Does anyone know if you can e-file a return with a pending ITIN application? My tax software keeps rejecting it saying I need a valid ITIN or SSN.

I went through this exact same situation about 6 months ago and can confirm what others have said - the IRS language is confusing but they do process your return and hold your refund until you get the ITIN approved. In my case, the rejection was due to insufficient identity documentation. What really helped me was keeping detailed records of everything. I created a simple spreadsheet tracking: - Original application date - Rejection notice date and reason - Resubmission date - All documents included in resubmission - Follow-up call dates and notes When I reapplied, I included a cover letter explicitly stating "ITIN Reapplication - Previous Application Rejected" and referenced my original tax return by form type and approximate filing date. This seemed to help them connect everything in their system. One tip that saved me time: before mailing my reapplication, I made copies of absolutely everything and took photos of the package before sealing it. The IRS processing can be slow, and having that documentation was helpful when I called for status updates. The whole process from rejection to finally getting my ITIN and refund took about 14 weeks total, but once the ITIN was approved, the refund came pretty quickly (about 3 weeks after that). Stay patient and make sure you address exactly what they flagged in the rejection notice. Good luck!

I believe I can speak to this from personal experience, though individual situations may vary somewhat. Last year, I found myself in a nearly identical position. My refund showed as funded in SBTPG on a Thursday, and I realized I needed to amend my return for a missed education credit. I cautiously filed the 1040X that same day, concerned about potential complications. My original refund deposited without issue the following Monday, and approximately 14 weeks later, I received the additional refund from my amendment. The systems appear to operate independently, at least in my experience.

Your refund is safe! 🙂 When SBTPG shows "funded," that's actually great news - it means the IRS has already completed all their processing and verification of your original return. The money has been released from the IRS systems and is now just going through the final banking steps to reach your account. I went through something similar last tax season when I had to amend for a forgotten 1099-INT. Filed my 1040X about 2 days after my refund showed funded status. The original refund hit my account right on schedule, and the amendment was processed months later as a completely separate transaction. The key thing to remember is that once your return reaches the funded stage, you've essentially cleared all the IRS hurdles. Your amendment will go into their separate queue for manual review, but it won't interfere with what's already been approved and sent out. Congratulations on getting through your first tax season as head of household - that status change can definitely make things feel more complicated, but it sounds like you handled it well!

Be careful with FPHCI! I completely missed reporting some foreign dividend income a few years ago because I didn't understand these rules. Ended up with penalties and had to file amended returns. Make sure you're tracking ALL passive income from any foreign corps where you have significant ownership.

Another thing to keep in mind is that FPHCI rules can interact with PFIC (Passive Foreign Investment Company) rules in complicated ways. If your foreign corporation qualifies as both a CFC (triggering FPHCI rules) and a PFIC, you generally apply the CFC rules instead of PFIC rules - but this can vary based on your ownership percentage and other factors. Also, don't forget about the potential impact of GILTI (Global Intangible Low-Taxed Income) rules if you're dealing with post-2017 tax years. Some income that might have been treated as FPHCI under the old rules now falls under GILTI instead, which has different calculation methods and tax rates. I'd strongly recommend working with a tax professional who specializes in international taxation if you're dealing with significant foreign investments. The interaction between all these different regimes (FPHCI, PFIC, GILTI, etc.) can get extremely complex very quickly.

i recived the 507 code around this time two months ago. got notice in mail saying they needed to verify my employment info (i switched jobs midyear). sent in the requested docs and refund came exactly 43 days later. so it was about 75 days total from code to refund.

I'm going through this exact same thing right now! Got my 507 code about 2 weeks ago with a March 12th notice date. Reading through everyone's experiences here is both reassuring and terrifying at the same time - at least I know I'm not alone in this mess, but the wait times are brutal. It sounds like most people are looking at 60-90 days realistically, which is rough when you're counting on that money. I'm definitely going to try calling once I get my notice, and if that doesn't work maybe look into some of these services people mentioned. Thanks everyone for sharing your timelines - it helps to have realistic expectations even if they suck!

Congrats on the approval! Quick tip: make sure to save that notice somewhere safe. You wont need form 8862 next year but keep proof just in case

Got my 8862 approval letter last week and my refund hit my account yesterday - only took 12 days! The 6-8 week estimate is definitely conservative. Keep checking your transcript for code 846, that's when you'll know the exact deposit date. The relief of finally being recertified after all that stress is amazing 🙌