That's more applicable to complex corporate tax shelters than to individual investors making normal investment decisions. As long as you have a legitimate investment purpose (which it sounds like OP does - they believe in the long-term prospects), tax-loss harvesting is a widely accepted practice. Even traditional brokerages recommend it for stock portfolios. The key is having investment intent beyond just tax savings. The fact that OP genuinely wants to maintain investment in this crypto should be sufficient.

Thanks for this suggestion! I didn't realize there was an income threshold for free filing options. My income is actually around $78,000 so I just miss that cutoff, but $49 sounds way more reasonable than what H&R Block quoted me. Did you find TaxSlayer easy to use? I'm not super tax-savvy but can follow clear instructions.

TaxSlayer is pretty user-friendly with a straightforward interface. It walks you through everything step by step with explanations along the way. The questions are clear and it imports W-2s if you have your employer's EIN number. For mortgage interest, you just enter the information from your Form 1098. Even if you're not tax-savvy, these programs are designed for regular people. They have help sections and explanations for almost everything. And if you get stuck, most have support options where you can chat with a tax pro for specific questions.

Is the Peace of Mind guarantee even worth it? I've always wondered if these audit protection plans are just a way to scare people into paying more.

Thanks for bringing this up! My understanding was that since my husband was a US citizen, I don't need to file Form 3520 even though the property is in the UK. Is that correct? Are there any other international forms I should be aware of besides FBAR and the Form 8938?

You're correct. Since your husband was a US citizen, you don't need to file Form 3520 for this inheritance, even though the property is located in the UK. The form is specifically for gifts or inheritances from foreign persons (non-US citizens/residents). Beyond FBAR (FinCEN Form 114) and Form 8938, you might want to be aware of Form 8833 if you're claiming benefits under the US-UK tax treaty, but that's typically not needed for straightforward inheritances. Also, if you maintain any financial accounts in the UK after settling the estate, remember you'll need to continue reporting those on FBAR and potentially Form 8938 in future years if they meet the threshold.

Good point! What exchange rate date did you end up using? Date of death, date of distribution, or something else?

24 H&R Block's software isn't any better. I switched to them thinking they'd handle it correctly and had the same issue. I think the problem is that they don't have a specific input field for the amount already reported as income on your W-2.

18 Thanks for sharing that about H&R Block. I was considering switching to them next year but maybe that's not the solution. I wonder if the more expensive tax prep options like a CPA would handle this correctly. Seems ridiculous that we have to jump through all these hoops for something that should be straightforward.

Thanks for pointing that out! I was wondering why my paycheck summary shows both OASDI and Medicare as separate items. So even if OASDI stops after hitting the cap, the Medicare part (1.45%) continues indefinitely?

Yes, exactly! While the OASDI portion will stop once you hit the cap ($168,600 for 2025), the Medicare portion never stops. You'll continue paying the 1.45% Medicare tax on all your earned income regardless of how much you make. And if your income exceeds $200,000 for single filers or $250,000 for married filing jointly, you'll also pay that additional 0.9% Medicare surtax on the amount above those thresholds. This is part of the Additional Medicare Tax that was implemented as part of the Affordable Care Act.

This is helpful but what about if your income fluctuates? I get paid base + commission so each paycheck is different.