Dual status alien - 1040 line 36b

Can you please explain to me what is meant by dual status alien..i am filing as an american citized - married but separate..i dont think i qualify for this but i want to be sure..thnx

Dual status return is generally filed by non-US citizens or greencard holders when they were resident of the US for part of the year and non-resident for the other part.

If you are a US Citizen, this is not an option for you...

Helen

Helen (or somebody that can help),

The above is relevant to my situation and source of confusion. After 4 years in the US as alien resident (non green card holder), I moved to UK. I am Spanish citizen. I understand that in the year of departure (part-year resident), I could choose to file a full-year resident return or a dual-status return (1040+1040NR).

I moved at the end of April 2005 to the UK. I meet the presence test in the US, but I am not sure about the question of "closer connection to foreign country", since I moved to UK, I am NOR in UK, and it is not the entire year.

I think that it is more tax efficient for me to be treated as US resident in 2005(I can file a joint-return with my wife who did not have income and was with me). So, I need to understand whether filing as US resident for the full-year is an alternative (given the info above), or I must file as dual-status resident (which it seems more complicated and potentially more expensive).

Thanks,
p.p.

p.p. The closer connection test is a test for an exception to the residence test for aliens.  It serves to prove that a person who is resident under US domestic rules is actually still a resident of a foreign country because they have closer connections there so that they can file a non-resident US tax return.  It does not apply in your circumstances where you MUST file dual status tax returns - which are indeed typically more expensive in tax terms (although not necessarily so if say you had substantial capital gains in the non-resident period).

Thanks Guya,
So let’s me recap. There is no way that in the year of departure of a resident alien (even after meeting all the presence tests etc), you could decide to file just a full year resident return (including the foreign income exclusion).

Thanks, p.p.

No this is not correct:

1. If a section 7701(b)(4) election PLUS a section 6013(g) election was made in the FIRST year of residence then some (but not all) accountants reckon it can be done.  You would need to disclose the position which would increase the chance of audit.

2. If married to a US citizen or green card holder and an election is made.

3. If the last day of residence is December 31 (eg by presence in the US on that date).

Thanks Guya,

Now I am convinced. I MUST file a dual-status return.

Would you be so kind to list all the forms I have to file?

FYI: I had just wage income in the R period. My wife did not have wages in the R period. We both had capital gains, dividends and interest in the NR period (I guess 50% each). How do I report the tax treaty rates? (0% capital gains,15% dividends and 0% interest, right?)

Thanks again,
p.p.