Could you clarify if there's a specific income limit for dependents? My daughter made about $14k last year from her part-time job while in college, but I still pay for her tuition, housing and most expenses. Can I still claim her?

For a qualifying child (which includes full-time students under 24), there is no income limit. Your daughter can earn any amount and you can still claim her as long as you provide more than half her total support and she lives with you for more than half the year (with exceptions for temporary absences like college). The income limit ($4,700 for 2023) only applies to qualifying relatives who aren't your children. This is a common misunderstanding that causes a lot of problems. So yes, you can absolutely claim your daughter as a dependent even with her earning $14k, as long as that money isn't covering more than half of her total expenses.

I used TurboTax for a similar situation. Since it was a rejected return that was never officially filed, I was able to just go back into my TurboTax account, access the return, fix the issue with my dependents, and resubmit. But since it had been more than 45 days since the rejection, their system wouldn't let me e-file again, so I had to print and mail it.

Thanks for the info! I'll check if I can still access my old return in TurboTax. 45 days have definitely passed for me too, so I'm guessing I'll have to mail it in as well. Did you need to include any special notes or forms explaining that it was a resubmission of a rejected return?

Thanks for this suggestion! I do work full-time though and make about $38k per year, so I don't think I'd qualify as his dependent? We split all expenses pretty evenly.

You're right - with that income level, you definitely wouldn't qualify as a dependent. The income limit for a qualifying relative in 2023 is $4,400, and you're well above that. And since you split expenses evenly rather than him providing more than half your support, that would disqualify you anyway. Thanks for the additional info! It's always good to explore all possibilities, but in this case, it looks like neither of you will get tax benefits from your living arrangement.

This! I work in property management and we definitely notice when someone is living in a unit who's not on the lease. Maintenance visits, neighbors mentioning things, security cameras in common areas, etc. The tax stuff is probably the least of your concerns.

Thanks for the organization tips! Did you include explanations directly on the cover sheet or separate explanation pages for each question? And did you use any particular format that seemed to work well? I want to make this as painless as possible for both me and whoever reviews my case.

I created a master cover sheet listing all questions and what was included for each, then for complex items I added separate explanation pages with more detail. For example, "Question 12: Home Office Deduction - See floor plan on page 5, utility bills on pages 6-8, and explanation of business use on page 9." The format that worked best was using a clear numbering system matching their questions exactly. I used dividers between sections and paper-clipped related documents together. I also highlighted relevant information on bank statements or lengthy documents. The agent who handled my last audit specifically mentioned that my organization made their job easier, which I think contributed to a favorable outcome!

Yes! I appealed an audit decision and won about 70% of what they initially disallowed. The key was providing additional context that showed why those expenses were actually ordinary and necessary in MY specific industry. I included articles about standard practices in my field and letters from colleagues confirming these were normal business expenses for our type of work.

Don't waste your money on H&R Block for a simple return. The people at those physical locations often just input your info into the same software you could use yourself for free. I made that mistake my first year - paid like $150 for something I could've done myself in 30 minutes.

Wow, that's really good to know! Do I need to file those previous years separately or can I do it all at once with this year's taxes?

You need to file each year separately. For previous years, you'll need to use the tax forms specific to those years - you can't use 2024 forms to file for 2022 or 2023. You can find previous year forms on the IRS website, and most tax software can handle prior year returns (though they might charge for this service). Start with the most recent unfiled year and work backward. The good news is that if you're owed refunds, there's generally no penalty for filing late. You're just losing out on money that was already yours!

16 Wait seriously? I did some small jobs last year for like $200 each and never got 1099s so I didn't report them. Should I be worried?

12 You shouldn't receive a 1099 until after the tax year ends. Companies are required to send them out by January 31st of the following year. So if you did work in 2024, you won't get your 1099 until January 2025. If you did work in the previous tax year and still haven't received a 1099 by mid-February, you should contact your client. Remember though, even without a 1099, you're still required to report all income you earned.