Don't overlook your state tax agency too. Most states have their own tax fraud reporting systems, and sometimes they're more responsive than the IRS for smaller cases. Just google "[your state] report tax fraud" and you'll usually find a form or hotline.

Just want to add that timing can be important when filing these reports. If you know the person is currently preparing their taxes or just filed, that might be a good time to submit your report since the IRS will have fresh information to compare against. Also, keep records of when you submit your report - I've heard the IRS sometimes takes months or even years to follow up, so having documentation of when you first reported can be helpful if they ever contact you for additional information. One more thing - if this person is a business owner, the IRS might be more interested since business tax fraud often involves larger amounts than individual income tax issues. Good luck with whatever you decide to do!

Welcome to the community! As someone who's dealt with similar IRS correspondence anxiety, I can totally relate to that heart-stopping feeling when you see an official Treasury envelope. Your story is such a perfect example of how our imagination often creates way more stress than the actual situation warrants. What really resonates with me is how you checked your transcripts and saw nothing concerning, but still felt that anxiety spiral. That zero balance you mentioned is actually one of the best indicators that everything is fine - if the IRS had assessed additional taxes or penalties, that would typically show up immediately in your account transcript. The education credit correction you received is incredibly common! The IRS automated systems are actually quite good at catching when taxpayers have under-claimed credits they're entitled to. That extra $24 was money you deserved but probably just made a small calculation error on. It's refreshing to see the system working in a taxpayer's favor for once. The timing delay between processing and correspondence is unfortunately typical right now. Many processing centers are still dealing with backlogs, and it seems like letter generation is one of the slowest parts of their workflow. But it's always better when the money shows up first and the explanation comes later rather than the other way around! Thanks for sharing your resolution - stories like yours help so many people realize that mysterious IRS letters aren't always the disaster we imagine them to be.

As a newcomer to this community, I just wanted to say how incredibly helpful this entire thread has been! I'm someone who gets major anxiety about any official government correspondence, so reading Oliver's story and seeing how it turned out to be good news really helps put things in perspective. What really strikes me is this pattern everyone's describing where the IRS can process corrections and send refunds quickly, but then takes months to mail the paperwork explaining what they did. It seems so backwards, but at least it means getting the money first and the explanation later rather than the other way around! I had no idea that the IRS automated systems actually look for ways to give taxpayers more money they're entitled to. Oliver's education credit correction resulting in an extra $24 is such a great example of how these "scary" letters often contain positive news. It's honestly refreshing to learn that the system sometimes works in our favor. I'm definitely going to set up that online IRS account everyone keeps mentioning. Being able to check transcripts proactively instead of being blindsided by mystery letters months later sounds like it would save so much stress and anxiety. Thanks to everyone for sharing their experiences and creating such a supportive space for people dealing with tax correspondence anxiety!

This is such a helpful thread! I've been maxing out my 401k for years but never realized I could also do the full Roth IRA contribution on top of it. I always assumed there was some combined limit that would prevent me from doing both. Just to make sure I understand correctly - if I'm 28 years old and make $95,000 annually, I can contribute: - $24,500 to my 401k - $7,500 to my Roth IRA - And my employer's 4% match doesn't count against either of those limits Is that right? This could be a game-changer for my retirement savings strategy. I've been leaving money on the table by not opening a Roth IRA thinking I was already "maxed out" with just my 401k contributions.

Great question! I was confused about this same thing when I started getting serious about retirement savings. The limits are indeed completely separate - you can max out both accounts without any overlap. One thing I'd add to the excellent advice already given: consider the tax strategy between traditional vs Roth 401k contributions. At 32, you likely have decades until retirement, so Roth contributions (whether 401k or IRA) can be really powerful for tax-free growth. You might want to consider splitting your 401k contributions between traditional and Roth, especially if your employer offers both options. Also, don't forget about HSA contributions if you have access to a high-deductible health plan! For 2025, you can contribute $4,300 for individual coverage or $8,550 for family coverage. HSAs are triple tax-advantaged and can serve as another retirement account after age 65. The fact that you're thinking about maximizing contributions at 32 puts you way ahead of most people. Keep up the great work!

I've been following this discussion as someone new to both this community and the idea of tax preparation as a side income. As a seasonal worker myself (I do pool maintenance and installation), I face the exact same winter income gaps that everyone here is talking about. What really strikes me about this thread is how consistently positive the feedback is from people who actually completed the H&R Block course. The $200 investment returning $3,500+ in the first season seems like solid math, especially when combined with the guaranteed interview opportunity that removes so much uncertainty. I'm particularly intrigued by the specialization potential that several people have mentioned. Through my pool work, I interact with property managers, contractors, and small business owners who often complain about their tax preparers not understanding seasonal businesses or equipment depreciation schedules. That could be a natural client base once I develop the expertise. The self-study format timing is perfect - December through February is dead season for pool work, so I'd have plenty of focused time to get through the training. Having a structured path from course completion to actual client work feels like exactly what I've been looking for to smooth out those brutal winter months. Thanks to everyone who shared their real experiences - this thread has been incredibly valuable for understanding what this opportunity actually looks like in practice!

As someone who's been doing seasonal tree removal and landscaping for about 5 years, this entire thread has been incredibly enlightening! I face the exact same winter income challenges that everyone here is describing, and the H&R Block course sounds like it could be the perfect solution. What really convinces me is seeing the consistent positive feedback from people who actually completed the program. The $200 investment paying for itself with $3,500+ earnings in the first season is compelling math, especially with that guaranteed interview opportunity removing the uncertainty factor. I'm particularly excited about the potential to eventually serve other seasonal businesses and contractors. Through my tree work, I interact with property managers, landscaping companies, and other contractors who constantly struggle with tax preparers who don't understand equipment depreciation, seasonal cash flow patterns, or how to properly handle irregular income from project-based work. The timing couldn't be better - December through February is completely dead for tree work, so I'd have plenty of focused time to get through the self-study materials. Instead of just scraping by during the slow months, I could be building a skill that generates income right when tax season hits. Planning to sign up for the course this week while work is still manageable. Thanks to everyone who shared their real experiences - this thread has given me the confidence to make this investment!

Has anyone dealt with the timing issue if you filed amended 941s to claim the ERC after you already filed your 1120-S for that tax year? I'm in this situation now - claimed ERC for 2021 quarters but already filed my 2021 1120-S before receiving the credit.

I've been dealing with this exact issue for my S-corp and can confirm what others have said - you absolutely need to reduce wage expenses by BOTH the refundable and non-refundable portions of the ERC on your 1120-S. The key thing to remember is that the ERC is essentially reimbursing you for wages you already deducted as business expenses. If you don't reduce your wage expense by the full ERC amount, you're getting a double tax benefit - once from deducting the wages and again from the credit. I'd also recommend keeping detailed documentation of how you allocated the ERC reduction between different wage categories (officer compensation vs regular wages) in case the IRS has questions later. This becomes especially important if you're claiming QBI deductions since the wage amounts on your K-1s will be affected by these reductions.