Thank you for this suggestion - I didn't know about Form 14157 or that I could request a copy of the return. Would getting the return also show who actually prepared it? I'm worried the "friend" may have used someone else's information too.

The tax return copy will show who signed as the preparer, though in fraud cases, they sometimes leave that section blank or use fake information. However, it will definitely show all the forms and schedules that were filed, which helps you understand the full extent of the fraud. When you file Form 14157 to report the preparer, you can include any information you have about them - full name, address, phone number, etc. If your brother received any paperwork from this person or has text messages discussing the tax preparation, include copies of those as evidence.

Do you recommend getting a specialized tax attorney who has experience working with people with disabilities? I had a similar situation with my sister and found that regular tax pros weren't very helpful with the special considerations.

You need to submit a new W-4 form to your employer. It's fairly straightforward: 1. You can get the form from your HR department or download it from irs.gov 2. The current W-4 doesn't use "allowances" anymore - instead you directly enter dollar amounts 3. If you want less withheld (bigger paychecks, smaller refund), you'd use Line 4(b) to list deductions or use the worksheet to calculate an additional withholding amount Most payroll systems also have an online tool where you can update your W-4 electronically without filling out the paper form.

Thank you, that makes sense! I had no idea it was called a W-4, I was looking for some kind of "withholding adjustment request" or something. Will definitely talk to our HR person tomorrow.

Not odd at all - I've heard financial advisors call this "defensive financial planning." Sometimes the mathematically optimal choice isn't the best one when you factor in real-world complications. As long as you're making an informed choice rather than just defaulting into it, I think that's totally reasonable.

Do they still try to sell you that "audit protection" add-on? They always made me feel like I was crazy for not wanting it.

Yes, they push the audit protection hard! It was an extra $45 last year. The preparer made it sound like I was practically guaranteed to get audited without it. I've declined it every year and (knock on wood) never been audited. They also try to upsell their "tax pro review" service which is another $89. Isn't that what I'm already paying them for by going to their office instead of using their software?

I use FreeTaxUSA for my rental properties and small business. It handles Schedule E perfectly and only costs $15 for state filing (federal is free). For casualty losses, they have a pretty good walkthrough. Saved me at least $600 compared to HRB.

Thanks for the suggestion. I've never heard of FreeTaxUSA - do they offer any support if you get stuck or have questions during the process?

Now that you mention it, we did get a small "appreciation bonus" in November - it was only about $50 but they made a big deal about it being special somehow. Maybe that's what's showing up in that box? That would actually make a lot of sense.

That's almost certainly what it is! Those "appreciation bonuses" or "spot bonuses" often get classified differently in payroll systems depending on how they're structured. Companies sometimes use these special classifications because they can be advantageous for either the company's tax situation or yours. The $50 bonus matching up with a small amount in Box 12b makes perfect sense. You definitely don't need to worry about amending your return for something this small and routine. It's just one of those quirks of the tax system that seems confusing but is actually pretty standard once you understand what's happening behind the scenes.

Which app do you use? I'm always missing something when I file.

Thanks for sharing these details! Are there any specific payroll services you'd recommend for a one-person S-Corp? And did you find any advantages besides the SE tax savings?

I use Gusto for payroll and it's pretty straightforward for a one-person operation. The interface is simple and they handle all the tax filings automatically. Some others use Square Payroll or OnPay, which are a bit cheaper. Beyond the SE tax savings, I've found some additional benefits. Having a business entity has helped me land bigger clients who prefer working with corporations over individuals. I can also now contribute to a Solo 401k as both employer and employee, which has increased my retirement savings options. The structure has also forced me to be more disciplined with my business finances and separate them properly from personal expenses.

Can you explain this a bit more? I thought QBI applied the same whether you're sole prop or S-Corp?