
IRS
CommunityGovernment Services


Ask the community...
I received my federal refund last week, but my state return seems to be stuck in limbo. This reminds me of 2021 when my state refund took almost 3 months longer than federal. I called the state tax department's alternative number today (since their main line is perpetually busy, just like last year), and they're telling me I don't owe anything? I specifically confirmed this three times with the representative. My online account shows 'processing' but no timeline. Has anyone else experienced their state taking significantly longer this year? I'm meticulous with my documentation, especially for investment income reporting, so I'm confused about the delay.
Title: Do I need to report side job income under $600 if my employer reported it to the IRS anyway? Will they just throw it out? 1 I recently picked up a small gig doing social media management for a local business on weekends. Total pay for the year was only $475, so well under the $600 reporting threshold. I wasn't expecting to get any tax forms since it's below the limit, but I just received an email from the business owner saying they went ahead and reported my earnings to the IRS anyway "just to keep their books clean." Now I'm confused about what I need to do. If the employer wasn't required to report this income but did anyway, what does the IRS actually do with this information? Will they just disregard it since it's below the reporting threshold? Or do I now have to include this on my taxes even though it's under $600? Does this somehow increase my audit risk if I don't report it? Any insight would be super appreciated as I'm trying to get my taxes done this weekend!
9 Tax preparer here. Just to add some clarity: The "under $600" confusion is one of the most common issues I see with clients. The $600 threshold only determines whether the PAYER must issue a 1099 form. It has absolutely nothing to do with whether YOU must report the income. All income from any source is legally required to be reported on your tax return, even if it's $5. The IRS computer matching system will catch discrepancies between what's reported by others using your SSN and what you report on your return, regardless of amount.
17 But realistically, would the IRS really come after someone for not reporting a tiny amount like $50 or $100? I mean, they must have bigger fish to fry, right?
9 While the IRS certainly focuses more resources on larger discrepancies, their automated matching system doesn't discriminate based on amount. I've had clients receive notices for discrepancies as small as $83. The issue isn't that they're "coming after you" for small amounts - it's that their system automatically flags mismatches. Once flagged, it can trigger notices, potential penalties, and interest on the unpaid tax. The headache of dealing with IRS correspondence typically far outweighs the small amount of tax you might owe on minor income. Plus, establishing a pattern of accurate reporting helps if you're ever selected for audit for other reasons. Better to report everything properly than risk complications over small amounts.
4 Does anyone know if this applies to stuff sold on Facebook Marketplace too? I sold some old furniture and made maybe $400 total last year. No 1099 forms or anything, just cash and Venmo. Do I seriously need to report that??
10 If you sold personal items for less than you originally paid for them (like used furniture), that's not considered taxable income - it's actually a personal loss. You only need to report income from selling things if you made a profit compared to what you originally paid. For example, if you bought a couch for $800 and sold it used for $300, that's not taxable income because you sold at a loss. But if you bought items specifically to resell them at a higher price, that would be taxable no matter the amount.
So I just checked my tax filing status and it says "Accepted" as of this morning. Last year was a nightmare for me - my return was accepted but then I got hit with an audit out of nowhere. Ended up waiting almost 4 months for my refund to finally come through. I'm really nervous about the same thing happening again this year. Does anyone know if "Accepted" actually means I'm in the clear, or could I still get flagged for an audit later? I triple-checked everything on my return this time around and made sure all my W-2s and 1099s matched exactly what I reported. My refund is supposed to be about $3,750 which I really need for some car repairs. Just trying to figure out if I can actually count on this money coming soon or if I should prepare for another potential audit situation. The IRS website isn't super clear about what "Accepted" really means in terms of guaranteeing the refund.
has anyone used credit karma tax? i filed with them cuz it was free and my return was accepted like 3 days ago but idk if theres any way to check if its been approved yet? the irs website just says its still processing when i check.
Credit Karma (now Cash App Taxes) is reliable. I've used them for 3 years with no issues. Processing time has nothing to do with which software you used - it depends on your return complexity and IRS workload. Check the IRS "Where's My Refund" tool or IRS2Go app for the most current status. If it's only been 3 days since acceptance, just give it time. Most refunds come within 21 days.
I went through the exact same anxiety last year! "Accepted" basically means your return made it through the IRS's initial automated screening - they checked that your SSN is valid, math adds up, and all the required forms are there. But you're right to be cautious - they can still flag it for review during the processing phase. The good news is that getting audited two years in a row is pretty rare unless there's a consistent issue. Since you mentioned you triple-checked everything this time and made sure your documents match exactly, you're probably in much better shape than last year. Most returns go from "Accepted" to "Approved" within 7-21 days if there are no issues. The IRS "Where's My Refund" tool will update when your refund is actually approved and give you a deposit date. If you hit the 21-day mark with no update, that's when you might want to dig deeper. Try not to stress too much - the fact that you were more careful this year and learned from last year's experience puts you in a much better position!
