Has anyone else noticed that TurboTax seems to have more and more issues with each passing year? I had a similar problem with claiming education credits in 2018.

This is exactly the frustration I went through with TurboTax for my 2018 return! The software definitely wasn't updated properly for the hardship exemption changes. I ended up having to manually override several prompts to get it to work correctly. One thing that helped me was going directly to Form 8965 within TurboTax (you can search for it in the forms section) and entering the exemption code there instead of going through the interview process. This bypassed all the ECN prompts entirely. For your situation with unemployment and missing open enrollment, you'd likely use either Code G (affordability) or Code H (hardship), depending on your specific circumstances. The IRS website has a good chart showing which exemptions require ECNs and which can be claimed directly - definitely worth double-checking against what TurboTax is telling you. Don't let the software bully you into thinking you need documentation when the law says you don't!

Ugh this is so frustrating! I'm in the exact same situation - filed with EIC but no PATH message anywhere on WMR. Been refreshing that thing like crazy thinking maybe I missed something 😅 At least now I know I'm not the only one dealing with this weirdness. Sounds like the IRS just isn't being consistent with showing the PATH messages this year which is super confusing for everyone

This is such a common issue this year! I went through the exact same thing - filed with EIC, kept checking WMR obsessively, and no PATH message showed up anywhere. Turns out the IRS is just being super inconsistent with displaying those messages in 2025. Even without the message, if you claimed EIC you're definitely still under PATH Act restrictions. I ended up using taxr.ai to get a clear breakdown of my transcript and it was honestly a lifesaver - showed me exactly what codes were on there and when I could realistically expect my refund. Way less stressful than constantly refreshing WMR and wondering what's going on!

Another overlooked option: If you absolutely cannot determine your basis accurately, you could consider a "fresh start" by doing a full backdoor Roth conversion. Take all your Traditional IRA money, pay the taxes on the full amount (assuming it's all taxable), and move to Roth. Then start tracking properly going forward. Yes, you might pay some extra taxes if you had non-deductible contributions in there, but the peace of mind and clean slate might be worth it for some people. I did this two years ago and while the tax hit wasn't fun, the simplicity going forward has been great.

One thing that hasn't been mentioned yet - if you're still completely stuck on reconstructing your basis, consider consulting with an Enrolled Agent (EA) or CPA who specializes in retirement accounts. They can help you work through the calculations and may have strategies for situations where records are incomplete. Many tax professionals have dealt with this exact scenario and can help you make reasonable assumptions based on your income history and contribution patterns. They can also advise whether it's worth filing amended returns for missed Form 8606s or if there are other approaches that make sense for your specific situation. The cost of a few hours with a qualified professional might be worth it to avoid potential penalties or overpaying taxes, especially if you have a substantial IRA balance or complex contribution history.

Everyone in Colorado getting blessed this year fr fr 😈

I'm also in Colorado and can confirm - my refund was about 40% higher than expected! The TABOR refund is definitely real this year. If you're still unsure, you can always run your numbers through a second tax software or consult with a tax professional for peace of mind. Better to double-check than assume it's an error and miss out on money that's rightfully yours.

Has anyone tried disputing a 1099-C? I got one for a debt that I thought was outside the statute of limitations. Seems weird they can come after you for taxes on something they legally couldn't collect anyway.

I went through almost the exact same situation last year - got a 1099-C for an old credit card debt from 2011 that I'd completely forgotten about. The amount was around $3,200 and I was terrified it would destroy my small refund. Here's what I learned: First, don't panic about the timing. The IRS knows these 1099-Cs often come from very old debts, so the fact that yours is from 14 years ago isn't unusual or suspicious. Second, definitely look into that insolvency exclusion others mentioned - I qualified for it and it reduced my taxable cancelled debt by about 80%. The key is documenting your financial situation at the time the debt was actually cancelled (the date on your 1099-C), not when you originally owed the money. I had to estimate things like my car's value and what I had in bank accounts at that time, but reasonable estimates are acceptable. Most online tax software can handle 1099-C forms - just look for the section on "other income" or "cancelled debt." Don't let this stress you out too much until you see the actual numbers after entering everything into your tax prep software.