Has anyone used a DIY kit from a place like Renogy or EcoFlow? Looking at similar setup to OP and wondering which systems are most DIY-friendly while still qualifying for the credit.

Great question about DIY solar setups! I went through this exact process last year and can confirm that DIY installations absolutely qualify for the Residential Clean Energy Credit. The key things to remember: 1. Keep ALL receipts - panels, batteries, inverters, wiring, mounting hardware, everything counts toward the 30% credit 2. Get proper permits - this is crucial for qualifying and for safety/insurance 3. Make sure all components are certified (UL listed, etc.) 4. The system doesn't need to be grid-tied or roof-mounted For your 4 battery + 12 panel setup, you're looking at a substantial credit. Just document everything well and consider consulting a tax professional when filing since DIY solar credits can get complex with all the eligible components. One thing I learned - labor costs don't count if you do it yourself, but if you hire help for any portion (like electrical connections), those labor costs ARE eligible for the credit. Good luck with your project!

This is such a common and frustrating issue! I went through something very similar when I first started receiving RSUs. The $0 cost basis on your 1099-B is definitely causing the double taxation problem you're seeing. Here's what I learned from my experience: Your RSU income was already taxed as ordinary income when the shares vested (that's the $123K showing on your W-2). When you sell those shares, you should only owe capital gains tax on any appreciation between the vesting date and sale date - not on the full sale amount. The key is to correct the cost basis on Form 8949. For each RSU sale, your cost basis should equal the fair market value on the vesting date (which was already included in your W-2 income). If you sold immediately after vesting, your capital gain should be minimal or even zero. I'd strongly recommend getting your detailed vesting records from your brokerage or HR system - these will show you the exact vesting values you need. Given the amounts involved ($32K potential overpayment), it might be worth consulting with a tax professional who specializes in equity compensation to make sure everything is filed correctly. Don't panic though - this is totally fixable and you're definitely not the first person to run into this! The IRS sees these adjustments all the time during RSU season.

I've been through this exact scenario and it's absolutely maddening! You're 100% correct that this is double taxation. The $0 cost basis on your 1099-B is the culprit here. Here's what saved me: When RSUs vest, your company reports the fair market value as income on your W-2 (that's part of your $298K total). That same value should be your cost basis for capital gains purposes when you sell. Since you sold immediately after vesting, your actual capital gain should be close to zero, not $72K. You'll need to use Form 8949 to report the correct cost basis. In Column (e), enter the proceeds from your 1099-B. In Column (e), use the vesting day fair market value (not $0) as your cost basis. Most tax software has a specific workflow for RSU basis adjustments - look for prompts about "equity compensation" or "RSU sales." The good news is this will dramatically reduce your tax bill once corrected. I went from owing $18K to owing $2K after fixing my cost basis. Given the amounts involved, I'd definitely recommend either using specialized software that handles equity compensation well or consulting with a tax pro who knows this area. CPA firms that work with tech companies see this constantly and can usually fix it quickly. You're not crazy - the system is just poorly designed for equity compensation!

Quick question related to this - our family partnership just sold a significant asset with a $250K gain. If I get a distribution of $50K (my share of the proceeds), but my K-1 shows $60K of gain allocated to me (my ownership percentage), how does that affect my basis? Does my basis go up by $60K then down by $50K?

This is a great question that comes up frequently with FLPs. To add to what others have said, it's important to distinguish between the partnership's "inside basis" (the partnership's basis in its assets) and each partner's "outside basis" (their basis in their partnership interest). When your parents write you a check for your share of partnership income, this is likely what's called a "deemed distribution" - the partnership is distributing your allocable share of income. This distribution reduces only your basis, not the other partners' basis. One thing to watch out for: if the partnership has debt (like a mortgage on real estate), your share of partnership debt increases your basis. When debt is paid down, it can create a deemed distribution that reduces your basis. This can get complex quickly, especially if the FLP borrowed money to purchase investments. For your tax planning with larger distributions this year, remember that distributions in excess of your basis are treated as capital gains. Make sure to track your basis carefully throughout the year, especially if the partnership has volatile investments that could create large gains or losses.

If part of your relocation package included temporary housing expenses, check if those were also included in your W-2. My company provided 60 days of temporary housing during my relocation, and that benefit (about $7,200) was added to my taxable income as well. I nearly missed it because it wasn't included in the amount they initially told me would be grossed-up!

This is such a helpful thread! I'm going through a similar situation with my work relocation from last year. One thing I want to add that caught me off guard - if your employer helped with any real estate costs (like realtor fees for selling your old home or closing costs on your new home), those are typically taxable too. My company covered $12,000 in realtor fees when I sold my house, and that entire amount was added to my W-2 income along with the gross-up. I only found out when I got my final paystub and saw a much larger "relocation taxable income" line than I was expecting. Also, Emma, definitely look into what Diego mentioned about tax equalization policies. My company had one but didn't mention it during the initial relocation discussions - I only found out about it when I specifically asked HR about additional tax impacts six months later. They ended up reimbursing me about $3,400 after I filed my taxes!

For anyone who's been hit with the underpayment penalty, don't forget to check if your state has one too! I avoided the federal penalty but got blindsided by a state underpayment penalty that was almost as big. You usually need to make estimated payments to both federal AND state tax authorities.

This is such a common trap for new gig workers! I got hit with a similar penalty my first year doing Uber Eats. What really helped me was understanding that the IRS expects you to pay at least 90% of what you'll owe for the current year, OR 100% of what you owed last year (whichever is smaller) through either withholding or estimated payments. Since you made $42K and owe around $5,800, you probably needed to pay roughly $5,200 throughout 2024 to avoid the penalty. The good news is now you know for next year! I'd recommend opening a separate savings account just for taxes and automatically transferring 25-30% of each gig payment into it. Then use that money for your quarterly payments. Also keep detailed records of your mileage and any business expenses (phone bill, car maintenance, etc.) - these deductions can significantly reduce what you owe. I wish someone had told me this stuff when I started!