Thanks for sharing your experience. What kinds of deductions did they find that you weren't aware of? I'm trying to get a sense of whether I'm missing major opportunities by using TurboTax.

My CPA found several deductions I had missed completely. The biggest was properly documenting home office expenses since I occasionally work from home - this included a portion of utilities, internet, and even some home maintenance costs that I never would have thought to deduct. They also helped me properly categorize some of my investment expenses and found that some financial advisory fees I was paying were partially deductible. For your specific situation, they might find ways to optimize your stock grant taxation or identify deductions related to your attempted business venture that go beyond just the direct ad costs. A good CPA doesn't just file forms - they look at your whole financial picture and find optimization opportunities. The first year with mine, she saved me about $3,200 compared to what I would have paid using TurboTax, which more than covered her fee.

I've tried both and honestly they're pretty similar for stock stuff. The real difference comes with having someone who can give you planning advice BEFORE tax time. Software just helps you report what already happened, not optimize for the future.

That's a fair point about the planning aspect. I guess my experience was that H&R Block's interface specifically for stock grants and basis tracking was more intuitive than TurboTax, but you're absolutely right that neither one provides forward-looking strategic advice. For someone with the OP's income level, getting that proactive guidance could definitely be worth the CPA cost, especially with the mix of salary, stock grants, and trading activity. I still use software myself, but I'm also not dealing with $110K in stock gains!

24 H&R Block's software isn't any better. I switched to them thinking they'd handle it correctly and had the same issue. I think the problem is that they don't have a specific input field for the amount already reported as income on your W-2.

18 Thanks for sharing that about H&R Block. I was considering switching to them next year but maybe that's not the solution. I wonder if the more expensive tax prep options like a CPA would handle this correctly. Seems ridiculous that we have to jump through all these hoops for something that should be straightforward.

Would replacing my old furnace with a heat pump qualify? How much of a credit could I get? My heating system is on its last legs anyway.

Yes, replacing your old furnace with a heat pump would likely qualify under the Energy Efficient Home Improvement Credit. For 2023, you could get up to 30% of the costs back as a tax credit, with a limit of $2,000 specifically for heat pumps. The great thing about this being a credit rather than a deduction is that it directly reduces your tax bill dollar for dollar. Just make sure the heat pump meets the efficiency requirements - usually the manufacturer or installer can confirm this for you and provide the necessary certification documentation you'll need for your tax return.

I did this last year! You can defer recognizing capital gains until 2026 by investing in Qualified Opportunity Zone Funds within 180 days of realizing the gain. Plus if you hold the investment for 10+ years, gains on the QOZ investment itself can be completely tax-free. But be careful - these investments can be risky and illiquid, so definitely do your homework.

Do you know if this is the same for all states or just New York? I'm in Texas and we don't have state income tax, but I got a property tax refund with interest and wondering if that follows the same rules.

The federal taxation rules apply to interest from any state government refund, including property tax refunds. The key is that it's interest paid to you, which is always federally taxable regardless of which state paid it or what type of refund generated it. For property tax refunds specifically, only the interest portion is reported as interest income. The refund itself isn't typically taxable unless you deducted those property taxes previously (in which case it might be subject to the tax benefit rule). Each state has different rules about when they start paying interest on refunds, but the federal tax treatment of that interest remains the same.

There's technically no minimum threshold for reporting interest income to the IRS. All interest income, regardless of amount, is supposed to be reported. The $10 threshold only applies to when the payer must issue a 1099-INT, not to when you need to report it.

That's more applicable to complex corporate tax shelters than to individual investors making normal investment decisions. As long as you have a legitimate investment purpose (which it sounds like OP does - they believe in the long-term prospects), tax-loss harvesting is a widely accepted practice. Even traditional brokerages recommend it for stock portfolios. The key is having investment intent beyond just tax savings. The fact that OP genuinely wants to maintain investment in this crypto should be sufficient.