Guys, I've been carrying over capital losses for 4 years now after a really bad crypto investment in 2021. Quick tip - TurboTax doesn't always get the carryover right if you have complicated situations! Last year it somehow "lost" about $4200 of my long-term carryover and I had to manually correct it. Make sure you ALWAYS print out or save PDFs of: 1. Your complete tax return 2. Schedule D 3. The Capital Loss Carryover Worksheet 4. Form 8949 with all your transactions Then double-check the starting carryover amounts each new tax year. I learned this the hard way.

Great question about tracking capital loss carryovers! I've been dealing with this for a few years now after some unfortunate investment losses. One thing I'd add to the excellent advice already shared - make sure you understand the "netting" rules. If you have both short-term and long-term carryover losses, they get applied in a specific order against future gains. Short-term carryover losses first offset short-term gains, then long-term gains. Long-term carryover losses first offset long-term gains, then short-term gains. This matters because long-term gains are taxed at preferential rates, so using short-term losses against them first can actually be more tax-efficient. Also, regarding TurboTax - I've found it helpful to manually verify the carryover amounts by looking at the prior year's Schedule D before starting each new tax year. The software usually gets it right, but as others mentioned, it's not foolproof, especially if you're importing from different tax software or have complex transactions. One more tip: Keep detailed records of the original transaction dates for your losses. Even though the carryover loses connection to specific investments, you might need this info if the IRS ever questions the short-term vs long-term classification of your carryovers.

I actually had this exact situation with my housekeeper last year and learned the hard way that the IRS looks at multiple factors beyond just supplies and scheduling. Even though my housekeeper brought her own supplies, the IRS agent I spoke with explained that since I was directing specific tasks (like "clean the bathrooms first, then kitchen") and she only worked for me regularly, she was actually classified as an employee. The determining factors aren't just about supplies - it's really about the degree of control you have over the work. If you're telling her what to clean, when to clean it, or how to do specific tasks, that leans toward employee status. If she's truly independent (you just say "clean the house" and she decides everything else), then contractor makes sense. I ended up having to file Schedule H and pay the household employment taxes retroactively. It was a pain, but better than dealing with penalties later. I'd recommend really carefully going through the IRS 20-factor test or getting professional advice before deciding, because the consequences of getting it wrong can be expensive.

I've been dealing with a similar situation with my cleaning lady for the past two years. What really helped me figure it out was focusing on the "control" aspect that others have mentioned. The IRS basically asks: do you control what work is done, when it's done, and how it's done? In my case, I realized I was definitely controlling WHAT (specific cleaning tasks) and WHEN (I preferred certain days), but my cleaner controlled HOW (her methods, her products, her routine). Since you mentioned she sets her own schedule and brings supplies, that's leaning contractor. But if you're giving her specific instructions about what to clean or how you want things done, that could push it toward employee status. One practical tip: I started keeping a simple log of our interactions. If most of your communication is just "see you Thursday" vs "please make sure to vacuum the stairs and dust the ceiling fans," that can help clarify the relationship. The documentation also helps if you ever need to justify your classification to the IRS. At $2,400/year, you're definitely over the 1099 threshold, so you'll need her tax ID either way. I'd suggest having that conversation soon since year-end is coming up fast!

Protip: if your return is simple and you got your refund quick last year, you'll probably have the same experience this year. The IRS tends to flag similar things year after year. My returns are pretty basic and I've gotten my refund within 10 days for the past 3 years running. People with EITC or child tax credits typically wait longer because those get extra scrutiny.

Congrats on getting accepted early! I had the same thing happen last year and was equally confused. Like others mentioned, the IRS does start accepting returns before the official processing date to test their systems. Your situation sounds really similar to mine - simple return, direct deposit, and around the same refund amount. I got my acceptance email about 5 days before the official start date and ended up getting my refund 12 days after filing, so just a few days after processing officially began. The key thing to remember is that "accepted" just means your return passed their initial checks for errors and formatting. The actual processing (where they calculate and approve your refund) doesn't start until the official date. But being in the queue early definitely doesn't hurt! Given your track record of 8-day turnaround last year, I'd expect something similar this time. Just try not to stress too much about checking your bank account - the money will show up when it shows up. Good luck with those car repairs!

