I went through this exact same confusion with Hurricane Ian losses for my property in Bonita Springs. The IRS guidance online is definitely outdated - they still reference Hurricane Maria in most publications because they don't update every document immediately after each disaster. Hurricane Ian is absolutely a qualified disaster under FEMA declaration DR-4673-FL from September 29, 2022. I successfully claimed my losses using Form 4684 and received my refund without any issues from the IRS. The key documentation you'll need: detailed photos of damage, all insurance correspondence and claim settlements, contractor estimates for repairs, receipts for any out-of-pocket expenses, and proof you were in an affected county. For your $42,000 loss, make sure you're clear about what portion was covered by insurance versus your actual out-of-pocket loss. One thing I wish I'd known earlier - you can choose to claim the loss on either your 2021 or 2022 tax return, whichever gives you better tax savings. With a loss that size, it's worth running the calculations both ways. In my case, claiming it on 2021 saved me about $4,200 more because my income was higher that year and the deduction was worth more. Don't let outdated IRS publications confuse you - Hurricane Ian definitely qualifies and you should claim that deduction if you have proper documentation.

I can definitely help clarify this confusion about Hurricane Ian! You're absolutely right that the IRS guidance online is frustratingly outdated - they still reference Hurricane Maria in most of their publications because they don't update every single document after each new disaster. Hurricane Ian is 100% a qualified disaster under FEMA declaration DR-4673-FL (declared September 29, 2022). I work in tax preparation and have successfully processed dozens of Hurricane Ian claims using Form 4684 without any issues from the IRS. For your $42,000 loss, here's what you need to know: 1) Use Form 4684 (Casualties and Thefts) and specifically reference FEMA DR-4673-FL 2) Document everything: photos of damage, insurance claim details, contractor estimates, repair receipts 3) Calculate your loss as the lesser of: decrease in fair market value OR your adjusted basis, minus any insurance reimbursements One crucial tip that could save you thousands: you can elect to claim this loss on either your 2021 OR 2022 tax return - whichever gives you better tax savings. With a $42K loss, this decision could easily be worth $3,000+ in additional refund depending on your income in each year. Don't let your tax preparer's uncertainty cost you money. The guidance is crystal clear once you know the FEMA declaration number. Hurricane Ian absolutely qualifies and you should claim every penny you're entitled to.

The QBI deduction can definitely be confusing, especially with multiple income sources! One thing that might help is understanding that the phase-out isn't a cliff - it's gradual. Between the lower and upper thresholds, your deduction is calculated using a blend of the standard 20% rule and the more restrictive W-2 wage/property limitation. For your S-corp situation, you're actually in a pretty good position because S-corp shareholder wages DO count toward the W-2 wage limitation test. This means even if you're above the upper threshold, you might still qualify for a significant deduction if your business pays reasonable wages. One strategy some S-corp owners use is optimizing their salary vs. distribution mix. While you need to pay yourself reasonable compensation, having adequate W-2 wages can help preserve your QBI deduction when you're in the phase-out range. Just make sure any salary adjustments still meet the "reasonable compensation" requirements for S-corp shareholders. Have you calculated where your taxable income falls relative to the 2025 thresholds? That would help determine which calculation method applies to your situation.

One aspect of QBI that often trips people up is the "specified service trade or business" (SSTB) rules. If your business falls into categories like consulting, law, accounting, health, or financial services, the QBI deduction phases out completely once you exceed the income thresholds - there's no W-2 wage or property test that can save you. However, many businesses think they're SSTBs when they're actually not. For example, if you're an engineer who owns a manufacturing business, that's typically NOT an SSTB even though engineering services would be. The key is what your business actually does, not your professional background. Also worth noting: if you have multiple businesses and some are SSTBs while others aren't, you calculate QBI separately for each. The non-SSTB businesses can still qualify for QBI even if your SSTB income is completely phased out due to high income. For your S-corp, make sure you're also considering the impact of any rental properties or other passive investments you might have. Rental real estate can qualify for QBI (with some limitations), and this income is calculated separately from your active business QBI, which can sometimes help offset phase-out limitations.

Don't forget about the Form W-9! Requiring a completed W-9 adds an extra layer of verification. If someone provides false information on a W-9, they're committing perjury under federal law, which creates a strong disincentive for scammers.

One approach that's worked well for our platform is implementing a tiered verification system. For lower-risk transactions (under $500), we rely on document verification plus state business registry checks. For higher amounts, we add banking verification and sometimes require a video call with the business owner. We use a combination of automated document analysis (similar to what others mentioned with AI tools) and manual spot-checks. The key is having clear escalation procedures - if anything looks suspicious during automated screening, it gets flagged for human review. Also worth considering: many fraudsters will abandon applications if the verification process seems thorough, even if they could potentially pass each individual check. Sometimes the perception of rigorous verification is as valuable as the actual verification itself. For the volume you're dealing with, I'd recommend starting with document + state registry verification, then adding layers based on transaction risk levels rather than trying to verify everything to the same standard.

I'm going through something very similar right now and your post really resonated with me. One thing I learned from my tax attorney is that you should also consider whether either of you has used the capital gains exclusion on another property within the past 2 years. The IRS has a rule that you can only use the $250,000 (or $500,000 if married filing jointly) exclusion once every 2 years. Also, since you mentioned this is your biggest asset, make sure you coordinate with your divorce attorney about how the tax implications fit into your overall property settlement. Sometimes it makes sense for one spouse to take a slightly smaller share of other assets to account for any tax burden from the house sale. Given your numbers ($300k gain minus improvements and closing costs), you're likely looking at minimal or no capital gains tax regardless of when you finalize the divorce. But having that conversation with both your divorce attorney and a tax professional can help you optimize the overall settlement. Hang in there - it does get easier once all the paperwork is finalized!

I'm so sorry you're going through this difficult time. Divorce is stressful enough without having to worry about tax implications too. Based on what you've shared, it sounds like you're in a pretty good position tax-wise, which should be one less thing to stress about. From the numbers you provided, your capital gain would be around $300,000 ($620,000 sale price minus $320,000 purchase price). But as others have mentioned, don't forget to add any qualifying home improvements to your cost basis - that kitchen reno and HVAC replacement you mentioned could reduce your taxable gain significantly. One thing I'd recommend is getting everything documented now while you still have access to all the records. Make copies of the original purchase documents, receipts for major improvements, and any other relevant paperwork. During my own divorce, things got scattered between lawyers and moving, and it was much harder to track everything down later. The good news is that with the capital gains exclusions available and the improvements you've made, you'll likely owe little to no capital gains tax regardless of whether you finalize the divorce before or after the sale. Focus on what makes the most sense for your overall settlement rather than just the tax implications. Wishing you the best through this process!

anyone else notice that sometimes forms ask for "SSN" and other times they ask for "TIN" even though they want the same thing? super confusing when you're filling out tax forms. why can't they just use consistent terminology??

Don't worry, this isn't a dumb question at all! I was in the exact same boat when I started my first "real" job. Your TIN (Taxpayer Identification Number) is most likely your Social Security Number if you're a U.S. citizen or permanent resident. The confusion comes from the fact that TIN is basically an umbrella term - it can refer to different types of tax ID numbers depending on your situation. For most regular employees like yourself, your 9-digit SSN serves as your TIN. You can double-check this by looking at any previous tax documents you might have (like a W-2 from a part-time job) - your SSN will be listed in the TIN field. So when your HR person asks for your TIN on the tax forms, just provide your SSN. It's totally normal to be confused by tax terminology - the IRS doesn't exactly make things crystal clear with their language choices!