I've been on an installment plan for about 2 years now and can confirm that the annual statements (CP89 notices) usually come out in January/February. They show your remaining balance, total payments made during the year, and how much went toward interest vs. principal. One tip I learned the hard way - make sure to keep all your bank statements showing the automatic withdrawals as backup records. Last year there was a discrepancy where the IRS showed I missed a payment, but my bank records proved it went through. Having those records saved me a lot of headache when I had to dispute it. The online account is definitely your best bet for real-time tracking though. Once you get familiar with navigating it, you can check your balance and payment history anytime without waiting for the mail or dealing with phone hold times.

I'm in a similar boat - been on an installment plan for about 8 months now and was wondering the same thing about statements. Really appreciate everyone's input here, especially about the CP89 notices coming in January/February. One thing I'd add is that you can also call the automated IRS phone line at 1-800-829-1040 and use the automated system to get your current balance without having to wait for a human agent. You just need your SSN and some basic info from your last tax return. It's not as detailed as the online account, but it's a quick way to check your remaining balance if you're having trouble with the website. The advice about keeping bank statements is gold - definitely going to start doing that going forward. Nothing worse than having to prove a payment went through when the IRS systems mess up.

This is a surprisingly common issue that often stems from problems with the deed recording process or outdated county database systems. The fact that you've been autopaying for 3 years without noticing shows how easy it is for these situations to slip by. A few additional points to consider: First, document everything NOW - print out all your autopay records, bank statements showing the tax payments, and your closing documents. You'll need this paper trail for both the county refund process and your amended tax returns. Second, contact your real estate agent or closing attorney from the original sale. They may have professional liability insurance that covers recording errors, and they're often better equipped to navigate county bureaucracy quickly. Third, regarding the tax implications - you mentioned claiming these on Schedule A, but since you didn't actually own the property, those deductions were invalid. When you file your amended returns, you might actually owe additional federal taxes plus interest for the years you incorrectly claimed the deductions. However, the property tax refund you'll eventually receive from the county should help offset some of that cost. Finally, make sure to put a stop on that autopay immediately if you haven't already! The county might continue billing you even after you start the correction process.

Great question about timing limitations! Generally, most counties allow property tax refund requests for 3-5 years back, but this varies significantly by jurisdiction. Some are more generous (up to 7 years) while others are stricter (only 2-3 years). You'll need to check your specific county's policy. For IRS amended returns, you typically have 3 years from the original filing date or 2 years from when you paid the tax, whichever is later. So there can definitely be timing mismatches where you might recover some years but not others. Here's the strategy I'd recommend: Start with the most recent tax years first since those are most likely to be within both the county refund period and the IRS amendment window. Work backwards from there. Even if you can't recover everything, getting the recent years corrected is better than nothing. Also, document your good faith effort to correct the situation - if you can show the IRS you're proactively fixing an honest mistake, they're often more lenient about penalty waivers, even if some of the corrections fall outside normal time limits.

The IRS generally allows you to use the fair market value as of the date of death for stepped-up basis, even if the formal appraisal was done months later. You're not necessarily stuck with the probate appraisal date if you can demonstrate what the actual value was at the time of death. You can use comparable sales data, professional appraisals, or other evidence to establish the property's value on the date of death. The key is having solid documentation - recent comparable sales within a reasonable timeframe and geographic area, ideally from a licensed appraiser or real estate professional. However, be prepared to justify your valuation if questioned. The IRS may be more scrutinizing if there's a significant difference between your claimed value and the probate appraisal, especially if it results in a higher stepped-up basis. Keep detailed records of your methodology and all supporting documentation. If the difference is substantial and could significantly impact your taxes, consider getting a retroactive appraisal from a licensed appraiser who can provide a professional opinion of the property's value as of the specific date of death. This gives you the strongest documentation if the IRS ever questions your basis calculation.

