tax audit

[bevray 0]

Has anyone been audited by IRS? We married in December and filed jointly as we were informed this was the correct thing to do. After being advised how to fill out tax returns after requesting an ITN number as I was still living in the UK, we included my UK income believing that this was below the allowed limit for overseas income and have just been audited today. The tax inspector said we got flagged because of this. As I did not have a social security number or a green card the IRS want to include my income from UK and tax it! She admitted to us we were mis informed by the tax office and that she is still not sure what the ruling is. We should have filed seperately and then my income would not have come into play. We are now in a catch 22 position, we cannot change our return and file seperately but it doesn't seem fair that they want tax on money that was never earned or even bought into this country. I gave her my P60 which shows the tax has been paid, and I had to explain how our tax system works. If they dont know how to interprete the forms how are we expected to understand them.

Anyone had similar problems

Bev and Ray