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Topic: UK resident/US citizen only income is SS and uk interest  (Read 505 times)

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UK resident/US citizen only income is SS and uk interest
« on: March 08, 2025, 11:52:10 AM »
My husband is the US citizen and needs to complete his US tax return. I understand that his SS is not taxable in US but how do I show this on his US return.? Is there a form he needs to complete? or do I just put 0  on line b for taxable SS? Or how do we do this ? His social security is paid into a bank in the USA. I presume we still complete the FBAR forms and show uk interest on return.
« Last Edit: March 08, 2025, 12:15:30 PM by Rosalyn »


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Re: UK resident/US citizen only income is SS and uk interest
« Reply #1 on: March 08, 2025, 01:36:16 PM »
My husband is the US citizen and needs to complete his US tax return. I understand that his SS is not taxable in US but how do I show this on his US return.? Is there a form he needs to complete? or do I just put 0  on line b for taxable SS? Or how do we do this ? His social security is paid into a bank in the USA. I presume we still complete the FBAR forms and show uk interest on return.

You are correct on how to report the SS.  The gross amount goes in box 6a and then zero in 6b on the 1040.  Turbotax has never allowed this and forced a value of 85% of SS in 6b on our tax returns and in previous years I have adjusted the taxable sum by putting negative income in "Other" equal to the figure in 6b.  Turbotax finally recognized the problem and this year notices that we have an overseas address and asks what figure to put as taxable so this year I can say zero SS is taxable.

We do file an FBAR each year as we have over $10k in foreign accounts and do show the interest and pay US taxes on it on our IRS return (Schedule B, and don't forget to complete Section III in this schedule to indicate that you have foreign accounts).

We don't have the extra reporting forms to complete on the IRS return because the balance of our foreign accounts is always below $400k at end of year and never exceeds $600k during the year. (Married filing jointly, living in England).
Dual USC/UKC living in the UK since May 2016


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Re: UK resident/US citizen only income is SS and uk interest
« Reply #2 on: March 08, 2025, 02:05:57 PM »
Thanks for the reply. So as I understand there is no form that has to go with the return to say he is resident in uk. I just put gross in box a and 0 in box b. I presume they go by the adddress. I will give it a whirl and see what happens. Thanks.


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Re: UK resident/US citizen only income is SS and uk interest
« Reply #3 on: March 08, 2025, 02:51:48 PM »
Most accountants will attach a completed Form 8833 to make it clear that an individual is electing to claim the benefits of the tax treaty.


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Re: UK resident/US citizen only income is SS and uk interest
« Reply #4 on: March 08, 2025, 08:58:57 PM »
What Guya said.

They are cutting staffing at the IRS dramatically, so anything that requires human intervention (like a paper return or one that requires a human to review it) may take exponentially longer to process. So doing anything you can do electronically is probably going to be the speediest.  If your tax prep software service allows you to complete the 8833 online, you'll be ahead of the game.

When I filed from the UK I sent paper copies. I believe I wrote (in very small writing) on the line "per UK/US Tax treaty" and referencing the section of the treaty, next to where I entered the sum of $0 as being taxable. (Sorry, those papers are in storage or I would look for you.) It worked just fine.
« Last Edit: March 08, 2025, 09:03:42 PM by Nan D. »


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