I would recommend using the IRS Free File program if your income is that low. Go directly to IRS.gov and look for Free File options. They have partnerships with tax software companies that will let you file completely free if your income is below certain thresholds, which clearly you would qualify for with zero income.

I was in almost the exact same situation last year - zero income and two kids. Yes, you can absolutely claim the Child Tax Credit! The key is understanding that part of it is "refundable" which means you get money back even if you don't owe any taxes. For 2024 taxes (filing in 2025), you can get up to $1,600 per qualifying child under 17 through the Additional Child Tax Credit, even with zero income. There's no special non-filer tool this year - you just file a regular tax return showing $0 income. I used the IRS Free File program on IRS.gov and it walked me through everything. Make sure you have your kids' Social Security numbers and can prove they lived with you more than half the year. The process was actually simpler than I expected, and I got about $3,200 total for my two kids. It was a huge help during a really tough time. Don't let anyone tell you that you can't get tax credits without income - that's one of the biggest misconceptions out there!

This is such an important question about VITA capabilities! Yes, VITA volunteers are trained to handle amended returns, including multiple years, though the complexity might mean they refer you to a more experienced volunteer or supervisor within the program. They can definitely help with the actual preparation of Forms 1040X (amended returns) and will walk through all the documentation you have. Regarding payment plans, VITA volunteers can help you understand your options and even assist with filling out Form 9465 (Installment Agreement Request), but they can't actually set up the payment plan for you - that has to be done directly with the IRS. However, they're great at explaining what information you'll need and helping you calculate what monthly payment amount would work for your budget. One thing I'd add to the excellent advice already given - your volunteer should also look into whether they qualify for "Currently Not Collectible" status if their financial situation is truly dire. This temporarily suspends IRS collection activities if you can prove you can't pay basic living expenses. It's not forgiveness, but it gives breathing room. The fact that this person was volunteering their time to help the community while dealing with a nonprofit's administrative failures really shows the kind of person they are. With proper documentation and the right help, this situation is definitely manageable.

As someone who's dealt with IRS issues before, I want to emphasize that this volunteer should act quickly but not panic. The IRS is actually more understanding than people think when there's a legitimate reason for the oversight. A few practical steps I'd recommend: 1) Have the volunteer request copies of their tax transcripts from the IRS for the past 6 years to see what income was actually reported. This will help determine exactly which years need amended returns. 2) Contact the nonprofit in writing to document their failure to provide timely tax documents. This creates a paper trail that could help with reasonable cause arguments for penalty relief. 3) Calculate the worst-case scenario (taxes + penalties + interest) and the best-case scenario (with all possible deductions and penalty relief) to understand the actual range they might be dealing with. 4) Consider consulting with an Enrolled Agent (EA) rather than just a regular tax preparer. EAs specialize in IRS representation and can often negotiate on your behalf. The volunteer should also know that even if they end up owing money, the IRS payment plans are quite reasonable - often as low as $25/month for smaller amounts. The key is being proactive and honest about the situation rather than trying to hide from it.

Has anyone used H&R Block or TurboTax for handling ISO sales with AMT credits? I'm wondering if they calculate everything correctly or if I need to use a specialized tax preparer for this.

This is a great question about AMT and ISO dispositions! I went through something very similar last year. One thing I learned that might help: when you sell those 3,000 shares at $6.75, you'll indeed have different tax treatments for regular vs AMT purposes. For regular tax, you'll have long-term capital gains of ($6.75 - $1.35) × 3,000 = $16,200. But for AMT purposes, you'll actually have a loss of ($6.75 - $13.50) × 3,000 = -$20,250. This AMT loss helps generate additional AMT credit that you can use to offset future regular tax liability. The key thing to remember is that AMT credits can only be used when your regular tax exceeds your tentative minimum tax in future years. So if you're planning to exercise more ISOs this year, you'll want to model out whether you'll be able to use those credits effectively or if they'll just carry forward again. I'd strongly recommend getting a tax projection done before you make any moves, especially if you're considering additional exercises. The timing of when you sell and exercise can make a huge difference in your overall tax bill.

I've been lurking on this thread as someone who faced a nearly identical situation with Sprott PSLV in my traditional IRA. The collective wisdom here is excellent - you definitely don't need to file Form 8621 for PFIC holdings in qualified retirement accounts. What I found most helpful was understanding the "why" behind this exemption. The PFIC rules target tax avoidance through deferral of income recognition on foreign investments. Since your IRA already provides legitimate tax deferral by design, applying PFIC reporting would be redundant and contrary to the intent of retirement account tax benefits. I went through months of research and eventually paid for a consultation with an international tax specialist. They confirmed the IRA exemption and explained that the Treasury regulations treat qualified retirement accounts differently precisely because they already have their own comprehensive tax framework. For your three-year ownership period, you absolutely don't need to amend anything. There was no filing obligation you missed. Just keep good records of your purchase dates and basis in case you ever need them for future account transactions. One last thought - since you mentioned using TurboTax, be aware that if you ever hold PFICs in taxable accounts, you'll likely need more sophisticated tax software or professional help. Consumer software generally can't handle Form 8621 properly.

I've been dealing with PFIC issues for several years now across different account types, and this thread perfectly captures the confusion that many investors face with these rules. The consensus here is absolutely correct - PFICs held in IRAs generally don't require Form 8621 filing because the tax-deferred structure of the IRA already addresses what the PFIC rules are designed to prevent. What I'd add from my experience is that it's worth understanding that this exemption applies broadly to qualified retirement accounts - not just traditional and Roth IRAs, but also 401(k)s, 403(b)s, and similar employer-sponsored plans. The underlying principle is the same across all these account types. For your Sprott fund situation specifically, I'd recommend keeping detailed records of your holdings even though you don't need to file Form 8621. If you ever decide to rebalance your portfolio or if tax laws change in the future, having good documentation of purchase dates, amounts, and fund details could be valuable. One practical tip: consider setting up a simple spreadsheet or folder to track your PFIC holdings across all accounts. Even though the IRA holdings don't require current reporting, having organized records makes it much easier to handle any future scenarios where the information might become relevant. The peace of mind from professional confirmation is definitely worth considering given your $19K holdings, but you can move forward confidently knowing that no immediate filing is required.

As someone who used to work for a tax resolution firm, I'd add one more thing - check if you received a closing letter for the CP-2000 (often a letter number 2030C). If not, you should absolutely call to verify the status. Sometimes the IRS makes adjustments based on information they receive from third parties without properly notifying you. Even if your account shows $0 now, if the issue isn't formally closed in their system, it could potentially come back later. The IRS operates on extremely slow timelines, and sometimes notices cross in the mail. Better to be 100% sure than to have this resurface years later with interest and penalties attached.

This situation is more common than you think, especially with older debt cancellations. The timing disconnect between when the CP-2000 was generated and when your online account updated is typical - the IRS systems don't always sync immediately. Since your online account shows $0 due, it's very likely that the IRS already processed information showing you either qualified for an exclusion (like insolvency) or determined the debt cancellation income wasn't actually taxable in your case. Credit card companies sometimes report cancellations incorrectly or the IRS receives corrected forms later. However, I'd strongly recommend calling the CP-2000 phone number to get official confirmation and ask for a closing letter. You want documentation that this specific notice has been resolved, not just that your current balance is zero. Also request an account transcript that shows the adjustment - this will give you peace of mind and protect you if anything comes up later. Don't ignore it completely, but also don't panic and pay money you might not actually owe. Get the official word first.