@Laura Lopez - You're absolutely right to be careful, especially as a first-time solo filer! Your TIN and SSN being identical is completely normal and expected. Since you mentioned being paranoid about mistakes (which is actually a good thing!), here are a few key things to double-check on your transcript as a newcomer: 1. Make sure your name and address match exactly what you put on your tax return 2. Verify any income amounts shown match your W-2s/1099s 3. Check that any estimated tax payments or withholdings are correctly reflected 4. Look for any "hold codes" (like 570, 971, etc.) that might indicate processing issues The IRS transcript can definitely look intimidating with all those codes and numbers, but you're doing exactly the right thing by reviewing it carefully. Most of the scary-looking stuff is just internal IRS tracking information that doesn't affect your return. Keep up that attention to detail - it'll save you headaches down the road. And don't hesitate to reach out here if you spot anything else that looks confusing!

@Laura Lopez - You're absolutely doing the right thing by being thorough! As everyone else has confirmed, your TIN and SSN being identical is 100% normal for U.S. citizens. The IRS just uses "TIN" as an umbrella term for any taxpayer identification number. Since you mentioned this is your first time filing solo, here's something that might help ease your mind: the IRS transcript is actually one of the best tools for catching potential issues early. The fact that your TIN and SSN match perfectly means your identity information is consistent in their system - which is exactly what you want to see. A few transcript tips for first-time filers: - Your "Account Balance" should show $0.00 if you don't owe anything - Any refund amount will show as a negative number (that's normal!) - Transaction codes starting with 1, 3, or 7 are usually routine processing codes - Codes like 570 or 971 might indicate holds or additional review needed You mentioned being worried about identity theft - your transcript actually helps protect against that since it shows all the tax activity associated with your SSN. If someone else filed using your number, it would show up here. Keep being diligent about checking everything, but don't stress about the TIN/SSN match. That's working exactly as it should!

I completely agree with @Zainab Abdulrahman here - this is terrible advice that could get you in serious trouble! @Natasha Romanova, deducting "everything" including rent for a fake home office when you're doing food delivery is exactly the kind of behavior that triggers audits. The IRS has sophisticated algorithms that flag returns with unusually high deduction percentages relative to income. For someone making $400-500/month from delivery work, claiming thousands in questionable deductions will stick out like a sore thumb. And when (not if) you get caught, you'll owe back taxes, interest, penalties, AND potentially face fraud charges. @Miguel Castro, stick with legitimate deductions: mileage using the standard rate, phone bill percentage for business use, insulated bags, and other actual business expenses. Keep detailed records and only claim what you can legitimately defend. It's better to pay a little more in taxes than to risk massive penalties later.

As someone who's been dealing with self-employment taxes for a while, I wanted to add a few practical tips that might help you maximize your legitimate deductions: 1. **Mileage tracking timing**: Start tracking from the moment you leave your house to begin your delivery shift until you return home. This includes driving to your first pickup location and back home from your last delivery. Many drivers miss out on these "deadhead" miles. 2. **Phone expenses**: You can deduct the business percentage of your phone bill since you use it for delivery apps. Keep track of how much time you spend using it for delivery work vs. personal use. 3. **Equipment deductions**: Beyond insulated bags, you can deduct phone mounts, car chargers specifically for work, and even a portion of phone accessories if they're primarily for delivery work. 4. **Quarterly estimated taxes**: Since you're making $400-500/month, you'll likely owe self-employment taxes. Consider making quarterly payments to avoid a big bill (and potential penalties) at year-end. The key is keeping meticulous records for everything you claim. I use a simple spreadsheet to track all business expenses alongside my mileage app. It's saved me during audits and helps me spot deductions I might have missed. Good luck with your side gig!

