Early retirement has a glossy shine—beaches, hikes, side projects, and no alarm clocks. But step off the traditional work treadmill and the IRS might be waiting with an unexpected bill. Many people in the Financial Independence, Retire Early (FIRE) movement take sabbaticals, either between jobs or before fully retiring, and assume less work means less tax drama.
The truth is, stepping away from work can trip tax landmines most never consider. Here are nine cases where your year off can end with an unwelcome letter from Uncle Sam.
