Taxes

[Milka 0]

Hi everybody.

does anybody know how we have to file taxes here in the US?

Does my husband has to file single or married for 2006. We got married in September of 2006. I worked in Germany from January till September of 2006. I thought that I will have to file in Germany. Or do I have to file here? That's all a bit confused. Does anybody know exactly. The only thing I do know, that I have to pay taxes only in one country, but which one?

Thanks in advance.

[supercaleroman 0]

Hi everybody.

does anybody know how we have to file taxes here in the US?

Does my husband has to file single or married for 2006. We got married in September of 2006. I worked in Germany from January till September of 2006. I thought that I will have to file in Germany. Or do I have to file here? That's all a bit confused. Does anybody know exactly. The only thing I do know, that I have to pay taxes only in one country, but which one?

Thanks in advance.

Not to advertise, but several well-known tax products allow you to process your taxes for low fee compared to if you go to a tax agency. If you use the software, if will ask you whether you had income outside of the US and how long you've been married, etc. I also think that the tax filing depends on whether you completely changed residency from the US to Germany...but I'm not sure on that.

If you don't like the software option...there's always the tax agency down the street. FYI...depending on your state and income, you may be able to file federal and state taxes for free. Go to your state's department of revenue site for guidelines.

[kitkat1 5]

If you worked only in Germany, you did not earn money in the US therefore you don't pay taxes in the US.

Your husband can file married, filing separately or married filing together depending on which is more beneficial for him.

[Keigwyn 1]

I hope that is the case kitkat1, as I got confused by all the irs literature. I also came here last year (Aug) and had earnings in the UK until I left and none atter that time in the USA. Some of the flowcharts I have seen make me resident and others make me nonresident last year. Then there is the threshold of $82,xxx earnings outside the US. Well on a pro-rata basis I exceeded that, but paid tax at 40% in the UK. To get a tax burden in the US as well with not having worked for 5 months would be financially crippling.

[jmurray 0]

we used publication 519 on IRS website... i went by the flow chart on it to see if i could file joint or separately, it is very confusing though

good luck!

[Carms07 0]

I have the same problem, I dont know how to file! My husband came to the US in July of 2006 and we married the same month. I never tought about changing my marital status with the IRS, and now its almost time for taxes and I wonder if that will affect me in any way. How do we go about filing, I know we have to do it together but since I make a little bit more money am I the head of household? It's so confusing....does anyone know of a good tax service in Phoenix, AZ.

[payxibka 10,047]

I have the same problem, I dont know how to file! My husband came to the US in July of 2006 and we married the same month. I never tought about changing my marital status with the IRS, and now its almost time for taxes and I wonder if that will affect me in any way. How do we go about filing, I know we have to do it together but since I make a little bit more money am I the head of household? It's so confusing....does anyone know of a good tax service in Phoenix, AZ.

You change your marital status when you file you return... there is nothing to do before that....

Resident aliens are taxed differently than non-resident aliens. The first thing you need to determine if your spouse will be treated as a resident or non resident alien. In order to be treated as a resident alien there are two tests (you need to answer "Yes" to one). Green card test and substantial presence test. If your spouse has there green card then you have passed. If you failed test #1 then has your spouse been in the country for 183 days? If you pass then he is treated as a resident alien if you failed both then he is treated as a non-resident alien

[Keigwyn 1]

I just revisited the test. No I did not have a green card in 2006. Also I came here on Aug 11th 2006, thats about 142 days. I visited in 2005 all in all for maybe 90 (visitor limit) but it is counted as 1/3 so that makes another 30. In 2004 I was here for maybe 15 days but it counts only as 1/6 that makes 142+30+3 maximum=175. Just under the 183!

So that allows me to be nonresident and foreign earnings (taxed) before I came here are not counted!

One happy bunny!

[payxibka 10,047]

I just revisited the test. No I did not have a green card in 2006. Also I came here on Aug 11th 2006, thats about 142 days. I visited in 2005 all in all for maybe 90 (visitor limit) but it is counted as 1/3 so that makes another 30. In 2004 I was here for maybe 15 days but it counts only as 1/6 that makes 142+30+3 maximum=175. Just under the 183!

