Have you checked if you claimed any credits that might trigger additional review? EIC or Child Tax Credit can slow things down. Also, did you file with a military address? That sometimes routes returns through a different processing center. Try checking your transcript again tomorrow morning - they often update overnight on Thursdays.

I'm going through the exact same thing! Filed 1/30, accepted same day, got my state refund on 2/12, but federal is still stuck with just the 971 code. Called the IRS twice and got different answers - first agent said it's just normal processing, second one mentioned a "random review" but couldn't give specifics. What's frustrating is that my transcript hasn't updated at all since the 971 appeared on 3/2. At least your state came through quickly too, so hopefully that's a good sign that our info is all correct. Going to try checking again Friday morning since someone mentioned they update overnight on Thursdays.

Just to clarify something important - the WMR tool and the actual mailing of checks operate on different schedules. WMR updates once daily (usually overnight) but the paper checks are printed and mailed in batches once per week. So even after your WMR updates to "check mailed," the actual check might not go out for several more days depending on where it falls in their weekly mailing cycle.

I went through this exact situation in February! The IRS switched my refund to paper check due to what they called a "bank verification issue" even though I'd used the same account for years. Here's my timeline: IRS notified me on February 8th, my transcript updated with code 846 (paper check) on February 12th, WMR updated to "check mailed" on February 16th, and I actually received the check on February 23rd. So about 15 days total from notification to check in hand. Pro tip: definitely sign up for USPS Informed Delivery if you haven't already - it'll show you a preview of your mail each morning so you'll know the day your check is coming without having to constantly check your mailbox!

Don't forget you might need to look into sales tax too, depending on what state you live in and where your customers are! I sell digital art files online and had to register for a sales tax permit in my state. The rules are different for digital goods vs physical products though, so you'll want to check your specific state laws.

Does anyone know if hand modeling sites typically send 1099s? I do something similar and last year none of the platforms I used sent me any tax forms, even though I made around $3k. I'm freaking out that I'm gonna get in trouble with the IRS!

Just to offer another perspective - I handled my own CP2000 response for a similar RSU reporting issue last year without a tax pro. I just carefully documented everything, included copies of my RSU statements showing the vesting dates and values, and wrote a clear explanation letter. The key things that helped me: - I included a spreadsheet that matched each 1099-B transaction to the corresponding RSU grant - I highlighted the W2 box where the RSU income was already reported - I recalculated my Schedule D and Form 8949 with the correct cost basis - I was super organized with my response and made everything easy to follow The IRS accepted my explanation without any further questions. If you're comfortable with your tax situation and understand RSUs, you might not need to spend the money on a professional. Just be methodical and thorough in your response.

I'm surprised nobody mentioned reaching out to your company's stock administrator! When I had a similar issue with RSUs and a CP2000, our company's equity team provided me with detailed documentation specifically designed for responding to IRS notices. Many larger companies that offer RSUs have dealt with this exact situation many times and already have template letters and supporting documentation they can provide to employees. Worth checking if your HR or stock admin team can help before spending money on a professional.

Important tip: be aware there's a 3-year deadline for filing an amended return for a refund! For 2021 taxes, you generally have until April 15, 2025 (3 years from the original due date). Don't wait too long to file your 1040-X. Also, SAVE EVERYTHING related to this amendment. The IRS can sometimes take 4-6 months to process 1040-X forms, and having copies of everything you submitted makes follow-up much easier if needed.

The 3-year deadline is still based on the original filing date, not when you paid the balance after receiving the notice. So for your 2021 return, you still have until April 15, 2025 to file the 1040-X for a refund - paying that IRS bill doesn't extend this deadline. Regarding e-filing amendments - you're right that it's still mostly paper filing for 1040-X forms, though some tax software now allows e-filing of certain simple amendments. For complex situations like missing cost basis with supporting documentation, you'll likely need to mail it in. Make sure to send it certified mail so you have proof of delivery. One more thing for the original poster - when you file your 1040-X, you might want to include Form 4852 (Substitute for Form W-2/1099) if your brokerage didn't provide corrected forms. This helps explain why the cost basis was missing on your original return and strengthens your case for penalty abatement.