Just went through this exact situation with my father's life insurance policy earlier this year. The $78,000 payout you received is not taxable income, which is why you didn't get a 1099 - insurance companies aren't required to send them for death benefits. However, I'd recommend double-checking your payout statement to see if any portion was labeled as "interest." In my case, there was about $2,400 in interest that accumulated between my dad's death date and when they finally cut the check (took them 6 weeks to process). That interest portion IS taxable and should have generated a 1099-INT form. If you find interest on your statement but didn't receive a 1099-INT, you'll still need to report it as income even without the form. The insurance company might have just been slow sending it out - mine didn't arrive until late February.

I went through something very similar when my grandfather passed last year. The key thing that helped me was requesting a detailed breakdown from the insurance company showing exactly what comprised the total payout. Most companies will provide this if you ask specifically for it. In my case, the $85,000 total included $82,100 in actual death benefits (completely tax-free) and $2,900 in interest that accrued during their processing delay. Only that interest portion required tax reporting. One thing to watch out for - some insurance companies will lump everything together on the initial payout statement, so you really need to ask for the itemized breakdown. Also, if your aunt had any outstanding policy loans against the life insurance, that can sometimes complicate the tax situation, though it doesn't sound like that's your case. Since you mentioned the insurance company gave you the runaround, I'd suggest asking to speak specifically with their "tax documents" or "1099 department" when you call back. They're usually more knowledgeable about these reporting requirements than general customer service.

I'm going through the exact same thing! I've been using Free File Fillable Forms for about 4 years now and this new interface has me completely stumped. What used to be a simple, straightforward process now feels like I'm learning an entirely new system from scratch. The most frustrating part for me is that I actually started my return last weekend, got about halfway through, and when I came back to finish it this week, I couldn't figure out how to get back to where I left off. The new navigation is so different that I'm not even sure if my work was saved properly. I really appreciate everyone sharing their tips about finding the "Start New Tax Return" button and the manual save requirements. It's ridiculous that we have to crowdsource basic navigation instructions, but at least we're all helping each other out. The free filing is still worth it compared to paying for tax software, but they really dropped the ball on the user experience this year. Has anyone found a way to view or recover partially completed returns in this new system? I'm worried I might have to start over completely, which would be incredibly frustrating after spending hours on it already.

I'm experiencing the exact same frustration! Been using Free File Fillable Forms for the past 3 years and this new interface completely threw me for a loop. What used to take me maybe 2-3 hours to complete now feels like it's going to take all weekend just because I can't figure out where anything is. The thing that really bugs me is that they clearly spent a lot of time and money redesigning this system, but it feels like they forgot about the people who actually use it regularly. The old interface wasn't fancy, but it was predictable and efficient. Now I'm spending more time trying to navigate the interface than actually filling out my tax forms. I'm definitely going to try some of the suggestions mentioned here, especially that taxr.ai tool that helps with navigation. At this point I'm willing to try anything that can help me get through this without pulling my hair out. Thanks everyone for sharing your experiences - it's reassuring to know I'm not the only one struggling with this "upgrade"!

I'm going through the EXACT same thing right now! Filed electronically about 4 weeks ago and that "Your 2024 Tax Return Is Not Processed" message has been driving me absolutely insane. I was so confused about the difference between what the website shows and what the phone agent told me. After reading through all these comments, I finally understand what's happening - the website only updates when your return is 100% finished, not during the actual processing steps. So even though they're actively working on it (which is what "in processing" means), the website stubbornly shows "not processed" until everything is completely done. I just checked my transcript after seeing everyone mention the 570 code and yep, there it is! I also claimed Child Tax Credit for my two kids, so that explains why we're stuck in this verification process. It's such a relief to know this is totally normal and not some horrible error with my return. The IRS really needs to fix their communication system - having the website show one thing while agents see something completely different just creates unnecessary panic for taxpayers. At least now I know to watch my transcript for that 570 to disappear or an 846 code to appear instead of obsessively checking that useless main account page every day. Thanks for posting this question - all the responses here have been incredibly helpful in understanding what's actually happening behind the scenes! 🙏

I'm dealing with this EXACT same situation right now! Filed my return 3.5 weeks ago and I've been going crazy seeing that "Your 2024 Tax Return Is Not Processed" message every single day while the phone agent told me it's "in processing." Reading through all these comments has been such a huge relief - I had no idea about the 570 code thing or that Child Tax Credit returns automatically get extra verification. Just checked my transcript and boom, there's that 570 code! I also claimed CTC for my kids so that explains everything. It's so frustrating that the IRS website basically lies to us by only showing "processed" when everything is 100% complete. They really should have an "under review" status or something instead of making us think absolutely nothing is happening with our returns. Thanks to everyone who explained what the different codes mean and what to watch for. I'm going to stop torturing myself by checking that useless main account page and just monitor my transcript weekly for the 570 to disappear or that magical 846 code to show up. This thread should be pinned somewhere - I bet thousands of people are going through this same confusing experience right now! At least now I know my refund isn't lost in some IRS black hole, just stuck in their verification queue. Hopefully we'll all see movement soon! 🤞

Is anyone using TurboTax for nonresident alien returns? I tried but it keeps getting confused about my pretax deductions and tax treaty benefits.

