Realistically though, most panhandlers are probably below the filing threshold anyway. You don't have to file taxes unless you make above a certain amount ($12,950 for a single person in 2023). Plus many homeless panhandlers don't have permanent addresses or documentation needed to file taxes.

The IRS actually has some guidance on this in Publication 525 - they specifically mention that income from illegal activities (like drug dealing) must be reported, so panhandling (which is legal in most places) would definitely fall under taxable income. The tricky part is that many people think panhandling receipts are "gifts" but the IRS looks at the regularity and method. If someone is systematically asking for money in public spaces as their primary income source, it's generally considered business income rather than gifts. What's interesting is that if this person is making substantial amounts, they might also owe self-employment tax on top of regular income tax. The car situation you mentioned could actually trigger some red flags if they're making large purchases or deposits without reporting corresponding income. The IRS has algorithms that look for lifestyle inconsistencies with reported income.

I went through this exact situation when I was living in the UK last year! Here's what worked for me: I contacted my bank back home (Bank of America) and they actually allowed me to open a basic checking account remotely since I was an existing customer who had just moved abroad temporarily. They required some extra documentation but it was much easier than I expected. Once I had the account set up, I was able to use their mobile app to deposit the IRS check directly - no endorsement or third party needed. The funds were available within 2 business days and I could then transfer the money internationally to my UK account through their wire transfer service (though there was about a $45 fee for that). If you were a customer with any major US bank before moving, it might be worth calling them first to see if they offer similar services for Americans living abroad. Many banks have expat banking programs that aren't well advertised but can be really helpful for situations exactly like this.

I had this exact same issue when I moved to Germany and received an IRS refund check. After trying several approaches, here's what I learned works best: First, yes, you can legally endorse an IRS refund check to a family member by writing "Pay to the order of [cousin's name]" on the back and signing it exactly as your name appears on the front. However, the success really depends on your cousin's bank policy. My recommendation is to have your cousin call their bank first to ask about their specific requirements for third-party endorsed government checks. Some banks require both parties present with ID, others accept notarized endorsements, and some refuse them entirely. If the endorsement route seems problematic, I'd suggest two alternatives: 1. Contact the IRS directly (or use a callback service like others mentioned) to cancel the check and reissue as direct deposit to your cousin's account with proper authorization 2. Check if you can reopen a US bank account remotely with a bank you previously used - many have expat programs that aren't well advertised For future reference, you can also update your address with the IRS to have refunds sent to a trusted family member's address, then have them deposit directly into their account and transfer to you internationally. The $3,780 amount shouldn't be an issue for any of these methods. Good luck!

Just a quick tip about the AGI issue - if you filed with Credit Karma last year and don't want to deal with Cash App, you can also enter $0 as your prior year AGI and check the box that says "I didn't file last year" even though you did. Some tax software allows this as a workaround when you can't access your prior AGI. If your return gets rejected because of AGI verification, then you'll need to get your proper AGI through the IRS transcript service or by calling them.

As someone who's dealt with similar frustrations, I can confirm FreeTaxUSA is your best bet here. They absolutely allow 1099-NEC filing for free on federal returns - no hidden fees or surprise charges like other services pull. For your AGI issue, definitely try the IRS transcript option first at IRS.gov (search "Get Transcript Online"). It's free and usually works within minutes if you can verify your identity online. If that doesn't work for some reason, the phone options others mentioned are solid backups. One thing to keep in mind - if you had any income at all last year (even from a part-time job early in the year), your AGI wasn't actually $0. The IRS uses this number to verify your identity when you e-file, so getting the correct amount is important to avoid rejection and delays. FreeTaxUSA's interface might feel basic compared to the flashier services, but it handles all the forms you need without the constant upselling. You'll save money and get the same result.

This is so helpful to read everyone's experiences! I just got my RITA letters yesterday for the same years (2020-2022) and was totally freaking out. It's such a relief to know this is happening to so many people and that most of these turn out to be just paperwork issues. I'm in Cincinnati and my situation sounds similar - I had a job change in 2021 and I'm pretty sure there were some reporting mix-ups with the local taxes. Going to start gathering all my old documents this weekend and get my response together. Thanks everyone for sharing your stories and advice, this community is a lifesaver! 🙏

I'm dealing with this exact same issue right now! Got RITA notices for 2020, 2021, and 2022 just this week and was totally panicking until I found this thread. Reading everyone's experiences has been incredibly helpful - especially knowing that most of these end up being resolved without owing additional taxes. I'm in Akron and also had some employer changes during that period, so I'm guessing it's the same reporting mix-up that everyone else is describing. Planning to call my old employers tomorrow to get copies of all my W2s and local tax documents. Thanks to everyone who shared their stories and timelines - it's made this whole situation feel way less scary! 💙

One thing I haven't seen mentioned yet is that you might want to check if your state has any additional capital gains tax requirements. While the federal side is straightforward with reporting that $25 gain, some states have their own rules or forms for investment income. Also, if this is your first time dealing with investment taxes, it's worth noting that Robinhood usually makes their tax documents available by mid-February. You don't need to estimate or calculate anything yourself - they'll provide the exact figures you need for your tax return on the 1099-B form. The silver lining is that once you go through this process once, you'll understand how it works for future trades. And honestly, for a $25 gain, we're probably talking about $3-6 in actual taxes depending on your bracket, so the financial impact is pretty minimal even if the reporting requirement feels annoying.

I understand the frustration - I had the same misconception when I first started investing! The key thing to remember is that the IRS doesn't track your account withdrawals at all. They only care about buy/sell transactions. Think of it this way: when you bought Apple stock for $1350, you converted cash into an asset. When you sell that asset for $1375, you're realizing a gain regardless of what you do with the proceeds afterward. Even if you withdrew $0 from your account, you'd still owe tax on that $25 gain. The bright side is that for such a small gain, you're probably looking at maybe $3-8 in actual taxes depending on your income bracket. And since you held it less than a year, it's just taxed as regular income. Robinhood will send you a 1099-B form that makes reporting straightforward - you won't have to calculate anything yourself. If you really want to avoid the tax event, your only option is to not sell the stock at all. But honestly, dealing with a $25 capital gain on your tax return is pretty minimal complexity, and trying to avoid it might not be worth potentially missing out on accessing your money when you need it.