Has anyone considered the home office deduction angle? If you're taking a home office deduction already, wouldn't adding office equipment to your home potentially increase that deduction? I'm specifically wondering about the actual sq footage calculations and if new furniture impacts that at all.

Based on my experience as a tax professional, I'd strongly recommend Option B (having the partnership purchase the equipment) in the current tax environment. Here's why: The key issue is that unreimbursed partnership expenses are currently suspended through 2025 under the Tax Cuts and Jobs Act. This means if you buy equipment personally for partnership use, you can't deduct it on your personal return until 2026 at the earliest. When the partnership buys the equipment: - The business gets the full deduction immediately - You can potentially use Section 179 to expense up to $1,080,000 in equipment purchases - You benefit through your ownership percentage without the 2% AGI limitation - The documentation is cleaner for audit purposes The partnership's profitability does matter somewhat - if the business is breaking even, the deduction might not provide immediate tax benefits. However, any unused deductions can typically carry forward, whereas personal purchases give you no current benefit at all. One important consideration: make sure the equipment is used exclusively for business purposes. If there's any personal use, you'll need to pro-rate the deduction accordingly. I'd also suggest documenting the business necessity of each purchase and keeping detailed records of how the equipment is used for partnership activities.

You should get a letter in the mail explaining why they're reviewing it. Usually takes 60-120 days to resolve these holds.

Looking at your transcript, the 570 code is definitely what's holding up your refund. The fact that your W-2 withholding (806) and earned income credit (768) show no amounts is a red flag - the IRS is likely verifying these against what employers and other sources reported. Since you're showing $0 taxable income but claiming a $4,037 refund, they want to make sure your withholdings and EIC are legitimate. This is actually pretty common for Head of Household filers with EIC claims. The good news is your account balance shows -$4,037 which means they've already calculated your potential refund amount. You should receive a CP05 or similar notice explaining what documents they need from you to verify your claims. Once you respond with the requested documentation, they'll usually release the refund within 6-8 weeks.

yall need to chill. its only been 8 weeks, thats normal processing time these days. welcome to life in 2025 lol

I'm dealing with the same thing! Filed my Maryland return in late January and still waiting. The website errors are so frustrating - I keep getting "system temporarily unavailable" messages. I tried calling yesterday and was on hold for 2 hours before giving up. Really hoping they get their act together soon because I was counting on that refund for some bills.

What nobody has mentioned yet is that you need to make sure your business entity is structured correctly to maximize this deduction. If you're a sole proprietor vs. an S-corp vs. an LLC taxed as an S-corp, the way you handle this deduction can be very different. In my case (real estate investor with an LLC taxed as an S-corp), I pay myself a reasonable salary and the company owns the vehicle. This way I can take the Section 179 deduction at the business level, but there are implications for how personal use is handled. If you use the vehicle personally at all, the business needs to either: 1) report the personal use as taxable compensation to you on your W-2, or 2) you need to reimburse the business for personal use. Gets complicated fast, which is why having a good tax pro is important.

One thing to keep in mind that I learned the hard way - make sure you understand the recapture rules if you sell the vehicle within a few years. If you take a large Section 179 deduction and then sell the SUV for more than its depreciated book value, you'll have to "recapture" some of that deduction as ordinary income rather than capital gains. For example, if you take a $25,000 Section 179 deduction on a $50,000 SUV and sell it two years later for $35,000, you could face recapture on the difference between the sale price and the depreciated basis. This caught me off guard when I upgraded my business vehicle sooner than expected. Also, just to reinforce what others have said - the 6,000 lb requirement is GVWR (Gross Vehicle Weight Rating), not curb weight. I've seen people get tripped up thinking their vehicle qualifies when it doesn't. The Ford Explorer you mentioned should qualify, but double-check that specific model year's GVWR to be sure. It's usually listed on the driver's door jamb sticker or in the owner's manual specifications. Keep excellent records from day one - it's much easier to maintain good documentation habits than to try to reconstruct everything later if you get audited.

One thing nobody has mentioned is that you might qualify for the Credit for the Elderly or Disabled (using Schedule R) depending on your income level. If you meet the IRS definition of disability and your income is below certain thresholds, this could give you a tax credit between $3,750-$7,500. For 2024 taxes, your adjusted gross income generally needs to be below $17,500 if single (higher for other filing statuses) and your nontaxable Social Security/pension/disability benefits below $5,000. Worth checking out!

I'm dealing with something similar and wanted to share what I learned from my tax preparer. Even though you were denied SSDI, you can still check the disability box on your tax forms if you meet the IRS definition - which sounds like you do based on your doctor's diagnosis and inability to work for 3+ years. One thing that might help is keeping detailed records of all your medical expenses related to your condition. Even though your LTD payments put you over the income threshold for some disability tax credits, you can still deduct medical expenses that exceed 7.5% of your AGI. With ongoing medical care for a severe condition, this could add up to significant savings. Also, don't let the SSDI denials discourage you from continuing to appeal if you're able. The system is frustrating but many people get approved at the hearing level with proper representation. Your LTD approval actually shows that an insurance company's medical reviewers determined you're unable to work, which can be helpful evidence for your SSDI case.