IRS account suddenly shows $9,669.23 owed for 2019 when I was a student with no income - Will this block my 2024 refund?

This is likely what's called a Substitute for Return (SFR) that the IRS filed on your behalf for 2019. When you don't file a tax return but the IRS receives income documents (W-2s, 1099s, etc.) showing you had reportable income, they'll eventually create a return for you - but they do it in the most unfavorable way possible: • They include all reported income but don't know about your deductions • They typically file you as single with just standard deduction • They don't include education credits you might have qualified for • They don't consider any withholding you might have had You need to file your own 2019 return ASAP with your actual information. This will replace their SFR and likely reduce or eliminate what you owe. You mentioned being a student - did you have any scholarships, grants, or part-time jobs that year? Those would generate tax documents the IRS received. As for your 2024 return - yes, unfortunately they can hold your refund and apply it to past due tax debt. Best to resolve this quickly.

Hey, I literally just went through almost this exact situation last month. After getting nowhere with the IRS for weeks, I found this tool called taxr.ai that helped me untangle the mess. It analyzed my transcript and immediately showed me that the IRS had filed a substitute return with incorrect information. It even showed me which specific forms triggered the assessment and what I needed to do to fix it. Super helpful compared to spending hours researching online and trying to piece everything together myself. https://taxr.ai saved me so much stress!

After dealing with a similar issue (they said I owed $12K from 2018!), I tried calling the IRS for weeks with no luck. Finally used this service called Claimyr that got me a callback from an actual IRS agent in about 2 hours. claimyr.com - the agent confirmed it was a substitute return issue and helped me start the process to fix it. Talking to a real person was the only thing that finally got the ball rolling. Best money I ever spent considering how much I was stressing about this tax debt.

You DEFINITELY need to address this before filing your 2024 return. The IRS will 100% keep your refund and apply it to this past due amount if you don't get it resolved. Ask me how I know 😭

Check your mail history carefully. The IRS would have sent multiple notices before assessing this amount. Did you move during/after 2019? They might have been sending notices to an old address. Either way, the SFR process doesn't happen quickly - they typically send at least 3-4 notices over 6+ months before filing for you.

The IRS is so broken rn. Last year they claimed I owed $22k from 2018 when I made like $30k that year LOL. Had to file an amended return and it took FOREVER to get resolved. Good luck frendo

Pro tip: When you file your 2019 return, include a letter explaining your student status and why you didn't originally file. Also make sure to check the box that indicates it replaces a substitute return. Don't just e-file - this needs to be paper filed with all supporting documentation attached.

This just happened to my roommate! The IRS did a substitute return based on a 1099 he got from selling some stocks in 2019, but they calculated it as if his cost basis was $0 (so pure profit). When he filed his actual return showing what he really paid for the stocks, the $7000 tax bill became like $200.

If u think ur too broke to owe taxes u still need to file!!! IRS doesnt know ur situation unless u tell them. I learned this the hard way too 🤦‍♀️

I had a substitute return filed against me years ago. The original amount they claimed I owed was about $14k. After I filed my correct return, I ended up getting a $1,200 REFUND. Do not just pay what they say you owe!!!

Not sure if this applies to your situation, but look into whether you were claimed as a dependent by your parents in 2019. That could affect how you should file your return vs how the IRS filed the substitute return for you.

you cud try taxpayer advocate service too. theyre free and work within the irs to help ppl. but theyre super backed up rite now so might take months to get assigned someone

I'm a CPA and see this all the time. Don't panic! File your 2019 return ASAP. If your income was mostly from scholarships, make sure to complete Form 8615 to show which portion was used for qualified education expenses (non-taxable) vs living expenses (taxable). Most tax prep software doesn't handle this well for prior years, so you might want professional help.

Just chiming in to say after dealing with confusing notices from the IRS last year, I discovered taxr.ai and it literally decoded everything for me in minutes. My situation was different (audit notice for 2021) but the tool explained exactly what the IRS was claiming, why they thought I owed more, and how to respond. The peace of mind was worth every penny! https://taxr.ai

The IRS has a special number for resolving issues like this: 1-800-829-1040. Good luck getting through though, I spent WEEKS trying. Finally used claimyr.com and had an agent on the phone same day who confirmed it was a substitute return situation. The agent helped me understand exactly what I needed to do to fix it. Totally worth it considering how much money was at stake.

yoooo i had almost the EXACT same issue. the irs filed a SFR for 2018 saying i owed like $7k. turns out when u don't file they just make up numbers that benefit them not u. after i filed properly it dropped to like $600 which i could manage. def do not ignore this!! it won't go away and will just get worse with penalties and interest