14 Has anyone had issues with their cost basis not being reported correctly on their Robinhood 1099-B? I'm noticing a bunch of my transactions say "cost basis not reported to the IRS" and I'm not sure how to handle that in FreeTaxUSA. Will the IRS flag my return if what I enter doesn't match what Robinhood reported?

One thing that helped me when I was in the same situation - make sure you have all your documentation ready before you start entering transactions in FreeTaxUSA. I learned the hard way that you need your original purchase confirmations from Robinhood for any transactions where the cost basis wasn't reported. You can usually find these in your Robinhood app under Documents or Account Statements. Having the exact purchase dates and amounts makes the whole process much smoother in FreeTaxUSA's investment income section. Also, double-check that any dividends you received are entered in the 1099-DIV section separately from your stock sales - I almost missed those my first year! The key is just taking it slow and entering one transaction at a time if you're doing it manually. FreeTaxUSA's interview process will make sure everything ends up on the right forms automatically.

This is such a comprehensive thread with great advice! I just wanted to add one more thing that might be helpful - if you're filing electronically (which most people do these days), the IRS systems are actually designed to handle transcript information seamlessly. Since the transcript contains the exact same data that your employer filed with the IRS, there shouldn't be any red flags or processing delays. I went through this situation a couple years ago and was worried that using transcript info instead of an actual W-2 might trigger some kind of review or delay my refund. But everything processed normally and I got my refund right on schedule. The IRS already has all this information in their system, so you're really just confirming what they already know about your income and withholdings. One last tip - if you're really nervous about the whole process, consider having your return reviewed by a tax professional before filing, even if you prepare it yourself. Many places offer reasonably priced review services where they'll just double-check your work to make sure everything looks right. It can give you extra peace of mind, especially when dealing with non-standard documentation like this.

I'm so glad you found this thread helpful! Just wanted to add one more reassuring point - I used a wage transcript to file my taxes two years ago when my employer failed to send my W-2, and not only did everything process smoothly, but I actually received my refund faster than usual that year. I think it's because the transcript information matches exactly with what the IRS already has in their system, so there's no need for them to cross-reference or verify anything. It's essentially like filing with pre-verified data. For anyone else in this situation, don't stress too much about the format differences between the transcript and a traditional W-2. The numbers are all there - they're just organized differently. Take your time entering the information and you'll be fine. This community has given such great advice throughout this thread!

This thread is a lifesaver! Filed my NYS return in February and have been going absolutely crazy checking that tracker every single day 😅 It's somewhat comforting to know this isn't just happening to me, but also terrifying to see how widespread these delays are. The 12-16 weeks timeline is honestly shocking - I've never experienced anything like this with NYS before. Really appreciate everyone sharing their experiences here. Based on what I'm reading, it sounds like calling might not be worth the 3+ hour wait, but that taxr.ai tool keeps coming up in the comments. Might have to give it a shot since I'm desperate for any actual information about what's going on with my return. Anyone know if there are any other resources or tricks for getting updates besides the useless online tracker? 🤞

Wow, reading through everyone's experiences here is both reassuring and terrifying at the same time! 😰 I filed my NYS return back in January and it's been stuck on "processing" for what feels like forever now. Like many of you, I usually get my state refund within a month, so this 4+ month wait is completely unprecedented for me. The lack of transparency from NYS is honestly the most frustrating part - just give us realistic timelines instead of keeping everyone in the dark! I'm definitely considering trying that taxr.ai tool that @Giovanni mentioned since it seems like several people have had success with it. At this point, $1 for actual information about my return status sounds like a bargain compared to sitting on hold for 3+ hours just to be told "keep waiting." Thanks for creating this thread @Liam - it's helpful to know we're not alone in this mess! 🤞

