Just went through this exact situation a few months ago! Your instinct is right - since the W-2C only changes state allocation without affecting your total income, you don't need to amend your federal return. The IRS doesn't care which state the income came from as long as the federal total is correct. For California, you'll likely need to file an amended state return (540X) to report the additional income that's now properly allocated there. The good news is California's amendment process is pretty straightforward online. Just make sure to include both your original W-2 and the W-2C when you file. Since you're still waiting on your California refund, I'd suggest calling the California Franchise Tax Board (FTB) first. They might be able to adjust your pending return directly rather than having you file a separate amendment, which could save you weeks of processing time. Their phone number is on the California tax website. One heads up - you'll probably owe additional California tax since more of your income is now allocated there, so be prepared for that when you make the correction!

Hey Oliver! I actually dealt with something very similar last year when my employer issued a W-2C that moved income between states. A few quick points that might help: First, definitely try calling California FTB before filing an amendment - they were surprisingly helpful when I called. Ask for the "Individual Income Tax" department and specifically mention you have a W-2C correction affecting state income allocation. They have a dedicated process for handling these situations. Regarding penalties - California typically won't charge penalties or interest when the error was due to employer mistake, especially if you're correcting it promptly after receiving the W-2C. Just make sure to keep documentation showing when you received the corrected form. One thing that caught me off guard - the additional California tax you'll owe might affect your estimated tax payments for this year if the amount is significant. California sometimes requires you to adjust your withholding or make quarterly payments going forward to avoid underpayment penalties next year. Also, since you already got your federal refund, you're in good shape there. The fact that your federal numbers didn't change at all makes this much simpler than it could have been. Just focus on getting the California situation sorted out and you should be all set!

One more thing to consider - the timing of when you discovered the damage vs when it actually occurred can matter for which tax year you claim it in. If you discovered all this damage in early 2023 even though it happened in late 2022, you might have the option of which year to claim it in.

I went through a very similar situation with tenant vandalism in 2021, and I can share some specific insights about the Form 4684 process that might help you. First, your approach is mostly correct - you'll need to file an amended return for 2022 since that's when the damage occurred. The key is properly documenting the "before and after" fair market value, which you can do even with partial repairs completed. For the fair market value calculation, the IRS accepts what's called the "cost to repair" method when you can't get a formal appraisal. Since you have $16k in documented materials costs, multiply this by 2.5-3 to estimate total repair costs (including labor). This gives you a reasonable estimate of value reduction that the IRS will accept if properly documented. Make sure you're also accounting for lost rental income during the repair period - this can be claimed as additional casualty loss if you can show the property was uninhabitable and you lost actual rental income. One critical point: save all your "before" photos and get a written statement from that appraiser you mentioned, even if it's just a brief email confirming the damage would have made the property unmarketable. The IRS loves contemporaneous documentation. Also, since you mentioned the tenant was arrested, try to get a copy of any police reports or court documents that reference the property damage - this strengthens your case that it was vandalism rather than normal wear and tear. Your estimated 25% value reduction seems reasonable given the scope of damage you described. With proper documentation, this should be a solid casualty loss claim.

I went through this exact same situation about 6 months ago! Had a TC 570 for almost 3 weeks with zero notices. What finally worked for me was calling right at 7 AM when they open - I got through in about 35 minutes instead of the usual 2+ hour wait. The agent explained that my 570 was triggered because the IRS computer system flagged a discrepancy between my reported income and what my employer filed, even though everything was actually correct on my end. She was able to clear the hold immediately once she reviewed my account. My advice: don't wait too much longer since you're already at 2 weeks. The earlier you call in the morning, the better your chances of getting through quickly. Have your Social Security card, driver's license, and a copy of your return ready when you call. Good luck!

I'm currently in week 3 of a TC 570 hold myself, and after reading through everyone's experiences here, I decided to try the early morning calling strategy that several people mentioned. Called at 7:02 AM yesterday and got through in exactly 42 minutes - way better than my previous attempts in the afternoon that never connected. The agent told me my 570 was due to the IRS needing to verify some education credits I claimed, which makes sense since I just graduated. She said these verification holds are incredibly common right now and that most resolve within 4-6 weeks, but calling can sometimes speed things up if the agent can manually review your case. In my situation, she couldn't clear it immediately but did escalate it for priority review, so I should hear something within 7-10 business days. For what it's worth, she mentioned that returns with education credits, child tax credits, or earned income credits are getting flagged for verification at much higher rates this year compared to previous years. Might be worth calling sooner rather than later if you have any of those credits on your return.

Hey there! I know exactly how you're feeling right now - that panic when you see an unexpected code is so real! 😰 I've been through the 570 situation twice, and both times it resolved within about 2 weeks without me having to do anything. The first time I was a complete wreck checking my transcript every few hours, but the second time I knew what to expect. From my experience and what I've seen others share here, the 570 is usually just the IRS doing routine verification - maybe checking your W-2s match what employers reported, or verifying some credits you claimed. The key thing to watch for is whether a 971 code pops up alongside it in the next week or so - that would mean they're sending you a letter with more details. Since you're caring for your mom and really need this refund, I totally get the stress, but try to give it at least 7-10 days before worrying too much. Most of these clear up on their own! Keep us posted on how it goes! 💙

I completely understand that panic feeling! 😰 The 570 code definitely looks scary when you first see it, but from everything I've learned in this community, it's usually just a temporary processing hold. The IRS puts these on returns when they need to verify something - could be matching your W-2 info, checking credits you claimed, or sometimes it's just random selection for review. Most people here report their 570s clearing up within 2-3 weeks without any action needed. Since you're dealing with caregiving responsibilities and really need that refund, I know the uncertainty is extra stressful. Keep checking for a 971 code - that would mean they're sending you a letter explaining what they're reviewing. Try to hang in there and give it at least a week before panicking too much. This community is great for support, so keep us updated! 🤞

Pro tip: call exactly at 7am EST when they open. Way better chance of getting someone helpful

Had the exact same issue with Error 6000 last month! What finally worked for me was calling the Taxpayer Advocate Service at 1-877-777-4778. They're separate from regular IRS customer service and can actually escalate account restrictions. Takes about 2-3 weeks but they resolved mine without needing an office visit. Definitely worth trying before making that 2 hour drive!