Thanks for bringing up bonus depreciation! I hadn't even heard of that option. Is there an income limit on bonus depreciation like there is with Section 179? And does the business use still need to be over 50% to qualify?

Bonus depreciation doesn't have the same business income limitation as Section 179, which is why it can be better for freelancers with low income but expensive equipment purchases. You can actually create a loss with bonus depreciation, unlike Section 179. For the business use requirement, you still need more than 50% business use to claim bonus depreciation on listed property (which includes computers and cell phones). If your business use drops below 50% in future years, you may have to recapture some of the depreciation as income, so keep good records of your business vs personal use.

I used TurboSelf-Employed last year for my equipment deductions. It handled basic Section 179 questions okay but didn't really explain the business income limitation clearly. I ended up taking a bigger deduction than I should have and had to file an amended return later. If your situation is complex, it might not be the best option.

But what if my school didn't send me a 1098-T form? I paid tuition but never got any tax forms. Can I still claim education credits somehow?

You can still claim education credits even if you didn't receive a 1098-T, but you'll need to be able to document your qualified education expenses. Contact your school's bursar or student accounts office immediately and request a copy of your 1098-T. Most schools also make these available to download from your student portal. If for some reason they didn't issue one, keep all receipts showing you paid qualified education expenses. You aren't technically required to attach the form to your return, but you do need documentation in case of an audit. The IRS allows you to claim the credit with alternative documentation of your expenses.

Actually, the OP specifically asked about a 1098-T in the title, not a 1098-E, so people are responding correctly. The confusion about which form is which is exactly the issue here.

That makes so much sense! I just checked and you're right - my cycle code ends in 05. So that means my transcript updates Thursday nights? Does that mean if nothing changes this week, I should check again next Thursday?

Yes, exactly! If your cycle code ends in 05, your account typically updates overnight between Thursday and Friday. So check first thing Friday morning for any changes. If nothing changes this week, definitely check again next Friday morning. Many people don't realize the IRS works in these weekly batches for most processing. So your return might be completely processed already, but the transcript won't show the updates until your designated cycle date.

This is so true! I got my refund in my bank account 2 days BEFORE the Where's My Refund tool updated last year. The whole system is a mess.

Student loan interest (up to $2,500) is actually an "above-the-line" deduction, not an itemized deduction. That means you can take it even if you claim the standard deduction! It's directly subtracted from your income before calculating your adjusted gross income.

Thanks for mentioning this! We actually did install some energy efficient windows as part of moving in. Do you know if that counts if they were installed by the previous owner right before we bought the place? Or does it only count if we paid for the installation ourselves?

Unfortunately, you only get the credit if you paid for the improvements yourself. If the previous owners installed them, they would get the credit on their tax return. However, now that you own the home, any new energy-efficient improvements you make going forward would qualify for you! The credits are pretty substantial - up to 30% for solar and geothermal, and up to $600 for energy-efficient windows (with a $1,200 annual maximum for most improvements). Might be worth considering additional upgrades this year!

That's really helpful, thanks! Do you know where I can find information about this tax treaty? Is there a specific IRS form or website that explains how it would apply to my situation?

You can find the full text of all US tax treaties on the IRS website - search for "United States Income Tax Treaties A to Z" and look for New Zealand. But I'll warn you, these documents are written in dense legal language and can be hard to understand. A more user-friendly approach is to look at IRS Publication 901 (U.S. Tax Treaties). It breaks down the key provisions by country in more understandable language. For your specific situation as a seasonal worker, pay attention to the sections on "dependent personal services" or "income from employment" in the treaty. These sections typically address short-term work situations like yours.

This isn't totally accurate. The $10,000 threshold is for the COMBINED total of ALL your foreign accounts at ANY point during the year. So if you had $5k in a NZ account and $6k in another foreign account, you'd still need to file FBAR. Better safe than sorry with these things!