently, so you'll be waiting a while for that $20.

Is there a minimum amount you need to make from self-employment to open a Solo 401k? I'm just starting out with freelance work too.