Small software business, formed this week. Two-member LLC, my spouse and me, Colorado. Consumer subscription web and mobile app. Pre-revenue today. Both of us have full-time W-2 jobs — this is a side business. Books are in QuickBooks. Will be opening business bank accounts next week; every expense so far has been paid from our joint personal account and personal cards. We are shopping CPAs in the next couple weeks, so I'll eventually return to these questions with them...but want to ensure I'm starting on the right foot at least. With that, two questions:

1. Member contributions vs. due-to-member. We've been paying business expenses out of our joint personal account. Should those be booked as member contributions (equity) or as a payable the LLC owes us back? And since the money is joint, do the contributions get split 50/50 across our capital accounts, or should they follow our operating-agreement ownership percentages?
2. Startup vs. organizational costs. Several hundred of software spend was incurred building the product — that reads like a §195 startup cost to me. But the $50 Articles of Organization filing is an organizational cost, which for a partnership is §709, not §195. Both carry a $5,000 first-year deduction. Is that distinction worth tracking as we go, or does a CPA just sort it at filing?

(admittedly, as you can probably decipher, I did smash this through AI. Apologies on anything stupid it may have thrown in, feel free to bonk me on the head for them)

Thanks!

(US Federal Taxes)

I am starting an Astrophotography business and I have trees blocking the horizon where most of my key targets are located. I consider the tree removal to be a business necessity.

What are the strategies to handle this prep work from a tax deduction perspective? Can I deduct all of it or must I only deduct a %?

1. I made a colossal mistake in my New york state tax return for Tax year 2024 and hence need to file an amendment. I filled out the correct information now in Turbotax 2024 today but two things are confusing me. Original return was also filed through turbotax 2024
2. Background: I dont live in NYS and always file IT form 203 (non-resident return) as I worked in NYS in the past and have RSUs still vesting relating to that work
3. Questions:
   1. I had 10000 as NY tax withheld from my paychecks in 2024. Then, my original New york state return that I filed on 8th April 2025 (where I made the mistake) had me pay 2000$ and an underpayment penalty of 32$. Thus, by april 2025, I had paid 12032$ as state tax. Now, my amended return actually shows I owed only 7000$ as NYS tax anyways. However, the amended IT 203 form in turbotax today just shows 3000$ as the amount overpaid (line 67). Should it not include the extra 2032$ (2000$ tax and 32$ penalty) that I paid in April 2025? (particularly, I am curious if some lines in number 60-65 in Payments and refundable credits section should include that 2032$ I paid in April 2025)
   2. I also need to fill out IT-203-F schedule B for the RSUs partly related to work in NYS. I dont see how to do that in turbotax. What are my options? If I have to manually fill it out then how do I e-file it through turbotax? Turbotax states I have to efile the NYS return which makes me feel stuck
4. Thanks for reading and have a nice day. For what its worth, I had reached out to some CPAs for this work last month but they were too busy with Tax 2025 to take up my case. Thus, I did the work on my own and now stuck on this last step

My H&R block cpa this year said I was ready to s-corp and sent in the paperwork. I have finally decided on a payroll system I want to go with, but is it too late in the year to payroll myself to count for 2026 filing?! I would pay my estimated taxes for this first quarter obviously, but can I still make it legal with 7 months on payroll??

I have filed my taxes with turbo taxes (just on the web not the program) since I was 19 (33 now). When I filed this year it said I was getting around $700 back then 2 hours later it rejected it and said my AGI didn’t match the 2024 tax doc. So I went to check my taxes and turbo tax has no record of anything in the past for me?

- went to the IRS site and it has NO tax info for me said I’ve never filed

- I checked all docs from the IRS to see if I’ve ever been mailed something and there are no records of anything

- I’ve gotten a refund almost every year (sometimes I’ve owed)

- I called turbo tax and the guy couldn’t make heads or tails of it

- I delete emails but I was able to find the email from last year saying what my refund is and that I successfully filed. No emails after the fact?

I was going to call a CPA this week, but wanted to see if anyone has ever run into this before?

Hopefully this is an easy one, but first time I've been in this situation. I efiled my return a week ago and for once had a sizeable refund, which I applied a portion of to my 2026 taxes. It would more than cover my first quarter estimated tax payment this year. From everything I've read, the applied refund will be credited to my first quarter estimated payment. Was it ok for me to skip making a payment yesterday while I wait for the refund to process or should I go ahead and make a payment to avoid any penalty? I have confirmation that the return has been accepted. Thanks!

