Thank you all for sharing your experiences with FIRPTA delays - this thread has been incredibly helpful! I'm now at the 7-week mark since submitting my 8288-B, so still within the official 90-day window but clearly that doesn't mean much based on everyone's actual timelines. A few follow-up questions based on what I've learned here: 1. For those who received interest payments, did the IRS send any advance notice about the interest calculation, or does it just show up with the refund check? 2. Has anyone tried both the congressional inquiry route AND one of the callback services mentioned? I'm wondering if combining approaches might be more effective. 3. @Raul Neal - as an attorney handling these cases, have you noticed any patterns in terms of which applications get processed faster? For example, does the dollar amount of withholding seem to matter, or certain types of properties? I'm trying to decide whether to be proactive now or wait closer to the 6-month mark before taking additional steps. Given that I potentially have $75K+ tied up for many months, the interest will help but I'd obviously prefer to have access to my money sooner rather than later.

I wanted to add some additional context about FIRPTA interest calculations that might be helpful for everyone dealing with these delays. I work in tax compliance and have processed quite a few of these cases. The interest rate is actually updated quarterly by the IRS and published in Revenue Rulings. For 2024, the rates have ranged from about 7% to 8% depending on the quarter. The calculation is done on a daily compounding basis, which means the longer the delay, the more significant the interest becomes. One thing I haven't seen mentioned here is that if you end up owing additional tax when you file your return (beyond what was withheld), the IRS will also charge you interest on any underpayment. So while they pay you interest for delays in processing your withholding certificate, they'll also charge interest if you didn't have enough withheld initially. Also, regarding the 45-day rule mentioned earlier - this applies specifically to refunds of overwithholding after a withholding certificate is approved. If your certificate is denied or if you don't apply for one, different interest rules apply. The key is making sure your 8288-B application is as complete and accurate as possible from the start to avoid the documentation reset issues others have mentioned. For anyone still waiting, keep detailed records of all correspondence and submission dates. You'll need these to verify the interest calculation when your refund finally arrives.

I'm going through this exact same situation right now and I can't express how much this thread has helped calm my nerves! I accidentally submitted a W9 instead of W8-BEN while working remotely from Sweden for a US fintech company after my J-1 visa expired about 6 months ago. The panic when I realized my mistake last week was overwhelming - I was convinced I'd face massive penalties or somehow jeopardize my ability to visit the US in the future. But reading through everyone's detailed experiences here has shown me this is not only fixable but apparently quite common! I immediately contacted my employer and submitted a corrected W8-BEN with an explanation letter. They were very understanding and said they'd update their records. Now I'm gathering all my documentation (passport stamps, Swedish lease agreement, bank statements) to file my 1040NR. The information about the US-Sweden tax treaty has been eye-opening - I had no idea there were potential benefits that could actually work in my favor here. I'm researching Article 7 provisions now and it looks like this could significantly reduce what I thought I'd owe. For anyone else going through this, the consistent timeline of 6-8 weeks for processing that people have shared is really helpful for setting expectations. And knowing that multiple people have had zero immigration consequences afterward is such a relief. Thank you to everyone who took the time to share their detailed experiences - this community support has transformed what felt like a crisis into a manageable process with a clear path forward!

I'm currently dealing with this exact same situation and this thread has been an absolute lifesaver! I accidentally submitted a W9 instead of W8-BEN while working remotely from Italy for a US marketing agency after my F-1 OPT expired about 4 months ago. The relief I felt reading through everyone's experiences is indescribable - I've been losing sleep over this mistake for the past two weeks since I discovered it. It's amazing how this seems to be such a common error, yet there's not much clear guidance out there when you're frantically searching for solutions. I've already submitted my corrected W8-BEN to my employer (they were very understanding, as others have mentioned), and I'm now working on gathering all my documentation for the 1040NR filing. The information about tax treaties has been particularly valuable - I had no idea the US-Italy tax treaty could actually work in my favor here. One thing I'm curious about that I haven't seen mentioned much: has anyone dealt with this situation where they had some income while physically in the US (before leaving) and some while abroad in the same tax year? I worked for about 2 months in the US before moving to Italy, so I'm trying to figure out how to properly allocate the income on my return. Also, for those who used professional services, did you find it worth the cost, or were you able to handle everything successfully on your own with the information available online? Thank you all for sharing such detailed experiences - this community has made what felt like an impossible situation feel completely manageable!