So that allows me to be nonresident and foreign earnings (taxed) before I came here are not counted!

One happy bunny!

Now that you are deemed a non-resident alien tax status (and that is apparently what you want), your spouse has two choices...

married filing seperate or

head of household (if another qualifying person is in the household).

[scooby06 0]

Hello,

I have a similar problem. I just got my Work permit (Dec.20-06) but have not found work jet, the stores don’t hire until SS# number is approved witch may take 3-6 weeks. We got married in April 06. My husband has no income and doesn’t work. My lawyer said I should file joint income tax. Well if we both do not have an income then how can I file for it? Or do you need to file even if you have no income? Should I file the form with $0.00 income and send it in?

I hope to get a job in Feb. or March. What then? Should I just fill in the 2 month of wages I made? I’m very confused here. I have no GC but been here way longer then 183 days so I would be considered a resident alien. Please help.

[payxibka 10,047]

Hello,

I have a similar problem. I just got my Work permit (Dec.20-06) but have not found work jet, the stores don’t hire until SS# number is approved witch may take 3-6 weeks. We got married in April 06. My husband has no income and doesn’t work. My lawyer said I should file joint income tax. Well if we both do not have an income then how can I file for it? Or do you need to file even if you have no income? Should I file the form with $0.00 income and send it in?

I hope to get a job in Feb. or March. What then? Should I just fill in the 2 month of wages I made? I’m very confused here. I have no GC but been here way longer then 183 days so I would be considered a resident alien. Please help.

If you have no tax liability and are not entitled to a refundable credit then there is no reason to file.

For any work you perform in 2007 gets reported next year.

[1HappyGuy 45]

Just to clear up some of the confusion. Your filing status is determined as of the last day of the year. If you are married on or by December 31st, you are married and should file as either "Married-Jointly" or "Married-Separately". Single is not an option.

Conversely, if you are divorced officially as of December 31st, you are considered single all year.

Concerning the issue of reporting income on earnings in foreign countries, if you are a resident of America, you are taxed on your worldwide income, regardless of where it was made. Now, there are tax breaks for those earning income in other countries, but this is a very technical area of the tax law. Also, the laws about income of non-resident aliens is very confusing and difficult.

Seek a qualified professional, such as a Certified Public Accountant (CPA). Income from other countries involves tax treaties between America and other countries. You might find that you need to file a tax return in a foreign country also, although many foreign countries take their tax at the source (i.e. where you earned it).

[Baileyj96 0]

You can still qualify to file as married filing joint. If you married by December 31st 2006 you can request that your spouse be treated as a resident alien.

From IRS website

Election to File Joint Return

If, at the end of your tax year, you are married and one spouse is a U.S. citizen or a resident alien and the other is a nonresident alien, you can choose to treat the nonresident as a U.S. resident. This includes situations in which one of you is a nonresident alien at the beginning of the tax year, but a resident alien at the end of the year, and the other is a nonresident alien at the end of the year.

you don't have to meet the physical presence test or the green card test.

You would include worldwide income but you can also exempt the foreign income by using pub 2555.

At least that's what I discussed with an IRS employee. call the irs and they can answer some questions for you.

Baileyj96

[Keigwyn 1]

Part VII of the form you mentioned includes the foreign earnings exclusion. The amount I earnt in the UK (and paid taxes on) is far more than the $82,400 / (no of days in uk). This is why I am happy that I qualified as a non-resident.

The money earnt in the UK has kept us afloat in the 5 months until I was able to find work. Having another tax liability on the already expensive AOS /EAD process would have been financially crippling.

[Baileyj96 0]

That is nice that it can work to your advantage. Requesting my spouce be treated as a resident alien then using the 2555 form to exclude his foreign income is going to profit me about $1,000

Each person's situation is different so everyone needs to do their own homework.

Best wishes,

Baileyj