For your truck question - be SUPER careful here. I made a $19k mistake my first year in business by assuming I could just deduct a vehicle purchase 100%. If you're using the vehicle EXCLUSIVELY for business (like, literally never for personal use), you might be able to deduct the full amount under Section 179. But if you use it for personal stuff too (even occasionally), you can only deduct the business-use percentage. Also, SUVs and trucks over 6,000 lbs have different rules than smaller vehicles. Make sure you know which category yours falls into!

Hey Vince! Congrats on your business success so far - that's awesome that it's doing better than expected! Just to add to the great advice already shared here: since you're only 4 months in, you're actually in a perfect position to set up good tax habits from the start. The quarterly payment system everyone mentioned is definitely the way to go, and you're not too late to start. For your $26k truck scenario - the key thing is documentation. Keep a detailed log of every business trip (date, destination, business purpose, mileage). If you use it for any personal driving, calculate that percentage because the IRS will want to see those numbers if they ever audit. One more tip that saved me in my first year: open a separate business savings account specifically for taxes. Every time you get paid, immediately transfer 25-30% into that account. It makes quarterly payments so much less stressful when the money is already set aside and earmarked for taxes. You're asking all the right questions - way better to figure this out now than scramble at tax time!

This thread has been incredibly helpful! I'm dealing with a very similar situation with my web design business. I started as a sole prop, got an EIN for client W9s, then formed an LLC but kept it as a disregarded entity. PayPal required the LLC's EIN for their business account setup, so now I have two EINs just like the OP. Reading through all these responses, it sounds like the consensus is pretty clear - keep using the sole prop EIN on tax forms and W9s, and don't worry about the 1099-K having the different EIN. The explanatory statement approach mentioned by several people here seems like the smart way to handle it. One thing I'm curious about though - has anyone actually had the IRS question or audit them specifically because of this EIN mismatch situation? All the advice here makes sense logically, but I'm wondering if there are any real-world examples of this causing problems down the road, or if it really is as straightforward as everyone is saying. Also, for those who mentioned contacting the IRS directly about this - did you call the general taxpayer assistance line, or is there a specific department that handles business EIN questions?

I've been through this exact same scenario with my consulting LLC and can confirm what others have said here - you're absolutely on the right track with your thinking! The key thing to remember is that even though you're operating as an LLC, the IRS still sees you as a sole proprietor for tax purposes since it's a disregarded entity. So yes, continue using your original sole prop EIN (11-1111111) on your Schedule C and any W9 forms you fill out. When that 1099-K comes in from Square with your LLC's EIN (22-2222222), just report that income on your Schedule C like any other business income. The IRS won't have any issues with this - their systems can cross-reference both EINs to your SSN. I'd definitely echo the advice about including an explanatory statement with your tax return. Something simple like: "Taxpayer operates [LLC Name] as a single-member LLC taxed as a sole proprietorship. Income reported on 1099-K forms under EIN 22-2222222 is included in Schedule C business income reported under EIN 11-1111111." This just gives the IRS a clear paper trail if anyone ever reviews your return. The situation you described with Square requiring the LLC's EIN is super common - payment processors often have strict verification requirements that don't align perfectly with tax reporting rules. But that's totally fine as long as you're consistent on the tax side of things. You're definitely not in a "paperwork mess" - this is actually a pretty standard situation that lots of single-member LLC owners deal with!

Don't stress too much about this! I accidentally selected "retail" for my SAAS business two years ago and it's never caused any issues. The business category on the EIN application isn't as critical as people make it out to be. The IRS cares more about accurate income reporting than the specific category you select during application.

Great question! I went through this exact same process last year for my SaaS startup. After researching extensively and consulting with my accountant, I selected "Service" for our EIN application. The reasoning is that SaaS businesses are fundamentally providing ongoing access to software functionality rather than selling a tangible product. Even though customers "purchase" subscriptions, what they're really buying is continuous access to your service platform. This puts it squarely in the service category rather than retail, which is typically reserved for businesses selling physical goods or one-time software purchases. The IRS views subscription-based software access as a service offering, similar to how they'd classify other subscription services like consulting or cloud hosting.