confused and need help

[smile:) 0]

hope some one have more experience can answer me

Iam US citizen and my husband NRA he came August 2016 on K1 visa and still has AOS under processing and has no U.S. source income from August to the end of 2016 , he is from Greek but he was work last couple years in Dubai and had income to last month before he move here And he get his vacation from his work and travel back early to Greek September 2015 to December 2015 then back to his work in Dubai until he move here in august 2016

1- Did we need form 2555 or 2555 ez ?

2- and did he Qualifying Under Bona Fide Residence Test or Physical Presence Test and what he should add for tax home country and what should add in Date bona fide residence began, and ended or 12 months before he move here ?

 

[Suss&Camm 2,213]

3 hours ago, smile:) said:

hope some one have more experience can answer me

Iam US citizen and my husband NRA he came August 2016 on K1 visa and still has AOS under processing and has no U.S. source income from August to the end of 2016 , he is from Greek but he was work last couple years in Dubai and had income to last month before he move here And he get his vacation from his work and travel back early to Greek September 2015 to December 2015 then back to his work in Dubai until he move here in august 2016

1- Did we need form 2555 or 2555 ez ?

2- and did he Qualifying Under Bona Fide Residence Test or Physical Presence Test and what he should add for tax home country and what should add in Date bona fide residence began, and ended or 12 months before he move here ?

 

1 - if he will be a tax resident of the US for 2016 then yes, if not then no.

 

2. He does not qualify under either of those tests, but he can make the choice to qualify by being married to a USC and be treated as a tax resident of the US for the whole of 2016.

 

If he doesn't make that choice then he isn't required to file taxes in the US for 2016 and the USC would file MFS. If you want to file MFJ (and by doing so get the benefits of it), he will HAVE TO make that choice and he will have to report his worldwide income, in Dubai and/or in Greece. In this case he would fill out the 2555 or 2555ez  (if he qualifies). Regarding the tax homes you will have to find out if he was required to file taxes in Dubai or in Greece or both,  and then enter this on the 2555. 

 

I hope that helps some. Good luck. 

[smile:) 0]

51 minutes ago, Suss&Camm said:

1 - if he will be a tax resident of the US for 2016 then yes, if not then no.

 

2. He does not qualify under either of those tests, but he can make the choice to qualify by being married to a USC and be treated as a tax resident of the US for the whole of 2016.

 

If he doesn't make that choice then he isn't required to file taxes in the US for 2016 and the USC would file MFS. If you want to file MFJ (and by doing so get the benefits of it), he will HAVE TO make that choice and he will have to report his worldwide income, in Dubai and/or in Greece. In this case he would fill out the 2555 or 2555ez  (if he qualifies). Regarding the tax homes you will have to find out if he was required to file taxes in Dubai or in Greece or both,  and then enter this on the 2555. 

 

I hope that helps some. Good luck. 

Thank you for reply and yes we need file MFJ and want help about form 2555

did he Qualifying Under Bona Fide Residence Test or Physical Presence Test and what he should add for tax home country and what should add in Date bona fide residence began, and ended or 12 months before he move here ? This part 2 and 3 in form 2555

 

Edited March 19, 2017 by smile:)

[Suss&Camm 2,213]

11 minutes ago, smile:) said:

Thank you for reply and yes we need file MFJ and want help about form 2555

did he Qualifying Under Bona Fide Residence Test or Physical Presence Test and what he should add for tax home country and what should add in Date bona fide residence began, and ended or 12 months before he move here ? This part 2 and 3 in form 2555

 

First you need to slow down and ask each question separately. I'm having a hard time understanding you.

 

That said, for the purpose of Form 2555, as far as income in Dubai goes, if he has worked there for 12 qualifying months he enters that time on the 2555 (it would be substantial presence, not bonafide residence in Dubai). If he left Dubai, those periods need to also be entered on the 2555. This is described in the instructions of the form. It says in the instructions how many days he is allowed to be out of Dubai to be able to use this exclusion. Only he can answer this. The last day would be the final day he was in Dubai. You can only use this if he does qualify and if he does the tax home would be Dubai.

 

Once you have decided the 12 months that qualify him, you need to determine how many of those days were in 2016. That number of days, divided by 365 and then multiplied with the maximum excludeable amount is how much he is allowed to exclude on the 2555.

[smile:) 0]

1 hour ago, Suss&Camm said:

First you need to slow down and ask each question separately. I'm having a hard time understanding you.

 

That said, for the purpose of Form 2555, as far as income in Dubai goes, if he has worked there for 12 qualifying months he enters that time on the 2555 (it would be substantial presence, not bonafide residence in Dubai). If he left Dubai, those periods need to also be entered on the 2555. This is described in the instructions of the form. It says in the instructions how many days he is allowed to be out of Dubai to be able to use this exclusion. Only he can answer this. The last day would be the final day he was in Dubai. You can only use this if he does qualify and if he does the tax home would be Dubai.

 

Once you have decided the 12 months that qualify him, you need to determine how many of those days were in 2016. That number of days, divided by 365 and then multiplied with the maximum excludeable amount is how much he is allowed to exclude on the 2555.