I went through this exact same issue last year! As a nonresident alien from Canada on a TN visa, I was initially told by my employer that my health insurance premiums couldn't be excluded from federal wages. After doing extensive research and consulting with a tax professional, I discovered that the Canada-US tax treaty actually does allow for certain pretax deductions to be excluded from taxable income, even for nonresident aliens. The problem is that many payroll departments aren't familiar with the nuances of different tax treaties and visa classifications. I had to provide my HR team with specific references to Article XV of the Canada-US tax treaty and IRS Revenue Procedure 84-35 to get them to issue a corrected W-2. My advice: Don't just accept your employer's word on this. The rules vary significantly based on your home country's tax treaty with the US and your specific visa status. I'd recommend getting documentation from the IRS or a qualified tax professional who specializes in nonresident alien taxation before accepting that your pretax deductions should be fully taxable at the federal level.

This thread has been absolutely invaluable! I just received the exact same suspicious Pay1040 email this afternoon and was in a complete panic thinking someone had used my information to make an unauthorized tax payment. Finding this discussion has been such a relief - it's clear this is part of a massive, well-coordinated phishing campaign targeting people who have legitimately used Pay1040 services before. Like many others here, what initially made the email seem credible was how they referenced my "previous tax season usage" and included what appeared to be a legitimate EFT reference number format. The scammers are clearly working from compromised data or purchased email lists that specifically target actual Pay1040 users. I immediately followed the comprehensive advice shared in this thread: - Went directly to pay1040.com (typed the URL manually, didn't click any email links) and logged into my account - confirmed zero recent transactions - Carefully examined the email headers and found multiple red flags: suspicious Reply-To domain different from the sender, HTTP links instead of HTTPS, and subtle formatting differences compared to legitimate Pay1040 emails I received last year - Reported the phishing attempt to phishing@irs.gov, ic3.gov, reportphishing@apwg.org, and phishing-report@us-cert.gov - Placed fraud alerts with all three credit bureaus as a precautionary measure - Enabled two-factor authentication on all my financial accounts and set up enhanced monitoring alerts What's particularly concerning is how sophisticated and targeted this campaign is. The fact that dozens of people in this thread have reported nearly identical experiences shows this isn't just random spam - it's a coordinated attack specifically designed to exploit taxpayers' legitimate concerns about their financial information. Thank you to everyone who took the time to share their experiences, technical insights, and actionable advice. This kind of community knowledge-sharing is exactly what we need to help fellow taxpayers recognize and respond appropriately to these increasingly sophisticated scams. Stay vigilant during tax season everyone!

I'm really glad I found this thread! I just received what appears to be the same fraudulent Pay1040 email about an hour ago and was completely terrified that someone had somehow accessed my tax information and made unauthorized payments. Reading through everyone's detailed experiences has been incredibly reassuring and educational. Like so many others here, what initially made the email seem legitimate was how specifically it referenced my "previous use of Pay1040 services" - I did actually use their platform last tax season, so this felt very targeted and real at first glance. The scammers clearly have access to data about actual Pay1040 users, which makes this phishing campaign particularly insidious. I followed the excellent advice shared throughout this thread: - Went directly to pay1040.com by typing the URL manually and logged into my account - confirmed no recent transactions whatsoever - Examined the email headers carefully and discovered the same red flags others identified: the Reply-To address was from a completely different domain, links were HTTP instead of HTTPS, and there were subtle but noticeable formatting inconsistencies compared to legitimate emails from Pay1040 - Immediately reported the phishing attempt to all the agencies mentioned: phishing@irs.gov, ic3.gov, reportphishing@apwg.org, and phishing-report@us-cert.gov - Placed fraud alerts with Equifax, Experian, and TransUnion as a precautionary measure - Updated passwords on all my financial accounts and enabled two-factor authentication where I didn't already have it What strikes me most about this thread is how it's become a comprehensive resource that shows the power of community knowledge sharing. From the initial panic of receiving these emails to the detailed technical analysis of red flags to the specific protective steps we can take - this discussion contains everything someone needs to properly handle this type of sophisticated phishing attempt. It's deeply concerning how organized and targeted this campaign appears to be, but I feel much more confident now knowing there are clear steps to take and that I'm definitely not alone in dealing with this. Thank you to everyone who shared their experiences and expertise - this community response is exactly what taxpayers need to protect themselves during this vulnerable time of year!