I'm going through the exact same thing right now! My transcript shows code 846 with a deposit date from last week, TurboTax says "refund arrived" but my bank account is still showing nothing. I was getting really worried that something went wrong with my direct deposit info or that there was some kind of issue with my return. Reading through all these comments has been such a relief - sounds like this delay between the IRS date and when banks actually post the funds is totally normal. I had no idea that weekends don't count for processing and that banks can hold ACH transfers for a few days. Definitely going to stop obsessively checking my account every few hours and just wait it out until the end of the week. Thanks everyone for sharing your experiences - makes me feel way less crazy about this whole situation!

This is actually super common and happened to me twice in the past few years! TurboTax basically just reads your IRS transcript and updates their status based on the 846 code date, but that doesn't mean the money has actually hit your bank yet. Banks typically take 1-3 business days to process ACH deposits from the IRS, and since your transcript shows 9/14 and today is 9/17, you're right in that normal processing window. The fact that it went through a weekend probably added to the delay since most banks don't process these transfers on weekends. I'd give it until Thursday or Friday before getting concerned. If it still hasn't shown up by then, definitely call your bank first to make sure they're not holding it for any reason - sometimes they flag larger refunds for fraud review. The IRS phone number someone mentioned earlier is also helpful if your bank says they haven't received anything. Hang in there, it's probably just taking its normal sweet time to process!

Have you considered what happens if you can't get this resolved before the filing deadline? Like trying to navigate a ship through foggy waters without proper navigation equipment, you might need to file for an extension using Form 4868. This buys you until October 15th, though it's worth noting that any taxes owed are still due by the original deadline - the extension is just for paperwork, not payment. Has your employer given any indication of why they're delaying sending your W-2?

I went through this exact situation two years ago when my former employer merged with another company and their HR department was completely overwhelmed. Here's what worked for me: 1. **Document everything** - Keep records of every email, call, and attempt to contact your employer. The IRS representative will ask for this timeline. 2. **Try the employer one more time** - Send a certified letter requesting your W-2, mentioning the legal requirement (employers must provide by January 31st). Sometimes the formal approach gets results. 3. **Call early and be persistent** - I had success calling the main IRS line at exactly 7:00 AM on a Tuesday. Took about 45 minutes on hold, but I got through. 4. **Have your information ready** - When you do reach someone, have your SSN, employer's EIN (if you know it), last known address of employer, and your final paystub handy. The IRS can initiate contact with your employer, but as others mentioned, you'll likely need Form 4852 to actually file your taxes. Don't wait too long - if you're getting close to the deadline, file the extension and keep working on getting the W-2. The stress isn't worth trying to rush everything at the last minute.

Don't forget to check Box 20 code W on the K-1 for §751 "hot assets" too! If the partnership had inventory or unrealized receivables, some of what would otherwise be capital gain could be recharacterized as ordinary income when the partner exits. This can really mess up tax planning if not anticipated.

This is a tricky situation that I've seen play out badly when not handled correctly. The key issue here is that while your partner's EOY allocation of nonrecourse liabilities is indeed $0 (because they had 0% ownership at year-end), the decrease in their share of liabilities throughout the year should create a deemed cash distribution under §752(b). What you need to verify is whether this deemed distribution was properly calculated and reported on the final K-1. The partner's share of nonrecourse liabilities at the beginning of 2022 (or at the time they exited if mid-year) minus their EOY share ($0) equals the deemed distribution amount. This should appear somewhere on the K-1, typically in the distributions section. This deemed distribution can actually help with the suspended losses! If the deemed distribution exceeds the partner's remaining outside basis, it creates gain - but the suspended losses can be used to offset this gain. Any suspended losses that exceed the gain would unfortunately be lost forever upon complete exit. I'd recommend having your CPAs walk through the specific calculation of how the liability decrease was treated and whether it was properly reflected as a deemed distribution. The partner's CPA can then determine how much of the suspended losses can be utilized against any resulting gain.