Thank you again and sorry for misunderstanding

Do you mean even when he spend 3 months from last 12 months before he move here we can allowed to exclude his overseas income last 7 months before move here

 

[Suss&Camm 2,213]

5 hours ago, smile:) said:

Thank you again and sorry for misunderstanding

Do you mean even when he spend 3 months from last 12 months before he move here we can allowed to exclude his overseas income last 7 months before move here

 

I don't mean to be unhelpful, but this is all described in the 2555 instructions in great detail and anything I will tell you is really just reiterating those...

 

 In choosing the 12 qualifying months it matters that the last day of those is in 2016. It does not matter where you spend 3 months after the chosen qualifying months, as long as you don't include them. Also he must have spent 330/366  full days within the qualifying months, actually IN Dubai. 

[smile:) 0]

8 hours ago, Suss&Camm said:

I don't mean to be unhelpful, but this is all described in the 2555 instructions in great detail and anything I will tell you is really just reiterating those...

 

 In choosing the 12 qualifying months it matters that the last day of those is in 2016. It does not matter where you spend 3 months after the chosen qualifying months, as long as you don't include them. Also he must have spent 330/366  full days within the qualifying months, actually IN Dubai. 

Do you mean if we choosing from august 2015 to July 2016 and he was spent 3 months darling this 12 months in Greek  (from September 2015 to December 2015) he can't add form 2555 and claim the exclusion

[Suss&Camm 2,213]

15 minutes ago, smile:) said:

Do you mean if we choosing from august 2015 to July 2016 and he was spent 3 months darling this 12 months in Greek  (from September 2015 to December 2015) he can't add form 2555 and claim the exclusion

330/366 days have to be in the country where he has his tax home in order to qualify

 

If he was in Greece during September-December then he was not in Dubai for 330/366 days and does not qualify = can not use the foreign earned income exclusion

(Unless he was doing work also in Greece for the same company/work, but you said it was vacation)

[Suss&Camm 2,213]

44 minutes ago, smile:) said:

Do you mean if we choosing from august 2015 to July 2016 and he was spent 3 months darling this 12 months in Greek  (from September 2015 to December 2015) he can't add form 2555 and claim the exclusion

I'm editing cause I'm re-reading and I see where the confusion comes in. I believe you actually can count the days also in Greece... just not days that would have been in the US. As long as they are full days, where you are not in transit. Read here:

 

https://www.irs.gov/individuals/international-taxpayers/foreign-earned-income-exclusion-physical-presence-test

 

"Change Of Location

You can move about from one place to another in a foreign country or to another foreign country without losing full days. But if any part of your travel is not within a foreign country or countries and takes 24 hours or more, you will lose full days.

Example 1:

You leave London by air at 11:00 p.m. on July 6 and arrive in Stockholm at 5:00 a.m. on July 7. Your trip takes less than 24 hours and you lose no full days.

Example 2:

You leave Norway by ship at 10:00 p.m. on July 6 and arrive in Portugal at 6:00 a.m. on July 8. Since your travel is not within a foreign country or countries and the trip takes more than 24 hours, you lose as full days July 6, 7, and 8. If you remain in Portugal, your next full day in a foreign country is July 9."

 

So this means:

1. Your presence can be within foreign country or countries

According to the examples you only loose full days while you are in transit for more than 24 hours.

 

It also says:

"You can count days you spent abroad for any reason. You do not have to be in a foreign country only for employment purposes. You can be on vacation time."

 

So basically, you can count the time in Greece as well!

[Suss&Camm 2,213]

18 minutes ago, Suss&Camm said:

330/366 days have to be in the country where he has his tax home in order to qualify

 

If I were to re-write this it should say : 330/366 days have to be out of the US in order to qualify

[smile:) 0]

10 minutes ago, Suss&Camm said:

I'm editing cause I'm re-reading and I see where the confusion comes in. I believe you actually can count the days also in Greece... just not days that would have been in the US. As long as they are full days, where you are not in transit. Read here:

 

https://www.irs.gov/individuals/international-taxpayers/foreign-earned-income-exclusion-physical-presence-test

 

"Change Of Location

You can move about from one place to another in a foreign country or to another foreign country without losing full days. But if any part of your travel is not within a foreign country or countries and takes 24 hours or more, you will lose full days.

Example 1:

You leave London by air at 11:00 p.m. on July 6 and arrive in Stockholm at 5:00 a.m. on July 7. Your trip takes less than 24 hours and you lose no full days.

Example 2:

You leave Norway by ship at 10:00 p.m. on July 6 and arrive in Portugal at 6:00 a.m. on July 8. Since your travel is not within a foreign country or countries and the trip takes more than 24 hours, you lose as full days July 6, 7, and 8. If you remain in Portugal, your next full day in a foreign country is July 9."

 

So this means:

1. Your presence can be within foreign country or countries

According to the examples you only loose full days while you are in transit for more than 24 hours.

 

It also says:

"You can count days you spent abroad for any reason. You do not have to be in a foreign country only for employment purposes. You can be on vacation time."

 

So basically, you can count the time in Greece as well!

 thank you so much this what was confused me

Another question what about health insurance if we wasn't have it to last of the year

Edited March 20, 2017 by smile:)