Paying tax in the US after moving from UK

[redstripe54 42]

Hi everyone, I finally got my K1 visa and will fly out next week.

Can anybody out there, tell me all about the US/UK treaty on double taxation.

I'm finding it very confusing and complicated. Help please !!!

[scotinmass 588]

Hi everyone, I finally got my K1 visa and will fly out next week.

Can anybody out there, tell me all about the US/UK treaty on double taxation.

I'm finding it very confusing and complicated. Help please !!!

if you have no income in the UK you don't pay any tax to HMRC.

[Nich-Nick 3,354]

You have no 2015 tax obligation to the US because you won't be a permanent resident, resident alien, or have any US income in 2015.

If you marry in 2015, you may choose to file jointly with your American spouse. There is a statement to sign and include choosing to be treated as a resident alien for tax filing purposes. You will need a SSN when you file so go get one shortly after POE. If you elect to file jointly, then your UK income for all of calendar year 2015 will be reported. That doesn't mean taxed. There is an IRS form 2555 or 2555EZ where you can exclude foreign income. You will be eligible to file that. Your spouse's total tax will be less filing jointly than his other option to file "married filing separately".

If you do not marry in 2015-- you do nothing and he files single. His taxes will be higher than if you marry before the end of 2015 and file jointly. That's because jointly he adds a spouse which is good for around a $10k reduction of his taxable income.. And the spouses foreign income is excluded so not adding to the family income.

[Nich-Nick 3,354]

Forgot to add-- the next tax year (earnings from 2016 and filed in early 2017) you will file and pay taxes on all your income to the US. That includes reporting any interest you may have earned on investment in the UK. You pay tax to the country where you are a permanent resident, no matter where you earned it. You fill out a p-85 to let the UK know you are resident and will be working in the U.S. so they do not expect a tax return from you.

Taxes are a little more complicated with many exceptions possible, but that's the basics in a nutshell that fits most people.

[Jonathan and Tina 4]

I apologise for leaping onto the end of this thread, but: we're getting married on New Year's Eve. Am I right that we can still file jointly in January? Thanks.

[yuna628 9,700]

And absolutely don't forget about that P-85 either. My husband got a lovely surprise in his account the other day, with the HMRC showering him with money they owed him.

[Nich-Nick 3,354]

I apologise for leaping onto the end of this thread, but: we're getting married on New Year's Eve. Am I right that we can still file jointly in January? Thanks.

Yes! A great tax strategy as well as knowing there will always be a party somewhere on your anniversary and a holiday the next day. My parents married on New Year's Eve. Don't worry about joining the thread. I'm sure lots of people will have questions.

And absolutely don't forget about that P-85 either. My husband got a lovely surprise in his account the other day, with the HMRC showering him with money they owed him.

My husband got showered with money too, covering a couple of years he had paid HMRC too much. Then my taxes were about $2000 less because I added him in a year there was an extra tax rebate.

Edited November 8, 2015 by Nich-Nick