I've used TaxSlayer for the last three years and really like it. It's way cheaper than TurboTax but has a clean interface. Around $50 for federal and state with Schedule C included. Not the absolute cheapest but a good middle ground. Tax Hawk is another budget option if you're really trying to save. About $25 total but the interface feels a bit outdated. One tip: whatever service you pick, don't file in January if possible. Wait until at least mid-February when they've worked out any software bugs and updated for all the latest tax law changes.

Don't overlook Credit Karma Tax (now called Cash App Taxes). Completely free for federal AND state filing, including Schedule C. I switched from TurboTax two years ago and haven't looked back.

Anyone know how long it takes for the IRS to process a response to a CP80? I sent in a copy of my return marked "CP80 RESPONSE" about 4 weeks ago and haven't heard anything.

After getting a CP80 myself, I learned that the IRS prioritizes processing payments over processing returns, which explains why they cashed your check but the return is "missing." They literally have separate departments for these functions and sometimes the coordination between them fails. One trick I found helpful - if you have to refile, include a cover letter referencing Internal Revenue Manual 3.0.273.21.3 which covers procedures for addressing CP80 notices, and specifically mention that this is a "resubmitted return, not a duplicate filing." This helps ensure it gets routed correctly in their system.

One thing nobody's mentioned yet - make sure you're also factoring in mortgage insurance premiums if you have them. They can be deductible too if you itemize and your income is below certain thresholds. Also, don't forget that your state taxes might work differently! In my state, we have a much lower standard deduction, so I itemize on my state return even though I take the standard deduction federally. Weird but it saves me $$$!

Something else to consider - the mortgage interest deduction benefits tend to decrease over time as you pay down your loan. In the early years, more of your payment goes to interest, but that gradually shifts to more principal. For example, on my $400k mortgage at 6.5%, I paid about $25k in interest the first year. By year 10, it'll only be around $20k annually. By year 20, it drops to around $12k. So the tax benefit diminishes over time. This is why some people find it beneficial to itemize in the early years of their mortgage and then switch to the standard deduction later.

Word of advice from someone who's been claiming EIC/CTC for years - DO NOT count on that refund money until it's actually in your account. The IRS timeline estimates are just that - estimates. I've had refunds come in 2 weeks after Feb 15 and I've had some take 2+ months. The absolute worst thing you can do is take out loans expecting your refund to arrive by a certain date. The interest on those loans will eat up a chunk of your refund if there's any delay. If you're in a tight spot, look into other options like: - Payment plans with your current bills - Local emergency assistance programs - Community action agencies - Food banks to reduce grocery expenses temporarily Most utilities and even landlords will work with you if you communicate before you're late with payment.

Have you checked if your return might be caught in PATH Act verification? The IRS has to verify income for all EIC/CTC claims, and sometimes employers are slow reporting wage info to the Social Security Administration, which can cause delays. One thing that helped me last year was creating an account on the IRS website to view my tax transcript. It shows detailed codes that tell you exactly what's happening with your return. The "Where's My Refund" tool is worthless compared to what you can see in your actual transcript. Look for transaction codes like 570 (refund hold), 971 (notice issued), or 846 (refund issued). If you see a 570 without a 846, that means they're still reviewing something.

The revenue sharing aspect is the most interesting part of this proposal to me. I've worked in economic development for a manufacturing state, and we've always struggled with the fact that we produce goods but the tax revenue goes to the states where consumers live. 20% seems like a reasonable starting point, though I imagine high-consumption states with no sales tax (like NH) or minimal manufacturing (like FL) would strongly resist. The real challenge would be creating the administrative framework for this revenue sharing. This system could actually reduce some of the tax incentive battles between states trying to lure manufacturers. If production states automatically get a revenue share, there's less pressure to offer massive tax breaks.

Has anyone else noticed that the South Dakota v. Wayfair decision has completely changed the compliance landscape for small businesses? Before 2018, I only had to worry about collecting tax in my home state. Now I'm tracking economic nexus thresholds across 45+ states. If this hybrid system adds another layer to track (origin-based calculations), it could push more sellers to marketplace platforms like Amazon who handle tax compliance. That would actually strengthen the role of marketplace facilitators, which aligns with part of the proposal.