9 Could they also try to get the IRS to subordinate their lien instead of a full discharge? I've heard this can sometimes be easier to get approved if you're planning renovations that will increase the property value.

3 Yes, subordination is another option, particularly if you're planning significant renovations. With subordination, the IRS doesn't remove their lien but agrees to take a secondary position behind another lender. This could allow you to get renovation financing or a new mortgage on the property. For this to work, you'd need to demonstrate that the improvements will increase the property value enough that it ultimately benefits the IRS's position as well. Form 14134 is used for subordination requests. Like with discharge applications, documentation of your renovation plans and projected value increase will be critical.

1 That's really helpful, thanks! Did your brother end up paying anything to the IRS to get the discharge, or were they able to get it completely removed because of the property condition? I'm trying to figure out what this might end up costing me beyond attorney fees.

I tried reaching out to HR but they're taking forever to respond. I used to work for a small company and their HR department is just one person who's always swamped. Do you know if there's a legal timeframe they have to provide it within? I'm worried about missing the filing deadline.

There's no specific legal timeframe for providing a replacement W-2, unfortunately. Employers are only legally required to provide the original W-2 by January 31st. For replacements, they should provide it in a "timely manner," but that's pretty vague. If you're concerned about the filing deadline, you might want to consider filing Form 4868 for an automatic six-month extension. Just remember that this only extends the time to file, not the time to pay any taxes owed. You'd still need to estimate and pay any taxes due by the original deadline to avoid penalties and interest.

I did this a couple years ago when my W-2 got lost in the mail. You have to fill out Form 4852 (Substitute for W-2) along with your tax return. Just be careful because the paystub might not include taxable benefits or year-end adjustments that would show up on the actual W-2.

Thanks for the info on Form 4852! I found it on the IRS website and it looks straightforward enough. Did the IRS give you any trouble when you submitted this form instead of having the actual W-2?

How much did the CPA charge you for handling multiple years of unfiled returns? I'm in a similar situation but worried about the cost.

For three years of unfiled returns plus dealing with a lien (similar to garnishment), I paid about $1800. But honestly, it varies widely depending on your location and complexity. My situation included self-employment income and the tax pro had to reconstruct some missing records. The initial consultation was free, which helped me understand what I was getting into before committing. Many tax pros will work out payment plans too, especially if you're already in financial distress. Don't let potential costs stop you from at least talking to someone - most will give you a price estimate during the first conversation.

TurboTax is great but wouldn't a professional be better for dealing with the garnishment? That seems like the urgent problem here.

This is so helpful - I never thought about using my diagnosis as part of explaining the late filing. Do you have any tips on what specific wording worked for you? I'm worried about explaining it wrong.

Focus on how your specific symptoms impacted your ability to complete tasks like tax filing. In my letter, I explained how executive dysfunction made organizing financial documents overwhelming, and sensory processing issues made working with numbers for extended periods impossible during certain times. Be straightforward and factual. Something like: "Due to diagnosed ADHD and depression, I experienced severe executive dysfunction during [time period]. Despite my attempts, I was unable to organize financial information and complete tax filing processes. I am now receiving appropriate treatment and have implemented systems to ensure timely filing going forward." Attach a brief letter from your healthcare provider confirming your diagnosis and treatment timeline if possible. Keep it under one page total, and include your contact information and tax ID number on the letter.

That's not right. Form 843 is only for requesting abatement of certain penalties AFTER you've filed your return and received a penalty notice. It doesn't apply to unfiled returns. The OP needs to file their returns first, then address penalties if they receive a notice.

Right now I'm using TurboTax Business for the partnership return and regular TurboTax for my personal. I looked through both and couldn't find any specific option for "incorrect 1099-NEC issued to individual instead of business." Do you know if TurboTax has this capability somewhere?

TurboTax isn't great at handling this specific situation. In TurboTax Business, you'll need to manually enter the 1099-NEC income as "income not reported on a 1099" since you technically don't have a 1099-NEC issued to the LLC. For your personal TurboTax return, you'll need to enter the 1099-NEC, but then add a negative "Other income" line on Schedule C with a description like "Income reported on Partnership Form 1065" to offset it. Make sure to include an explanation statement with both returns. If you're doing this more than one year, I'd honestly recommend switching to TaxAct or even paying a professional to use Lacerte, as they have specific workflows for this exact scenario.

I can share what happened to me. I didn't handle an incorrect 1099 properly in 2022 (just reported it on Schedule C), and I got a CP2000 notice from the IRS about a year later because the K-1 income from my partnership didn't match what they expected based on the 1099s. Took about 4 months and several letters to resolve. Not a full audit but definitely a headache.