Just checked my IRS transcript account at 3:22 and noticed something weird in my transcript list. When I look at the "Available transcripts" section, at the very top I'm seeing a "2024 Verification of Non-Filing Letter [PDF]" listed first, followed by Return Transcripts for 2023, 2022, and 2021. When I click on the letter, it clearly states that "the IRS does not have a record of a processed tax return as of the letter's date" and specifically mentions that "Either no tax return was filed for this year or your tax return is still being processed." This seems really strange since we're not even supposed to file 2024 taxes yet - we're still in 2023! I can see all my other years show normal Return Transcripts with the "EN" designation next to them, including 2023, 2022, and 2021. Plus I can also see my Wage & Income transcripts listed at the bottom of the available transcripts. Is it normal to see a Non-Filing Letter for a future tax year like this? The interface literally shows "2024 Verification of Non-Filing Letter [PDF]" with an "EN" next to it, above all my other transcript years. Should I be worried about this? Is this just how the system displays future years, or could someone be trying to file a fake return for 2024 using my information?
Don't stress about it! This is totally normal. The IRS system automatically generates non-filing letters for future tax years that haven't been filed yet. Since we're still in 2023, of course there's no 2024 return on file - nobody can file 2024 taxes until next year! The system is just showing you that no 2024 return exists yet, which is exactly what should happen. Your other years showing actual return transcripts proves everything is working correctly with your account.
Can someone help me understand what cycle I'm in? My transcript shows cycle code 20250604 from 02-25-2025 when my tax return was filed. I'm trying to figure out exactly when my refund will be deposited. Looking at my transcript: RETURN DUE DATE OR RETURN RECEIVED DATE (WHICHEVER IS LATER) Apr. 15, 2025 PROCESSING DATE Feb. 24, 2025 TRANSACTIONS CODE EXPLANATION OF TRANSACTION CYCLE DATE AMOUNT 150 Tax return filed 20250604 02-25-2025 $0.00 76211-427-53282-5 766 Credit to your account 04-16-2025 -$4,500.00 768 Earned income credit 04-16-2025 -$7,227.00 This Product Contains Sensitive Taxpayer Data I see my return due date is Apr. 15, 2025, and the processing date was Feb. 24, 2025. Looking at my transcript, I have credits coming including an earned income credit of $7,227.00 and another credit of $4,500.00, both dated for 04-16-2025, but idk what that means for my refund. When should I expect these credits totaling $11,727.00 to hit my account? The cycle number 20250604 is confusing me and I really need to know when these funds will be available. Does the 04 at the end mean the 4th day of the week? Or is it the 6th month, 4th day? I'm just trying to understand when I should expect my money because I have some important bills coming up. Can someone who understands these tax transcript codes explain what this all means for my refund timeline?
Honestly these transcript codes are like trying to read hieroglyphics without the rosetta stone ๐คฃ
Just went through the same thing with my cycle 20250604! The confusion is totally understandable - these IRS codes are like a foreign language ๐ From what I learned after dealing with this exact situation: the "04" in your cycle code means Wednesday processing day, and with your return already processed on 02-24-2025, you should see that $9,527 hit your account pretty soon. The April dates you're seeing are just tax year reference dates, not your actual deposit date. One thing that really helped me was using taxr.ai to decode my transcript - it breaks down all these confusing codes and gives you a clear timeline. Saved me from refreshing WMR every 5 minutes lol. For $1 it's totally worth the peace of mind, especially when you've got bills coming up like you mentioned. Hope this helps and you get your refund soon! ๐ค
Thank you so much for explaining this! I'm in the same exact boat with cycle 20250604 and was completely lost on what it all meant. The Wednesday processing thing makes total sense now. Definitely gonna check out that taxr.ai thing you mentioned - tired of constantly refreshing WMR and getting nowhere ๐ค
QuantumQuester
Here's what's happening with state returns this year based on my research: States are implementing additional identity verification steps that weren't used in previous years. For example, if you have investment income like you mentioned, many states are now cross-referencing those amounts with third-party reporting which adds 2-3 weeks to processing. When you called, check exactly what department you reached - if it was collections saying "you don't owe anything," that's different from the refund department confirming your return is processing. Try this specific approach: call early morning (8:00-8:30am) and specifically ask for the "refund status department" rather than general inquiries. Ask them to check if your return is in the regular processing queue or if it's been flagged for additional review.
0 coins
Zoe Papanikolaou
I'm experiencing something very similar! Filed my state return on February 15th and received my federal refund within 10 days, but my state return has been showing "processing" for over 6 weeks now. When I called last week, the representative also gave me that confusing "you don't owe anything" response - like they're reading from a script that doesn't actually address refund inquiries. What's particularly frustrating is that my return is straightforward with just W-2 income and standard deduction, so there shouldn't be anything complex to review. The lack of transparency in their processing timeline is really disappointing compared to how the IRS handles status updates. Has anyone found a way to get more specific information about where their return actually sits in the processing queue?
0 coins