Taxes...very confusing!!!

Hello guys, its been a while since ive posted here but I need to now, its very confusing about taxes.

My situation is as follows:

I am currently living in the UK on a Civil Partnership Visa.

I spent 365 out of 365 days in the UK which I know qualifies me to be a bona fide resident.

I worked in the UK for a UK Company and earned the equivilent of $22,700.  I have paid UK Tax and National Insurance.

I have the equivilent of $11,500 in a UK bank account.

Can someone please advise what I need to do as I cannot afford to pay $$$$ for an expert to do it for me.  Thanks in advance.

Probably your best bet is filing a 1040 (not A or EZ), 2555-EZ foreign income exclusion and, if your bank account pays interest, a Schedule B. You also need to file a TD F 90-22.1 to declare your UK bank account(s). I think, but I'm not sure, that since the federal government doesn't recognise same-sex relationships, that you would file as single. The instructions for all of these forms and the forms themselves are on the IRS website. It sounds like you actually have quite a simple situation, so don't bother using tax preparation software, it will only take longer. Print out the forms and fill them out by hand or on the pdf and then print. HTH!

Thanks for the reply.  I know I have to file as single that isnt a problem.

My bank account does earn interest but its like 0.05% and i earn about 30cents a month on it...

Probably your best bet is filing a 1040 (not A or EZ), 2555-EZ foreign income exclusion and, if your bank account pays interest, a Schedule B. You also need to file a TD F 90-22.1 to declare your UK bank account(s). I think, but I'm not sure, that since the federal government doesn't recognise same-sex relationships, that you would file as single. The instructions for all of these forms and the forms themselves are on the IRS website. It sounds like you actually have quite a simple situation, so don't bother using tax preparation software, it will only take longer. Print out the forms and fill them out by hand or on the pdf and then print. HTH!

This sounds good to me.

Probably your best bet is filing a 1040 (not A or EZ), 2555-EZ foreign income exclusion and, if your bank account pays interest, a Schedule B. You also need to file a TD F 90-22.1 to declare your UK bank account(s). I think, but I'm not sure, that since the federal government doesn't recognise same-sex relationships, that you would file as single. The instructions for all of these forms and the forms themselves are on the IRS website. It sounds like you actually have quite a simple situation, so don't bother using tax preparation software, it will only take longer. Print out the forms and fill them out by hand or on the pdf and then print. HTH!

Thanks! I was wondering the same things!

Probably your best bet is filing a 1040 (not A or EZ), 2555-EZ foreign income exclusion and, if your bank account pays interest, a Schedule B. You also need to file a TD F 90-22.1 to declare your UK bank account(s). I think, but I'm not sure, that since the federal government doesn't recognise same-sex relationships, that you would file as single. The instructions for all of these forms and the forms themselves are on the IRS website. It sounds like you actually have quite a simple situation, so don't bother using tax preparation software, it will only take longer. Print out the forms and fill them out by hand or on the pdf and then print. HTH!

To add my two-pence worth in support, in a similar situation (but married) I concluded the same filing of 1040, 2555, Schedule B. and TD F 90-22.1
Although I had previously used commercial software while in US, this time I abandoned it and did the exercise longhand without difficulty.
I'll go one more year, now without paid employment, before I add complications of commence IRA withdrawals.

Right, I just got off the phone with the tax associates that I used to prepare my taxes when I lived in America, she said that if I was not present in the US for any of 2011, and my foreign earned income was not reported to the US tax office, that there is no need to file at all because I earned no money in the US. This doesnt seem quite right to me.

That is not right. US citizens are taxed on worldwide income. A tax professional should know that.

Hi Torred-

You must file a US tax return each year on your worldwide income if you meet filing requirements. Whether you must file your tax return depends on three factors: gross income, filing status and age. In your case you have to file a US tax return for tax year 2011.

Just remember that filing a tax return doesn't necessarily mean that you will owe any US tax. Based on your post, it should be simple paperwork; a pain in the patoot, but in the end, no big deal. You can DL the forms from the IRS website, and fill them in.

Your US 'tax professional' was definitely wrong about not needing to file.

Just to dig up this old thread rather than start a new one...We all agree that the 1040, TDF 90-22.1, 2555, and Schedule B make the most sense for the OP's situation...But here's mine.  I don't mind filing these things, but I'm wondering if I really need to/should.

I've been in the UK for all but 11 days in the tax year from Jan 1, 2011 to Dec 31, 2011.

I started working a part time job at the end of October, and was paid the equivalent of $2,545.05 up until the end of December (Using 1 GBP = 1.541 USD).  I only paid National Insurance, and no Tax on these earnings because my earnings were below the UK Tax-Free Personal Allowance. However, my earnings are well below the filing threshold of $9,500.

I have 3 UK bank accounts-- A Current Account, a Cash ISA (opened ), and a Joint Current Account.  I see that the FBAR (TDF 90-22.1) states that this needs to be filed only if the aggregate value of the foreign financial accounts exceeds $10,000 at any time during the calendar year.  The highest amount I had at any given time in my UK-based accounts is $3,835.09. So in this case, I also wouldn't need to file.  Two of the accounts do pay interest-- The current account on a monthly basis, and the ISA on a yearly basis (This is what the Schedule B Form was for, right?).  Do I need to file one if I'm not filing a TDF 90-22.1?

My only concern is that I have filed taxes every year since somewhere around 2002.  So, if I fail to file this year, I worry that it could get flagged up, and it might just be easier to file rather than to have to explain later why I didn't.

Lastly, if filing is advised, I was a student for the majority of the year (I officially graduated on the 14th December).  I did not pay any interest on my US-student loans.  I believe any deductions I can claim for tuition/education expenses will be calculated into my 1040 anyway, but are there any other forms I may need to complete as a student, or as a result of having student loans?