quick question - if using the transcript instead of w2, do u still need to report that your employer didn't send the w2? i thought there was some form for that?

Actually, you might not need to file Form 4852 if you're using the official IRS wage transcript. Form 4852 is typically used when you have to estimate your income and withholdings because you don't have access to the official information. Since the IRS transcript contains the exact same data that would be on your W-2 (it's pulled from what your employer filed), you're essentially using the IRS's official record rather than making estimates. That said, it doesn't hurt to include Form 4852 with your return if you want to be extra cautious and document the situation. Some tax preparers recommend it just to have a paper trail showing why you didn't attach an actual W-2. But the transcript itself serves as official documentation of your income and withholdings.

Has anyone actually been audited for using 529 funds for application fees? I paid about $400 in application fees for my son applying to 8 schools and just used his 529 to cover it. It seemed ridiculous not to consider it an education expense.

I went through this exact same situation last year with my daughter! After doing extensive research and consulting with our financial advisor, here's what I learned: The $575 enrollment deposit is definitely a qualified 529 expense since it's being applied toward housing costs. Housing (room and board) is explicitly listed as a qualified education expense as long as your daughter is enrolled at least half-time. For the $65 application fee, unfortunately it's not technically qualified because it was paid before enrollment. The IRS is pretty strict about the timing - expenses need to be for an enrolled student. However, practically speaking, many families do use 529 funds for these fees without issues. My advice: definitely use the 529 for the enrollment deposit since that's clearly qualified. For the application fee, you could either pay it out of pocket to be completely safe, or use 529 funds knowing there's a small technical risk. The potential penalty would only apply to the earnings portion of that $65 withdrawal, so we're talking maybe a few dollars in penalties at most. Keep good records either way - save all the documentation showing what each fee was for and when it was paid. This will help if you ever need to justify the expenses.

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! 🤞

As someone who's been through this exact situation multiple times over the years, I can definitely relate to that anxiety! Three weeks feels like forever when you're waiting to hear back from the IRS, but you're actually still in the very early stages of their typical processing timeline. From my experience, the IRS operates on what feels like geological time compared to the rest of the world. I've had cases where simple documentation requests took 2-3 months to fully resolve, and that was considered normal processing time. The key thing to remember is that no news at this point really is just no news - not bad news. A few practical suggestions that have helped me cope with the waiting: First, make sure you have copies of everything you sent and note the exact date you mailed it. Second, if you haven't already, definitely set up an online account at irs.gov - even though updates might not show up there for weeks, it's better to have it ready. Third, try to resist the urge to call until you hit at least the 6-8 week mark, since they'll likely just tell you to keep waiting anyway. The waiting is absolutely the worst part of dealing with the IRS, but based on your timeline, everything sounds completely normal so far. Hang in there!

I'm currently at the 7-week mark waiting for a response from the IRS about some business expense documentation I sent in, and this thread has been such a lifesaver for my sanity! When I first sent my documents, I was naive enough to think I'd hear back within a couple weeks - boy was I wrong about that. What really helped me was reading Owen's insight about former IRS experience and learning that different types of issues go to different departments with varying processing times. I also took everyone's advice about setting up the online IRS account, and while it's been mostly empty for weeks, I finally saw a small update yesterday that at least confirmed they have my case assigned to someone. The hardest lesson I've learned is that the IRS truly does operate on that "geological time" Andre mentioned. After dealing with this process, I completely understand why those callback services like Claimyr are so popular - the idea of not having to personally sit through hours of hold music is incredibly appealing when you're this deep into the waiting game. For anyone just starting this journey: make copies of everything, track your dates religiously, set up that online account early, and try to mentally prepare for a 6-10 week timeline minimum. The waiting is brutal, but based on everyone's experiences here, it really is just part of the normal IRS process unfortunately.

Quick question - I'm in a similar situation but I've been renovating my rental for 8 months now. Can I deduct all the renovation expenses even though the property isn't rented yet?

One thing I haven't seen mentioned yet is the importance of establishing the "placed in service" date properly for IRS purposes. Since you're doing renovations while living there, you'll want to document the exact date when the property becomes available for rent - this could be when you finish renovations, move out, and list it for rent. Keep records of when you complete the work, when you stop using it as your personal residence, and when you first advertise it. The IRS can be picky about this date since it affects when depreciation starts and how you allocate expenses between personal use and rental use. Also, since you mentioned staying in one bedroom - make sure you're clear on the business vs personal use percentages. If you're using 1/3 of the house personally, you can only claim rental deductions (including future depreciation) on the remaining 2/3. This gets tricky during the renovation period since you might argue the personal use is temporary and solely for renovation convenience, but the IRS generally looks at actual use patterns.