Has anyone actually had their taxes rejected because of Form 8332 issues? Our decree says we alternate claiming our daughter each year, and we've been doing that for 2 years without any forms. I claim odd years, he claims even years. No issues so far, but now I'm nervous after reading this thread!

I went through this exact situation last year and wanted to share what I learned. The key thing to understand is that your divorce decree and IRS rules are completely separate systems that don't automatically talk to each other. Even though your decree says you each claim one child, the IRS has their own "tiebreaker" rules for determining the custodial parent when custody is truly 50/50. Since you mentioned equal physical custody, they'll look at who has higher adjusted gross income to determine who gets the right to claim the children. Here's what I'd recommend: First, carefully count the actual overnight stays for each child to make sure you really do have exactly 50/50 custody. Sometimes what we think is "equal" isn't when you count every single night. Second, if it truly is 50/50 and your ex has higher income, he technically has the right under IRS rules to claim both children unless he signs Form 8332 releasing his claim to one child. Your ex is wrong about not needing any forms - the IRS doesn't care what your divorce decree says if their rules determine a different custodial parent. Don't risk it. I'd suggest getting professional help to review your specific situation, because getting this wrong can result in rejected returns, penalties, and having to pay back tax credits with interest.

As someone who recently went through this exact process with my small tech consulting business in Amsterdam (also a V.O.F.), I completely understand your frustration! The W-8BEN-E is genuinely one of the most confusing tax forms out there. Here's what I learned that might help: For a Dutch V.O.F., you're essentially dealing with a pass-through entity similar to a US partnership. The key sections you need are Part I (basic info), Part III (treaty benefits), and Part XXIX (signature). For Part I line 5, definitely select "Partnership" since that's how the IRS views a V.O.F. For the TIN fields - you can leave the US TIN blank since you don't need one for basic consulting. For foreign TIN, use your KVK number including any leading zeros. Skip GIIN entirely unless you're somehow a financial institution (which you're not). The treaty benefits section (Part III) is where you'll claim Article 7 from the US-Netherlands tax treaty at 0% withholding rate, assuming you're just providing remote consulting services with no permanent establishment in the US. One thing that really helped me was printing out the form and physically crossing out all the sections that don't apply - it made the relevant parts much clearer. You're basically filling out maybe 15% of the actual form. The whole process took me about 2 hours once I figured out what applied to us, and our US client accepted it without any issues. Feel free to ask if you have specific questions about any of the sections!

I went through this exact same process with my small consulting business in Belgium last year, and I totally feel your pain with the W-8BEN-E! It's honestly one of the most intimidating forms I've ever encountered. What really helped me was breaking it down into just the essentials for a simple EU consulting business like yours. For your Dutch V.O.F., you're looking at completing maybe 4-5 sections total out of the entire form. The key is understanding that most of those complex sections are for financial institutions, large corporations, or entities with complicated ownership structures - none of which apply to a small 3-person consulting firm. Here's what made it click for me: think of the form as the IRS trying to cover every possible type of foreign entity in one massive document, but your V.O.F. is actually a pretty straightforward case. You're a transparent partnership providing services remotely - that's about as simple as it gets from a US tax perspective. One thing I wish someone had told me upfront: don't try to understand every section of the form. Focus only on Parts I, III, and XXIX, and you'll have everything you need. The rest is just noise for your situation. Once I adopted that mindset, what seemed like an impossible task became totally manageable. Your US client will be familiar with receiving these forms from foreign consultants, so they'll know exactly what to do with it once you submit it. You're definitely not the first Dutch V.O.F. they've worked with!

Has anyone used TurboTax for AMT calculations with stock options? I heard it doesn't handle the AMT credit carryforwards correctly and I'm worried I'll mess something up. Would I be better off with H&R Block or going to a CPA?

I went through a similar situation last year with ISOs and AMT, and I wish I had understood the mechanics better beforehand. Let me try to fill in some gaps that might help you. The key thing to understand about your $143,000 ISO exercise is that the "bargain element" (difference between what you paid and fair market value) gets added back as an AMT preference item. So if you exercised options with a strike price of $10 and the shares were worth $20, that $10 difference per share becomes AMT income even though it's not regular taxable income until you sell. With your $187,000 salary plus the ISO adjustment, you're definitely going to be in AMT territory. The good news is that your mortgage interest is still mostly deductible under AMT (unlike state taxes), and your charitable deductions will help both calculations. One thing that helped me was using the AMT Assistant worksheet from IRS Publication 909 to do a rough calculation before year-end. It's not perfect, but it gave me a ballpark figure. The key is understanding that you'll likely owe AMT this year, but you'll generate AMT credits that can be recovered in future years when your regular tax exceeds AMT. For planning purposes, if you still have unvested options, consider the timing of future exercises more carefully. Spreading them across multiple years can help minimize the AMT impact compared to doing large exercises all at once.

Has anyone considered switching from C-corp to S-corp for their rental LLC? Our accountant mentioned it could help avoid potential PHC issues altogether since S-corps don't face PHC tax. We have a similar setup with 4 properties that we self-manage.

Great question! Based on your description, your LLC likely doesn't qualify as a PHC. The key test is whether 60% or more of your adjusted ordinary gross income comes from "personal holding company income" (like dividends, interest, royalties). Active rental income from properties you manage yourself typically doesn't count as PHC income under IRC Section 543. Since you're handling showings, tenant screening, maintenance coordination, and day-to-day operations, the IRS would likely view this as an active trade or business rather than passive investment activity. The management fees you pay yourselves are actually a good practice that further demonstrates the active nature of your business. Just make sure those fees are reasonable and properly documented. One thing to watch: if you ever start receiving significant passive income (like interest from large cash reserves or dividend income), that could potentially push you closer to the 60% threshold. But with just rental income from actively managed properties, you should be fine. Keep good records of your management activities as others have mentioned - it's always smart documentation to have!

Quick tip: save EVERYTHING. Not just receipts but also: - Emails about assignments related to the festival - Published articles you wrote based on festival attendance - Business cards from contacts you made - Festival program with notes on screenings you attended for work - Photos of you working (conducting interviews, etc) I got audited 2 yrs ago for exactly these kinds of deductions and having this documentation saved me thousands!!! The IRS agent specifically mentioned how impressed they were with my record keeping.

Great question! I've been doing freelance entertainment journalism for about 5 years now and have deducted similar festival expenses. The key is proving legitimate business purpose - which it sounds like you definitely have. One thing I'd add to the excellent advice already given: consider getting assignments lined up BEFORE you go if possible. Having pre-arranged assignments or contracts with your publication partners creates much stronger documentation than just "I'll write about whatever I see." Even informal email confirmations work. Also, track your time carefully. I use a simple spreadsheet noting which screenings were for work vs personal enjoyment, interview times, writing sessions, etc. This helps with the allocation everyone mentioned and shows the IRS you're taking the business aspect seriously. The amounts you mentioned ($2500 pass, $800 flights, $1800 hotel) seem totally reasonable for Tribeca, especially if this generates significant income for you. Just make sure you can show a pattern of earning from this type of work - the IRS gets suspicious if someone claims huge deductions but minimal related income. One last tip: if you're interviewing filmmakers, try to schedule those during off-peak hours when possible. Having business meetings during "work hours" vs only attending evening screenings helps establish the professional nature of your trip.