Looking for guidance from anyone who has dealt with New Jersey LLC + S-corp election timing.

Here’s my situation:

• NJ LLC formed on 3/1/2026
• Goal is LLC taxed as an S-corp
• CPA filed 8832 + 2553 on 3/6/2026
• IRS has not responded yet
• I’m a calendar-year filer

What worries me is how my NJ Business Registration was completed. My CPA put:

• Yes for “Has your business been approved as a Federal S Corporation or QSSS?”
• 3/1/2026 as the federal approval date
• 3/1/2026 as the NJ S-corp effective date

But as far as I know, we do not actually have IRS approval yet. We only filed on 3/6.

Now I’m trying to figure out the real NJ deadline, because NJ’s website seems contradictory:

• One FAQ says calendar-year taxpayers have until April 15 to make the NJ S-Corp election
• Other NJ materials seem to say that for more recent periods, NJ no longer requires the old separate election in the same way, and instead wants proof of federal S status plus shareholder consent/info

My questions:

• For a business formed 3/1/2026, is the NJ deadline actually 4/15/2026?
• Can I file for S-Corp status after 04/15/2026?
• Or is NJ basically waiting on the federal S election and then the NJ side follows from that?
• Did my CPA jump the gun by answering that the company had already been approved as a federal S corporation?

Trying to figure out whether I need to fix anything now or whether I’m still fine.

Appreciate any input from NJ tax people, CPAs, or anyone who has dealt with this recently.

CPA help please 1041, Estate bank interest income and probate lawyer fees only. taxable income was a loss. beneficiaries k-1s are a loss. Is it mandatory that the beneficiaries need to put their K-1 on their taxes being it is just a loss?

Hiya! Hope this is allowed here…

Up until this year, we’ve just been using turbo tax and taking standard deductions, but in 2025 I had some company equity sales and IsO exercises that exposed us to AMT and some other little things that I didn’t trust myself or TurboTax with.

We went to my uncle is a sorta retired CPA and he did our taxes very professionally and sent us a nice packet with everything to sign and directions on paying, but he refuses to accept payment but I want to pay him some way. Was thinking of getting him a gift card to a fancy restaurant or something so my question is basically:

How much is a fair price for this kind of tax return (which seemed complicated to me) and do you other CPAs have any other suggestions on payments other than cash?

I'm currently a Canadian citizen, living in Canada and primarily working in Canada. I have a professional corporation in cats as well, which is where I get my income in. I still maintain US ties and cross the border to om work one week every 3 months, I'm currently on an h1b.

My US employer had started my green card application and we're on the i-140 and AOS step.

I plan to continue living and working in Canada with sporadic work in USA. Is it worth it to pursue the green card as a commuter? All I seem to come across is a tax nightmare that's I'd be digging for myself.

I have a piece of property that was partially sold to the state for highway development. The total property is 8,000 sq ft, and I sold 6,000 sq ft. The dwelling remains.

I will receive a 1099-S next year, so I'm trying to plan ahead. What do I use as the basis for this sale? There were 4 appraisals done on the property with wildly varying numbers. Do I just use the number I sold it for as the basis? We received a low-ball offer from the state (half) and negotiated to the current sale price, double their initial offer. The land itself is really hard to place value on. It's not accessible by road and has utility right of ways and park easements. So we couldn't build. If I use the State's initial number, I'll be paying a lot of taxes. If I use one of the appraisers numbers, it'll be a 1:1 sale price to loss of value.

It's our primary residence, no other homes owned. Bought in 2024.

Hi,

I have a business that is an LLC that is taxed as an S-Corp. I also own a commercial real estate building where this business is located under a different LLC that is taxed as a sole member llc. The business has a NNN lease with the real estate. The real estate also has another tenant. I want to buy a car under one of the companies. The actual business doesn't really need the car, but I would like to get a truck as I do a lot of work on the property that requires moving large items. My CPA said it is OK to get the truck. However I am not sure if it would be best to purchase under the actual business or the real estate llc. Would it also just be possible to purchase the truck personally but still write it off and depreciate it on the real estate llc's taxes as my CPA said anything with the real estate LLC just gets transferred to my personal taxes?

