Great question! I went through the exact same confusion when I started contract work. You're getting mixed info because tax software like TurboTax handles this automatically when you e-file - you don't physically mail anything to the IRS. Here's the breakdown of your 1099-NEC copies: - Copy B ("For Recipient"): This is for your personal records. Keep it safe but don't send it anywhere. - Copy 2 ("To be filed with recipient's state income tax return"): Only send this with your state return if your state specifically requires it. Many states now receive this info electronically. The reason you're seeing conflicting advice is that some older guides still reference paper filing requirements. When you e-file your federal return, the income from your 1099-NEC gets reported on Schedule C, and the IRS computer systems automatically match it against Copy A that your client already sent them. Pro tip: Since this is your first year as a contractor, make sure you're also prepared for self-employment tax (Schedule SE) - that was the biggest surprise for me! It's an additional 15.3% on top of regular income tax that catches a lot of new contractors off guard.

I just went through this exact same situation! As a new contractor, I was so confused about which 1099-NEC copies to send where. After doing some research and calling the IRS (which took forever), I can confirm what others have said - you absolutely do NOT need to send any physical copies of your 1099-NEC to the IRS with your federal return. Here's what I learned: Your client already sent Copy A directly to the IRS, so they have the information. Copy B is for your records, and Copy 2 is potentially for your state return (though most states get this electronically now too). When you e-file your federal return, you just enter the income amount on Schedule C and the system matches it automatically. One thing that really helped me was creating a simple filing system for all my tax documents. I keep Copy B with my other tax records in a dedicated folder, and I scan everything to have digital backups. Since we're both new to this contractor life, I'd also recommend starting to track your business expenses right away - every mile driven for work, any equipment purchases, portion of home internet/phone bills used for business, etc. These deductions on Schedule C can really help offset that self-employment tax hit! Don't stress too much - TurboTax will guide you through the whole process and it's more straightforward than it initially seems.

This thread has been incredibly educational! As someone new to ROBS structures, I'm realizing there are so many compliance layers beyond just the Schedule G reporting. Between the corporate tax reporting (Schedule G), retirement plan compliance (Form 5500), annual appraisals, and ERISA fiduciary requirements, it seems like ROBS clients need ongoing specialized attention. For practitioners like myself who are just starting to encounter these structures, what would you recommend as the best resources to get up to speed on all these requirements? Are there any CPE courses or publications that specifically cover the intersection of corporate tax, retirement plan, and ERISA compliance for ROBS arrangements? Also, when you're taking on a new ROBS client, what's your typical process for ensuring you've identified all the potential compliance obligations upfront? It seems like there could be significant liability if you miss any of these requirements.

As someone who's dealt with several ROBS structures over the years, I want to emphasize that proper documentation is absolutely critical for Schedule G compliance. Make sure you have clear documentation showing the chain of ownership from the individuals through the retirement plan to the corporation. I always request copies of the plan documents, trust agreements, and any amendments to verify the beneficial ownership structure. Sometimes the original ROBS setup documents don't clearly establish the individuals' control over the plan, which can create ambiguity for Schedule G reporting purposes. Also, don't forget to consider state law implications - some states have additional reporting requirements for corporations with retirement plan ownership that could affect your federal reporting positions. The intersection of federal tax law, ERISA, and state corporate law in ROBS structures can get quite complex, so thorough documentation upfront saves headaches later.

Just want to add - make sure you're following local zoning laws if you're running a business from your home. Some neighborhoods have restrictions on commercial activities, including vehicle rentals and storage of commercial vehicles. Would hate to see you get hit with fines or have to shut down your business after investing in the camper.

Great question about the garage storage deduction! I've been through something similar with my rental property business. The key is proper documentation and maintaining that business separation. You're on the right track with the 60/40 split idea. Here's what I learned from my experience: 1. Calculate the square footage your camper takes up in the garage versus your total garage space 2. Apply your business use percentage (60% in your case) to that portion 3. Have your LLC pay you monthly rent for that space - yes, actual money needs to change hands to make it legitimate 4. Keep detailed logs of rental days vs personal use days to support your percentage For example, if your camper takes up 25% of your garage space, and you use it 60% for business, you could potentially deduct 15% of garage-related expenses (utilities, maintenance, etc.) that are attributable to that space. The monthly payment from LLC to you creates rental income for you personally (which you'll pay taxes on), but it's a legitimate business expense for the LLC. Make sure to draft a simple rental agreement between yourself and your LLC for the storage space. One thing to watch out for - if your garage serves multiple purposes, you'll need to be very specific about what portion is dedicated to camper storage versus other uses.

Anyone else have this weird situation where the addition to basis from WHFIT is actually HIGHER than the dividends you received? My Schwab S&P fund paid like $340 in dividends but then had a $412 addition to basis. Seems odd.

I had this exact same thing happen with my Vanguard index fund this year! The "Addition to basis from WHFIT reporting" caught me completely off guard too. After doing some research, I found out that WHFIT (Widely Held Fixed Investment Trust) is just a tax classification that many mutual funds and ETFs fall under. What's happening is that your fund had certain expenses or undistributed income that gets added to your cost basis instead of being paid out as a taxable distribution. This is actually beneficial because it increases your basis without creating a current tax liability. When you eventually sell your shares, you'll calculate your capital gain using this higher adjusted basis, which means less taxable gain. You definitely don't need to amend previous returns - this adjustment only affects your basis going forward. Just make sure to keep good records of these basis adjustments for when you file in future years. Most tax software like TurboTax should handle this correctly when you input the information from your 1099-COMPOSITE form.

I just went through this exact situation with my refund last week! My DDD was Friday 3/1 and I was checking Cash App every hour like a maniac. The funds finally showed up Monday morning at 7:23am. What I learned is that Cash App processes ACH deposits during business hours only, so weekend DDDs always roll to the next business day. One thing that helped my anxiety was calling the IRS automated line (1-800-829-1954) to confirm my refund was actually sent - you can check this with just your SSN and refund amount. Also make sure you have notifications turned on in Cash App so you get alerted the moment it hits! The waiting is the worst part but it's totally normal for weekend deposits to be delayed.

I've been using Cash App for my tax refunds for the past two years and can definitely relate to the weekend anxiety! From my experience, Cash App is actually pretty reliable once you understand their processing schedule. If your DDD falls on a Friday, you'll almost certainly see the deposit Monday morning between 6-9am - I've never had it take longer than that. The key things to double-check: make sure your name on your Cash App account exactly matches your tax return, complete all verification steps including SSN verification, and ensure your account can handle the deposit amount. I also recommend screenshotting your transcript showing the DDD just in case you need it for reference. The wait is stressful but Cash App has never failed to deliver my refund, just sometimes a day or two after the official DDD due to weekend processing rules. You should be good to go Monday morning!