I just went through this exact situation with my son last year, and after consulting with our CPA and doing extensive research, here's what I found: The $575 enrollment deposit is absolutely a qualified 529 expense since it's being applied toward housing. Room and board are explicitly listed as qualified expenses for students enrolled at least half-time, so you're completely safe using 529 funds for this. The $65 application fee is trickier. Technically, it's not a qualified expense because it was paid before enrollment. The IRS requires expenses to be for "enrollment or attendance" at an eligible institution. Since application fees are just for the opportunity to apply (not actual attendance), they fall outside the qualified category. However, the practical risk is minimal. If you used 529 funds for the application fee and it was later deemed non-qualified, you'd only owe income tax and a 10% penalty on the earnings portion of that $65 withdrawal - we're probably talking about $2-5 in penalties at most. My recommendation: definitely use the 529 for the enrollment deposit, and either pay the application fee out of pocket to be completely compliant, or use 529 funds accepting there's a small technical risk. Keep all documentation either way - receipts, billing statements, and 529 withdrawal records. The key is having a clear paper trail showing the deposit went toward qualified housing expenses. Congratulations on your daughter's acceptance! It's exciting but definitely overwhelming trying to navigate all these financial details.

Just wanted to add my perspective as someone who went through this with both my kids. The enrollment deposit situation is straightforward - if it's going toward housing like you mentioned, that's definitely a qualified 529 expense. No worries there. For the application fee, here's what I've learned from experience: while it's technically in a gray area since it's pre-enrollment, the IRS generally focuses on much larger discrepancies during audits. A $65 application fee is unlikely to trigger any scrutiny, especially if you have good documentation showing it was required for the application process. That said, if you want to be completely by-the-book, just pay the application fee out of pocket. It's a small amount and gives you complete peace of mind. Save your 529 funds for the bigger qualified expenses like tuition, books, and housing where there's no ambiguity. One tip: make sure to time your 529 withdrawal in the same calendar year as when you pay these expenses. This keeps everything clean for tax purposes and avoids any potential complications with the IRS. Congratulations on your daughter's acceptance! The financial planning side of college is definitely a learning curve, but you're asking all the right questions.

I'm currently at the 6-week mark waiting for a response about some stock sale documentation they requested, and reading through all these experiences has been such a relief! Like everyone else here, I was completely unprepared for the IRS's unique approach to time - I kept thinking something must have gone wrong when I didn't hear back after a couple weeks. What's been most reassuring is seeing how consistently everyone's timelines fall into that 6-10 week range that people keep mentioning. I also made the mistake of trying to call around week 4 and spent almost 3 hours on hold before giving up, which really drives home why those callback services are becoming so popular. I set up my IRS online account after reading all the recommendations here, and while it was empty for weeks, I finally got a small status update yesterday showing my case is "under review." It's amazing how exciting such a tiny piece of information can feel after weeks of complete silence! For anyone just starting this process: definitely prepare mentally for that 6-10 week minimum timeline, make copies of everything, and set up that online account early even if it stays empty for a while. The "geological time" concept really is the perfect way to think about how the IRS operates compared to the rest of the world. Thanks to everyone for sharing their experiences - this community support makes the endless waiting so much more bearable!

I'm in week 4 of waiting for the IRS to respond to some documentation I sent about a business equipment deduction they flagged, and this entire thread has been like finding an oasis in the desert! Before reading all these experiences, I was convinced that something had gone horribly wrong since I hadn't heard anything back. The "geological time" description that Andre came up with really is perfect - it's helped me completely reframe my expectations about how the IRS operates compared to literally every other organization in 2025. I was so naive thinking I'd get some kind of acknowledgment within a week or two! Following everyone's advice, I set up my IRS online account and have been checking it religiously, though nothing has appeared there yet. At least now I have multiple ways to potentially see updates instead of just standing by my mailbox like a statue every afternoon. The complete radio silence really is the most unnerving part of this whole process. Reading about Zoe's small update appearing at week 7 and Aisha's "under review" status at week 6 gives me hope that things are actually moving behind the scenes, even when we can't see it. It's incredible how exciting the tiniest bit of information becomes after weeks of absolute nothing! Thanks to everyone for sharing your timelines and experiences - knowing that this anxiety-inducing waiting period is just standard IRS operating procedure (and not a sign that my documents got lost in the mail) has honestly saved my sanity. We're definitely all in this geological time warp together!