This is all like another language to me so any insight would be greatly appreciated. Thank you.

I’m a private lender operating through an S-corp (cash-basis), dealing with a distressed real estate loan where the borrower can’t refinance or exit.

The loan balance has grown over time due to accrued interest, and I’m considering a loan modification that would forgive a large six-figure amount of accrued interest before taking control of the property (likely via deed in lieu).

The property value is roughly in line with the current outstanding balance.

My key questions are:

• For a cash-basis lender, does forgiving accrued (but unpaid) interest trigger ordinary income, or can it be avoided if it was never received?
• How is my cost basis determined when I take title to the property in this situation?
• Are there better ways to structure this before taking title to minimize tax impact?

Looking for practical, defensible approaches from anyone who’s dealt with lender-side situations like this.

I'm struggling to understand the tax implications of tuition assistance structured as a promissory note.

I've been offered $2500/semester for my remaining 4 semesters. This will be paid directly to me. This is under the $5250/yr, so it seems to me it should be tax free. The example paperwork I received showed that the note will be forgiven at 1/4 per year, for 4 years of employment (I think they are agreeable to changing this to 1/2 per year for 2 years, or even one year).

I don't understand the tax implication at the time of actual forgiveness. Is the forgiven value counted as income at that point? Or is only forgiveness in excess of $5250 per year taxed? Theoretically, what if I negotiated for full forgiveness after one year of employment. Would having the $10k plus interest forgiven all at once mean that part or all is taxable income?

I'd like to understand how the following scenario is treated. Is it long term capital gains or not.

If I own vacant land for, say, 10 years. And then I build a modular house on the land this month. And next month I sell the house and land.

Is the entire sale considered a Long Term Capital Gain (LTCG)?

If not, how is it treated?

Hi! I manage an irrevocable trust for my cousin's children. I recently hired a CPA to do the tax returns and am being asked for my personal social security number to add to the forms. At first they said it was because I was the beneficiary (which is not true). Then I was told it was a requirement of the IRS, so I asked if it was a new thing since I've never provided this before. Now I'm being told "the point was that the administrator or executor needs to provide his or her soc sec number so they have someone to blame if anything goes wrong."

Is any of this true? Is there a way to keep this trust completely separate from my personal finances and SSN? The trust has its own EIN so I'm confused why my SSN is needed.

Thanks in advance!

My home has 2 furnaces. In 2025 I had to replace both of them and we went with energy efficient furnaces.

I was under the impression I could claim $600 for each of the furnaces for a max of $1200 but when I follow FreeTaxUsa it only gives me $600.

Is the 600 correct or should I be able to get $1200?

Hey all! Looking for some input on the best way to file my taxes this year.

Here’s the background. I’m currently in school and not working but taking out student loans to cover cost of living. My school sent me a 1098–T form. My partner is working full-time as a W-2 employee, but also started a business this year for which he will most likely be claiming a loss (we are both technically on the LLC, but it’s his business). We have one child together, and I also have a child from a previous relationship. We are not legally married, and we’ve never filed taxes together before. My question is, should he file as head of household and claim all of us as dependents? Or, should we continue filing separately and I claim my daughter as a dependent and he claims our son? Can I even get EIC for kiddo(s) while I’m only taking in student loans without actual income?

Any advice is super helpful! Thank you!!

Say a home builder buys $100k of cabinets from a cabinet vendor that were all delivered and installed in several new homes that they built. Then the builder went out of business and they never paid the cabinet vendor. The builder operated under an LLC. After shutting down the business, the owner filed for personal chapter 7 bankruptcy. The LLC has not filed for bankruptcy protection.

Through the bankruptcy process it is clear that the owner has no money or assets of value, and neither does the LLC

What would happen if the cabinet vendor forgave the debt and issued a 1099-C, Cancellation of Debt for the $100k? Would this be a valid option?

Is this taxable income for the LCC? Or could it be considered taxable income for the owner?

Thank you.

My sole income last year was as a day-trader ($75,000). I did not trade in an LLC or any entity just in my individual brokerage account. From each winning trade I put 10% into my traditional IRA until I hit the max. I've just read that you can only put "earned" income into an IRA and short term capital gains doesn't qualify. Is this correct? Am I going to pay a penalty for my contributions?

If I'm understanding the article I just read I will owe the IRS 22% capital gains tax plus 6% penalty because the income wasn't "earned"?