Has anyone checked line 30 on Form 1040 (Recovery Rebate Credit) on both returns? That was the source of discrepancy for me last year - one software automatically calculated it correctly while the other one needed manual input.

I just went through this exact same situation last month! Had a $89 difference between TurboTax and FreeTaxUSA. After comparing both returns line by line, I discovered the issue was in how they handled my dependent care FSA contributions on Form 2441. TurboTax was correctly reducing my eligible dependent care expenses by the FSA amount I contributed, while FreeTaxUSA was double-counting it somehow. The IRS instructions are pretty clear that you can't claim the dependent care credit for expenses you already paid for with pre-tax FSA dollars. My advice would be to print out both completed returns and go through them systematically: - Compare your Form 1040 line by line - Check any schedules you have (A, B, C, etc.) - Look at state return calculations if applicable - Pay special attention to credits like Child Tax Credit, Education Credits, and Dependent Care Credit The $64 difference you're seeing is definitely worth investigating. In my case, TurboTax had it right and I would have gotten in trouble with the IRS if I'd filed the incorrect return showing the higher refund.

18 Pro tip: Always take screenshots of your payment confirmation page when e-filing. I've had issues in the past where the IRS claimed they never received payment authorization, but having that screenshot saved me from penalties. Also, never cut it too close to the deadline - IRS systems get overwhelmed and banking transfers can take longer than expected.

Based on my experience, the IRS usually processes direct debit payments within 1-3 business days after accepting your return, but it can extend to 5-7 business days during peak filing season. Since you filed Monday and it's Thursday, you're still within the normal timeframe. A few things to check: 1. Log into your IRS online account to verify the payment is scheduled 2. Make sure you didn't accidentally select a future payment date (like April 15th) when filing 3. Check that your bank account has sufficient funds - some banks may delay processing if the account balance is low If the payment fails, the IRS will mail you a notice, but you won't get immediate penalties. You'd have time to make alternative payment arrangements. The key is acting quickly once you receive any failure notification. Don't stress too much yet - Thursday after a Monday filing is pretty normal timing for the withdrawal to appear.

Has anyone tried Credit Karma Tax (now Cash App Taxes)? It's completely free and claims to support Form 1116, but I'm worried it might miss something with foreign income.

I've been in a similar boat with cross-border tax situations! Based on my experience, TurboTax Deluxe should handle your situation well since you have straightforward wage income. The Foreign Tax Credit section walks you through Form 1116 step by step, and yes, it will prompt you for any carryover amounts from previous years. One tip: make sure you have your foreign tax documents translated if they're not in English, and keep records of the exchange rates used. TurboTax will use IRS published rates, but having your own documentation helps if there are any questions later. For penalty calculations, the software is pretty good at figuring out underpayment penalties based on when you made estimated payments throughout the year. Since you mentioned the cost was a major factor in wanting to DIY this year - TurboTax Deluxe runs around $60-80 depending on promotions, which is obviously much better than $650! Just take your time with the foreign income sections and double-check everything before filing.

As a newcomer to this community, I'm amazed by the depth of knowledge and helpful advice being shared here! Reading through this entire discussion has been incredibly educational. I wanted to add one consideration that might be relevant for your situation - since you mentioned this was such an unexpected windfall during a business trip, you might want to think about setting aside money immediately for your tax obligations rather than spending or investing it all right away. With federal taxes potentially in the 32-37% range for this amount (depending on your other income), plus California state taxes around 9-13%, plus potential penalties if you don't make adequate estimated payments, you could be looking at owing $35,000-$45,000 or more in taxes on these winnings. I'd suggest opening a separate savings account and immediately parking at least 45-50% of your winnings there specifically for taxes. This way you won't be scrambling to come up with tax money next April, and if you end up owing less than expected, you'll have a nice bonus left over. The psychological aspect is important too - it's much easier to set aside tax money right after a big win when you're feeling flush than it is to come up with that same amount months later when the excitement has worn off and you've gotten used to having the extra money. Congratulations on your incredible luck, and thanks to everyone else for sharing such detailed and helpful guidance!

As someone who's dealt with similar international tax complications, I want to echo what others have said about getting professional help, but also add a timeline consideration that's crucial for your situation. Given that this happened recently and we're already well into the tax year, you need to act quickly on several fronts: 1. **Immediate estimated payments**: With winnings this large, you'll likely trigger underpayment penalties if you don't make quarterly estimated payments. The next deadline is coming up fast, so calculate roughly what you'll owe and get a payment submitted to avoid penalties. 2. **FBAR compliance**: Since you opened that German bank account, the FBAR deadline is October 15th with automatic extension, but don't wait. Get familiar with the FinCEN Form 114 requirements now. 3. **Documentation while it's fresh**: Contact the German casino ASAP for any available documentation of your win. International paperwork can take weeks to obtain, and memories fade. Get everything in writing while the details are still clear. The advice about setting aside 45-50% for taxes is absolutely critical. In your shoes, I'd immediately transfer that amount to a separate "tax account" and treat it as already spent. The worst feeling is having to scramble for tax money months later when the reality of the bill hits. One more thing - consider consulting with both a tax professional AND a financial advisor. This windfall could significantly impact your overall financial planning, retirement contributions, and investment strategy going forward. You've got a great problem to have, but it definitely requires immediate and careful attention!

Have you considered selling the working piece for parts and scrapping the broken one? I had a similar situation with some CNC equipment. My tax guy said that if I sold it for significantly less than the depreciated value, I could actually claim a loss on the transaction. The key was documenting the fair market value properly and getting a professional appraisal to support the reduced value.

I went through something very similar with manufacturing equipment last year. One thing that really helped was getting a formal assessment from a certified equipment appraiser to document the actual condition and fair market value of both pieces. In my case, the appraiser determined that the "working" piece of my set had significantly diminished value because it couldn't function without its counterpart. This helped establish that both pieces had suffered a loss in value due to the failure of one component. The appraisal cost me about $400, but it saved me thousands in recapture taxes because I was able to demonstrate that the fair market value of the entire system had dropped below my remaining basis. This allowed me to treat it as a casualty loss rather than a sale with recapture. Make sure to get the appraisal done soon though - the IRS wants to see that the valuation reflects the condition at the time of the loss, not months later. Also keep all your repair estimates and documentation about why the equipment can't be economically repaired.