Just a heads up - if you use payment apps like Venmo, PayPal, Cash App, etc. to receive payments, new rules require them to send 1099-K forms if you receive over $5,000 in a calendar year. This was supposed to be $600 but they increased the threshold again. Keep track of these payments yourself rather than relying on the apps to report correctly!

Great advice from everyone here! One additional thing to consider - since you're dealing with potentially sensitive content, you might want to think about business structure down the road. While you can definitely start as a sole proprietor (which is what you are by default), if your income grows significantly, you might want to consider forming an LLC for liability protection and potential tax benefits. Also, make sure you're keeping digital copies of ALL your records - income receipts, expense receipts, bank statements showing business transactions, etc. The IRS can audit up to 3 years back (longer in some cases), so having organized digital records will save you major headaches if that ever happens. I use a simple spreadsheet but there are also apps like QuickBooks Self-Employed that can help track everything automatically by linking to your bank accounts and categorizing transactions. One last tip: set aside 25-30% of your income in a separate savings account for taxes. This covers both income tax and self-employment tax. It's better to save too much and get a refund than to owe money you don't have come tax time!

Don't forget about foreign stocks if your dad had any! My mother inherited some Canadian company stocks from my father, and there were special rules about foreign securities that almost caused us to miss out on significant tax advantages. The step-up basis applies, but there can be currency conversion considerations too. The broker should be handling this, but it's worth specifically asking how they're determining the stepped-up basis for any foreign investments. In our case, they initially only adjusted for the stock price change but missed the currency fluctuation component.

I'm sorry for your loss, Aisha. Going through this process while grieving is incredibly difficult, and I can relate to feeling overwhelmed by all the financial details. One thing I haven't seen mentioned yet is the importance of getting multiple copies of the death certificate from the funeral home or vital records office. Each brokerage will likely want an original or certified copy, and if your father had accounts at several firms, you'll need quite a few. I learned this the hard way when we had to wait weeks for additional copies while the estate settlement was delayed. Also, keep detailed records of everything - dates you contacted each brokerage, names of representatives you spoke with, and any reference numbers they give you. Some brokerages are much faster at processing these requests than others, and having good documentation helps if you need to follow up or if there are any discrepancies later. The step-up basis will definitely help reduce future tax burdens when your mom eventually sells any of these investments, so it's worth taking the time to get it done properly. Wishing you and your family the best as you navigate this difficult time.

Has anyone mentioned whether there's a timeframe for how quickly you can get information after calling the offset line? I'm wondering about: • How long the automated system takes to provide offset details • Whether they send any documentation by mail after you call • If there's a waiting period before you can dispute an offset • Whether calling multiple times might flag your account in some way

I completely understand your frustration! I was in a similar situation last year when my refund was unexpectedly offset. The Treasury Offset Program number (800-304-3107) that others mentioned is definitely the right one to call. When I called, the automated system gave me the information immediately - no waiting for mail or additional processing time. You just need your SSN to verify your identity. They'll tell you exactly which agency is claiming the debt and the amount. One tip: call early in the morning (around 8 AM) for the shortest wait times. Also, if it turns out to be a student loan offset, don't panic! There are often payment plans or hardship options available that might help you get some of your refund back. Good luck with your apartment deposit - I know how stressful this timing can be! 🤞

Just wanted to share what happened with my craft business - I started recording everything as net sales, but when I started doing significantly more volume, my accountant suggested separating the discounts as "Other expenses" with a clear description. This actually helped me realize I was giving way too many discounts on certain product categories! By seeing the total discount amount separately on my Schedule C, I made some pricing adjustments that increased my profits by almost 15% the next year. So while tax-wise it makes no difference, the business insight from separating them out can be really valuable!

Great discussion everyone! As someone who's dealt with this exact issue, I'd recommend starting with the simpler net sales approach (recording after-discount amounts) unless you have a specific business need to track discount patterns. One thing I learned the hard way is that if you do choose to separate discounts as "Other expenses," make sure to keep detailed records of what constitutes those discounts. During an audit, the IRS will want to see that these are legitimate customer discounts and not other types of expenses that got lumped together. Also, whatever method you choose, stick with it consistently throughout the tax year. Switching methods mid-year can create complications and potentially trigger questions from the IRS. QuickBooks actually has good reporting features for either approach if you set up your accounts properly from the start.

Quick question - does anyone know if the company has to issue a 1099 for these rewards if they don't put them on the W-2? I got about $300 in gift cards from my company's similar program last year and never received any tax forms for it.

I've been through this exact situation with my employer's rewards program! The key thing to understand is that these rewards are considered "supplemental wages" by the IRS, which means they should be subject to withholding just like your regular paycheck. What's concerning is that your employer isn't including these on your W-2 - they're actually supposed to withhold taxes on the fair market value when you redeem the rewards, not just report it at year-end. This means you might end up owing more taxes than expected since no withholding was taken out. For the $200 gift card you already received, you should report it as "Other Income" on Line 8i of Form 1040 for the year you received it. For the upcoming $650 vacation package, do the same when you actually redeem those points. Keep documentation of the fair market values in case the IRS ever questions it. I'd also suggest talking to your HR department about proper tax handling going forward - they might not realize they're supposed to be withholding on these benefits.