Is it possible to get wage and income transcript for 2023 tax year before filing my 1040?

Thanks for the info. I've been considering pulling my transcript too. Do you know if the wage and income transcript will show things like crypto transactions? I did some trading last year and I'm unclear if that would appear or if that's something I need to track separately.

The wage and income transcript will show any 1099-B forms submitted by crypto exchanges if they've reported to the IRS, but many crypto transactions may not appear. Most exchanges now issue 1099 forms for significant trading, but the transcript won't show individual transactions - just the summary information reported to the IRS. For crypto, you should definitely maintain your own separate records of all transactions. Many exchanges provide year-end summary reports which can be helpful, but they're not always complete, especially if you've used multiple platforms.

How exactly does that work? Does it connect directly to the IRS system or do you have to upload all your tax documents from previous years? I'm wondering if it would be worth the effort compared to just getting the transcript directly.

I'm a bit skeptical about these tax tools. What makes this better than just getting the transcript directly from the IRS which is free? Does it actually provide any additional information that wouldn't be on the wage and income transcript?

It doesn't connect directly to the IRS - you upload your documents and the AI analyzes them. You can upload previous years' returns and current year documents you've already received. The system then identifies patterns and flags potential missing documents based on your history. The advantage over just getting the transcript is that it provides analysis, not just raw data. It can identify trends like "you typically receive a 1099-INT from this bank but don't have one this year" or "based on your history, you might be missing a W-2." It's especially helpful if you have complicated tax situations with multiple income sources that change year to year.

Wait, how is this even possible? I thought the IRS phone system was just designed to be impossible on purpose lol. Do they have some special access or something? Seems too good to be true.

This sounds like a scam. Why would I pay someone to call the IRS for me? And how would they have any better luck getting through than I would? The IRS phone system is equally terrible for everyone. I'll believe it when I see actual proof this works.

They don't have special access - they use technology to navigate the IRS phone system and wait on hold for you. Their system constantly redials and navigates the menus until it gets through, then calls you when there's an actual IRS agent on the line. It's basically just automating the frustrating part of waiting on hold. I had the same reaction initially - seemed too good to be true. But their system is just more persistent than a human can be. They can make hundreds of call attempts simultaneously whereas I would have given up after a few tries. Think of it like having a robot assistant that just keeps trying until it succeeds.

This is really helpful, I didn't know there were different types of transcripts! Will the Account Transcript show things like estimated tax payments I made throughout the year? I made quarterly payments but lost one of my records.

Yes, the Account Transcript will show all the estimated tax payments you made throughout the year, including the date received and amount for each payment. It's perfect for confirming those quarterly payments when you've misplaced your records. The Account Transcript also shows any credits applied from previous years, adjustments made to your account, and other activity like penalties or interest. It essentially gives you a comprehensive view of your account balance and transaction history with the IRS, which complements the income information from the wage and income transcript.

That's a good point. Do you know if there's a specific deadline for when all documents should be reported to the IRS and show up on the transcript?

Most employers and financial institutions have until January 31st to send 1099s and W-2s to recipients and file them with the IRS. However, the IRS systems can take several weeks to process and make them available on transcripts. From my experience, most documents show up by mid-February, but some can take until March or even April depending on the issuer and any corrections that need to be made. If you're missing something after April, that's when I'd start following up directly with the issuer or calling the IRS. The IRS also updates their transcripts weekly, usually on Fridays, so it's worth checking back periodically if you think something should be there but isn't showing up yet.