Great question, Joshua! I can confirm what others have said - Form 2553 is absolutely a one-time filing. Once the IRS approves your S-Corp election (which you already have confirmation for), it stays in effect indefinitely unless you voluntarily revoke it or violate the S-Corp eligibility requirements. The confusion you're seeing online probably comes from mixing up the initial election form with the ongoing filing requirements. What you DO need to file annually now is Form 1120-S (S-Corporation Income Tax Return) by March 15th, and you'll need to issue yourself a Schedule K-1 as the sole shareholder. Since you're already into your second year with S-Corp status, make sure you're staying compliant with the reasonable salary requirement - you need to pay yourself wages through payroll (not just distributions) for any work you do in the business. This is probably the most important ongoing requirement to avoid IRS scrutiny. Keep that original approval letter somewhere safe - you may need it for banking, business applications, or if questions ever come up about when your election took effect.

I'm glad this thread cleared up the confusion! I was actually in the exact same boat last year with my consulting LLC. The misinformation online about "annual S-Corp elections" is really frustrating when you're trying to do things right. Just want to echo what everyone else confirmed - Form 2553 is definitely one-time only. I've been running my S-Corp election for three years now and have never had to refile it. The IRS approval letter you received is your golden ticket - that election stays valid unless you mess up the eligibility requirements or choose to terminate it. The real ongoing work is the annual Form 1120-S filing and making sure you're handling payroll correctly. I use QuickBooks Payroll to stay compliant with the reasonable salary requirements, and it's been worth every penny to avoid IRS headaches. One thing I wish someone had told me earlier: keep detailed records of how you determined your salary amount. Document your research on industry standards, your role/responsibilities, time commitment, etc. If the IRS ever questions your salary vs. distribution split, you'll be glad you have that paper trail ready to go.

I'm currently facing this exact same situation with my tech consulting LLC! Reading through everyone's experiences here has been incredibly helpful and reassuring. One thing I wanted to add that might help others - when I spoke with my CPA about this issue, she mentioned that it's actually quite common for new business owners to make this mistake during the EIN application process. The form itself can be confusing, especially the way they word the entity classification options. She also emphasized something that several people touched on here: the importance of demonstrating that you've been operating consistently as a partnership from day one. In our case, we've been splitting profits 50/50 based on our ownership percentages, taking draws rather than salaries, and making decisions jointly - all classic partnership behaviors. I'm planning to follow the advice from @Kendrick Webb and @Mei-Ling Chen about filing Form 8832 with a detailed reasonable cause statement. The timeline document idea from @Aisha Khan sounds perfect for organizing all our evidence of partnership operations. Has anyone here had experience with requesting the retroactive effective date when you've been operating for almost a full year under the wrong classification? I'm hoping the consistent partnership conduct throughout this time will support our case, but I'm curious about others' experiences with longer timeframes. Thanks to everyone who shared their stories - it's made this stressful situation feel much more manageable!

I'm new to this community but dealing with a very similar situation - LLC incorrectly classified as corporation on our EIN application. Reading through everyone's experiences here has been incredibly helpful and gives me hope that this can be resolved! One additional resource I wanted to mention that helped me understand the process better is IRS Publication 3402, which specifically covers tax issues for LLCs. It has a section on entity classification elections that explains exactly when Form 8832 is needed and what documentation supports late election relief. The publication also clarifies something I was confused about - you can request retroactive classification even if you've been operating under the wrong classification for several months, as long as you can demonstrate consistent conduct with your intended classification and qualify for late relief under Rev. Proc. 2009-41. What really struck me from reading everyone's stories is how important the "reasonable cause" statement is. It's not just about explaining the mistake, but showing a pattern of consistent partnership behavior from day one. I'm putting together my own submission now and plan to include our operating agreement, partnership-style profit distributions, and joint decision-making records. Thanks to everyone who shared their experiences - it's made this whole process much less intimidating knowing that others have successfully navigated the same challenge!