Would this still work if it's been like over a year since I worked there? I have a similar issue but from a job I had in 2023 and I just realized I never received one of my W-2s when organizing for this year's taxes.

Yes, it should still work! Most payroll systems keep your documents available for several years. I was able to log into my ADP account almost 2 years after leaving a job and still access all my tax documents. If you can't remember which payroll system they used, try contacting any former coworkers who might know. Even if you don't have login credentials anymore, these services usually have account recovery options using your SSN and personal info to verify your identity.

How much was the penalty when you got caught? I'm trying to decide if it's worth the hassle of tracking down a W-2 from a job where I only made like $1200 total.

Thanks for mentioning documentation! I think I have all my 1098-Ts from school but not sure about textbook receipts from 3 years ago. Will the IRS reject my amendment if I'm missing some of the receipts?

The IRS won't automatically reject your amendment if you're missing some receipts, but you should be prepared to substantiate your claims if they ask questions. For textbooks, if you don't have the original receipts, look for credit card statements, bank statements, or emails confirming your purchases. For education credits, the 1098-T is the most important document, as it shows your enrollment and amounts paid to the institution. The IRS is more likely to focus on verifying that information rather than every individual book purchase. Do your best to create a reasonable estimate of your textbook costs if you can't find all receipts, and keep notes on how you calculated those amounts.

Does the IRS automatically add the interest or do you have to request it specifically? And do you know what the current interest rate is?

That's a really good point! I just checked and she didn't receive a 1099-NEC, just this weird mostly-empty MISC form. I wonder if they did start filling out the wrong form. This makes me even more convinced I need to contact the employer to figure out what's going on.

Definitely contact them then. It's also possible they reported her regular W-2 wages correctly but had some small miscellaneous payment they needed to report separately. Either way, the employer needs to clarify what that payment was for since it affects how you'll report it on your return. Better to get this sorted out now than have issues later if the IRS computers match up the reported income differently than what you filed on your return. Those automated mismatch notices can be a real headache to resolve after the fact.

This happened to me too! And the worst part was that the company that issued it had gone out of business by the time I discovered the error, so I had nobody to contact for a corrected form. Nightmare.

Thanks for this info! I did file Form 1120-S for 2021 and issued myself W-2s, so sounds like I've been operating consistent with S-corp status. I was just confused about whether I could put January 1 as the effective date when my LLC wasn't technically formed until March. I'll definitely check Box D1 and explain the situation in Part III as you suggested. Do you think I should attach anything else to the form when I send it in? Like copies of my 2021 tax filings to prove I've been operating as an S-corp?

Yes, you should absolutely attach copies of your 2021 Form 1120-S and any W-2s you issued yourself as supporting documentation. This demonstrates to the IRS that you've been operating consistently as an S-corporation. Also consider attaching a brief cover letter referencing the IRS notice you received and explaining your intention to address this with the late-filed election. I'd also recommend sending it certified mail so you have proof of submission. The IRS can be slow to process these, so having documentation of when you submitted everything can be important if they follow up again before processing your election.

Good point! I made this mistake last year and they rejected my filing, adding another 2 months to the process. You can download the current version directly from irs.gov rather than using any forms that might be outdated on tax preparation websites.

Does anyone know if Texas accepts this MTC form? Their website is so confusing and I've gotten different answers from different people at their tax department.

Texas does accept the MTC form, but with some caveats. They're technically a member of the Multistate Tax Commission, but they sometimes require additional documentation if you're not registered in Texas and you're doing dropshipping where the final customer is in Texas. I've found it's always safest to call the state's department of revenue directly for your specific situation. The rules for dropshipping in particular vary tremendously between states and can change without much notice.

But don't you still need to provide resale certificates to your suppliers regardless of whether you have nexus in a state? My understanding is these are separate issues - nexus determines if you collect tax from customers, while certificates prevent you from paying tax to suppliers.

You're absolutely right - I should have been clearer. Nexus and resale certificates are related but separate issues. You need to provide resale certificates to your suppliers to avoid paying sales tax on purchases intended for resale, regardless of your nexus status. What I meant was that tracking your sales by state helps you determine where you need to register for sales tax permits, which you often need before you can get a valid resale certificate for that state. Some states will issue resale certificates even without nexus, while others require you to have nexus and be registered first.