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Topic: Do I need to file a US Tax Return?  (Read 116329 times)

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Re: Do I need to file a US Tax Return?
« Reply #45 on: November 11, 2009, 02:20:10 PM »
There have been lots and lots of questions about whether or not to file a tax return, with lots of people on the outside of the forum giving lots of bad advice.  This thread should help answer that question.

Generally speaking, if you are a US Citizen and filed tax returns before leaving the States, you must continue to file a tax return, even when you are living abroad.  Though, generally, if you do not earn in excess the equivilant of 80,000 USD you will not owe any taxes.  To actually figure out if you must file is rather complicated and you should check out the table at: newcomer link: http://london.usembassy.org.uk/irs/irswho.htm [nonactive] .

So you just realized you haven't filed but you were supposed to and are worried you are in trouble.  The official answer is:
 I was told yes, you do need to file a tax return on earnings from UK.  there are froms for foreign earned income.  I have not actually done it  yet but do plan to this year.  Will see how it works out


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Re: Do I need to file a US Tax Return?
« Reply #46 on: January 17, 2010, 09:37:34 PM »
I looked at the site and have had a peruse of this but the phrase "if you filed tax returns before leaving the States" keeps appearing and I'm generally confused so forgive me if my question is obvious.

I've never filed a US tax return, never earned any money in the US or even had any money in the US - do I need to start doing so?

And, this is the complex issue, if I go to a third country being paid by a second country in circumstances which void taxation (diplomatic immunity) what would my tax relationship with the US government be?
"As I write, highly civilized human beings are flying overhead, trying to kill me.

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Re: Do I need to file a US Tax Return?
« Reply #47 on: January 17, 2010, 10:36:36 PM »

I've never filed a US tax return, never earned any money in the US or even had any money in the US - do I need to start doing so?

And, this is the complex issue, if I go to a third country being paid by a second country in circumstances which void taxation (diplomatic immunity) what would my tax relationship with the US government be?

Unless you meet minimum thresholds not to file (around $8800 for single filers) than you have to file.  This does not mean you pay tax however.


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Re: Do I need to file a US Tax Return?
« Reply #48 on: April 09, 2010, 11:34:21 AM »
Hello. This has probably already been addressed countless times, but if anyone can offer it, I just need clarification... I've been resident in the UK since 2005 (I'm a US citizen, husband is a UK citizen, having never lived or worked in the US). I hadn't worked since 2005 in either country (and have therefore not filed US taxes) until last year (2009), where I did some work in the UK. It is my understanding that I earned enough to warrant filing (3900 pounds sterling (before taxes)/ 6123 USD). I also understand that I should file as "married filing separately". Am I right in thinking that I need to file a regular 1040, as well as a 2555 EZ (to get the 2-month extension)? My situation is straightforward (no kids, no school, etc.)- I don't have any other taxable income and, although I have two bank accounts (one in the US, the other in the UK), both are checking accounts only, and have never held more than my income, plus a few hundred dollars, at any given time. So, do I just need to file those two forms or is there anything else I should complete? Also, this might seem obvious to some, but what is the difference between a "regular" form, and an "EZ" form? Thanks!!


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Re: Do I need to file a US Tax Return?
« Reply #49 on: April 10, 2010, 02:53:49 PM »
SL13,
Form 1040, “Married filing separately is generally accepted as the preferred category for someone in your situation who has a relatively simple tax position. Form 2555 EZ should be fine for you, provided the income was not from self-employment. As far as “EZ” forms go, well…they’re not necessarily easier, just quicker. The regular forms are not that much more difficult. If you do not foresee any major changes to your tax position in future years, they are fine. The EZ forms do not allow additional benefits that arise from more involved tax positions. You may want to investigate Schedule M, (a one year, one off special) as this could be advantageous, and could offer a refund even though you may not owe any taxes. As regards your UK Bank Account, debate has been spirited over Schedule B. Read the instructions and make your own mind up as to your decision on filing it. You automatically get the two month extension since you are a taxpayer resident abroad and you qualify to file 2555EZ to exclude income from being taxed twice due to the length (5 years) of your Bona Fide Residence.


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Re: Do I need to file a US Tax Return?
« Reply #50 on: April 10, 2010, 03:55:17 PM »
Given your level of income your husband may have made you gifts requiring filing Form 3520 if he ever transferred the equivalent of $100,000 to you in any calendar year.

Do read carefully the OAPS wise words.  Electing the foreign earned income exclusion on Form 2555 or 2555-EZ could mean you missing out on the making work pay credit...


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Re: Do I need to file a US Tax Return?
« Reply #51 on: April 11, 2010, 12:17:38 AM »
Thanks for the replies. As regards Schedule B, I thought you only needed to file if the amount in a bank account was the equivalent of $10,000 or more. Please set me right on that if I have the wrong impression... As for the making work pay credit- I'm unfamiliar with this and how it relates. But, other than the 1040 and the 2555, is there anything else I need to file? I'm still a little confused... Thanks!


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Re: Do I need to file a US Tax Return?
« Reply #52 on: April 11, 2010, 06:49:53 AM »
I thought I read on here that the 2-month extension for people living overseas was automatic -- do I need to fill out and submit something?
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Re: Do I need to file a US Tax Return?
« Reply #53 on: April 11, 2010, 10:56:21 AM »
It is an automatic extension to June 15th for all Americans living abroad. You dont need to fill out anything to get the extension.


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Re: Do I need to file a US Tax Return?
« Reply #54 on: April 11, 2010, 04:24:36 PM »
Does anyone know if there's a way to pay any tax I believe I owe to the IRS online, so I don't incur any interest/penalties by not submitting on the 15th April?

If not, would you know what form I'd submit?

Cheers.


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Re: Do I need to file a US Tax Return?
« Reply #55 on: April 11, 2010, 09:33:01 PM »
It is rare for a US person in the UK to owe US tax because UK rates are higher than US rates - but if you do owe tax you write a check and mail it with the 4868.  The mailing date is the relevant date (not when the IRS get the money) so do get proof of posting.


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Re: Do I need to file a US Tax Return?
« Reply #56 on: April 12, 2010, 02:39:06 PM »
In addition to my other questions... Just wondering if anyone has used turbo tax this year, and if it's possible to do it with the 1040 plus the 2555? I looked at the website, but it wasn't obvious to me if it was usable for expats. Thanks!


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Re: Do I need to file a US Tax Return?
« Reply #57 on: April 12, 2010, 05:28:39 PM »
I am using Turbo Tax and I got through everything until the check point. It of course doesn't like that my spouse doesn't have a SSN or an ITIN. I know I have read on here that you can write in NRA. But now I am wondering if I have to print it out and mail it instead of just filing online?


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Re: Do I need to file a US Tax Return?
« Reply #58 on: April 13, 2010, 01:40:16 PM »
I had that question as well; can you file turbo tax online, or do you need to print it out and send it in? Also, in addition to the center in Austin(?), I thought you could send your tax forms to a center in London. If anyone knows, please let us know. Thanks!


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Re: Do I need to file a US Tax Return?
« Reply #59 on: April 13, 2010, 02:03:44 PM »
Also, in addition to the center in Austin(?), I thought you could send your tax forms to a center in London. If anyone knows, please let us know. Thanks!

The address to send tax returns to in London:
Internal Revenue Service
American Embassy
24 Grosvenor Square
London W1A 1AE
United Kingdom

I sent a return to London this morning by Royal Mail, Special Delivery. Guaranteed delivery tomorrow. Cost: £5.05. It's trackable over the internet.


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