Just went through a very similar situation with an inherited rental property last year, and I can share what I learned from working with my tax attorney. Your cost basis calculation is actually straightforward once you break it down: the 1/3 you inherited gets stepped-up basis at fair market value on the date of death, and the 2/3 you purchased from the other heirs has a basis equal to what you actually paid them. These two amounts get combined for your total property basis. Regarding IRS scrutiny - they do pay closer attention to rental properties because of the ongoing depreciation deductions, but as long as your numbers are reasonable and well-documented, you shouldn't have issues. The key is keeping detailed records of everything: the death certificate, probate documents, property appraisal (as close to date of death as possible), all purchase agreements with the other beneficiaries, payment records, and your basis calculations. The standard 3-year audit window applies from when you file your return, though it can extend to 6 years if they believe you've substantially underreported income. For inherited property basis calculations, this is rarely an issue unless the numbers look completely unreasonable. One tip: if you paid significantly more or less than the appraised value for the other shares, be prepared to explain why. Market conditions, family agreements, or timing differences are all valid reasons, but having documentation helps if questions arise later.

This is such a great discussion! As someone who just started dealing with retirement tax planning myself, I really appreciate everyone sharing their experiences and resources. I had a similar situation last year where I was getting conflicting information from different sources about estimated taxes. What really helped me was keeping detailed records of everything - my zero tax liability from the prior year, documentation of the safe harbor rule from IRS publications, and notes from any calls with the IRS. One thing I'd add for anyone in this situation: consider doing a mid-year tax projection even though you're not required to make estimated payments. It helps you get a clearer picture of what you'll owe and can guide decisions about timing additional stock sales or other taxable events. You might find you want to spread out your gains or losses strategically. Also, don't forget about the Net Investment Income Tax (NIIT) if your modified adjusted gross income exceeds certain thresholds. It's an additional 3.8% on investment income that some retirees overlook when planning their tax strategy. Thanks again to everyone who shared their knowledge and resources here - this thread is going to help a lot of people in similar situations!

This has been an incredibly informative thread! I'm also recently retired and was completely stressed about estimated taxes after selling some stock last month. Reading through everyone's experiences with the safe harbor rule has been so reassuring. I had my CPA confirm that my 2024 return shows $0 on line 24, so it sounds like I'm in the same boat as the original poster. What really struck me was the advice about setting aside money in a high-yield savings account rather than making voluntary estimated payments. I never thought about the opportunity cost of giving the government an interest-free loan when I could be earning 4-5% on that money instead! I'm definitely going to look into some of the resources mentioned here, especially for getting a clearer projection of what I might owe next year. The NIIT mention was particularly helpful since I hadn't considered how that might affect my situation. Thanks to everyone who shared their knowledge and experiences - this community is such a valuable resource for navigating retirement tax planning!

Great advice in this thread! I want to add a crucial point about the timing of documentation that I learned from my tax attorney. Even if you're creating loan documentation after the fact (like a promissory note), make sure to clearly state on the document that it's memorializing a prior transaction and include the original loan date. The IRS looks at substance over form, so what matters most is your actual intent when you put the money in. If you can demonstrate through bank records, business circumstances, and other evidence that you genuinely intended it as a loan (not a capital contribution), then creating proper documentation later can still protect you. Also, be consistent with how you treat it - if you call it a loan, make sure you actually repay it in a reasonable timeframe. Loans that sit on the books for years without any repayment activity are more likely to be reclassified by the IRS as capital contributions during an audit.

One thing I haven't seen mentioned yet is the importance of charging reasonable interest on the loan if you want to maintain its legitimacy as a true loan rather than a disguised capital contribution. The IRS has guidelines about what constitutes reasonable interest rates (generally tied to the Applicable Federal Rates published monthly). If you don't charge any interest at all, especially on a larger loan that sits on the books for an extended period, the IRS might question whether it's really a loan or just additional capital investment. You don't have to charge market rates, but having some reasonable interest rate documented in your promissory note strengthens the argument that this was a genuine arm's length transaction. Also, keep in mind that if you do charge interest, you'll need to report that interest income on your personal tax return, and the LLC can potentially deduct it as a business expense. It's a bit of extra complexity, but it can really help protect the loan classification if you're ever audited.