Help with RFIE

[Fenja 229]

So I send my AOS in about a month ago and just got an RFE regardig the I-864 of our joint-sponsor. Our joint-sponsor makes more than enough, BUT he is a partner at an LLC and, thus, legally considered self-employed. Also the LLC has filed for extention for the tax return and due to this and COVID, the 2019 tax return of our joint-sponsor will not be available until October 15, 2020. We did, however, write a letter explaining this and why we did not submit the 2019 tax return of our joint-sponsor (we also made sure it is clear that we will bring the 2019 tax return to my interview). Despite all this, we got an RFE today saying that we need to submit the tax return for the most recent tax year. For context, here are pictures of it:

 

Here is what we submitted with the I-864 of the joint-sponsor:

-  I-864
-  Copy of Joint-Sponsor’s Biographical Passport Page
-  Explanation of Tax Return Transcript Availability
-  Letter from the Employer Verifying Employment and Income in 2019 & 2020
-  Copies IRS Tax Return Transcripts of the Joint-Sponsor (2018, 2017, 2016)
-  Copies of Joint-Sponsor’s Pay Stubs (recent three months)

 

I hoped they would accept this, but apparently it's not enough. Any ideas on what I can submit to answer this RFE?

We were thinking maybe the extention letter from the IRS? But that's clearly not enough...

It's just really annoying, because we just currently can't get a copy of the 2019 tax return.

 

We have not included any assets in the I-864, but we could... Would that help us? (Also not sure how much they need to add up to (household size: 4))

 

Any advise is greatly appreciated!

 

[JeanneAdil 6,491]

unforunately the letter says you have 87 days from date of the letter and they are asking for particular info and will make a decision based on what is submitted 

A person with pay stubs from an LLC can submit tax returns even when the business hasn't

 

your choices are few but perhaps a different co sponsor/???

[Fenja 229]

16 hours ago, JeanneAdil said:

unforunately the letter says you have 87 days from date of the letter and they are asking for particular info and will make a decision based on what is submitted 

A person with pay stubs from an LLC can submit tax returns even when the business hasn't

 

your choices are few but perhaps a different co sponsor/???

Sadly his income is dependent on the LLC declared income, so he really has to wait for them to do taxes 😢

 

Do you think we could use his assets instead? He has more than enough of that.

[JeanneAdil 6,491]

1 hour ago, Fenja said:

Sadly his income is dependent on the LLC declared income, so he really has to wait for them to do taxes 😢

 

Do you think we could use his assets instead? He has more than enough of that.

what?

a co-owned LLC itself does not pay income taxes,

 

[Fenja 229]

53 minutes ago, JeanneAdil said:

what?

a co-owned LLC itself does not pay income taxes,

 

I meant their profit, not income, sorry, my bad!

[Fenja 229]

All I know, honestly, is what the tax lawyer told us, which is that the tax return will not be available before October 15, 2020 because he is a partner at an LLC whose income depends on the LLC’s profit. 
 

I am just wondering if we should just use assets if we can’t send in the tax return? Would that be helpful?

[carmel34 3,621]

Since your co-sponsor is self employed, follow the I-864 instructions exactly:

 

"If you selected Part 6., Item Number 2. that you are self-employed, you should have completed one of the following
forms with your Federal income tax return: Schedule C (Profit or Loss from Business), Schedule D (Capital Gains),
Schedule E (Supplemental Income or Loss), or Schedule F (Profit or Loss from Farming). You must include each and
every Form 1040 Schedule, if any, that you filed with your Federal income tax return."

 

From your earlier post, it looks like you did not include all of the 1040 schedules, which they need for self-employed sponsors.  So maybe that's what they are wanting you to submit.  To answer your other question, you could also have the co-sponsor do a new I-864 and include assets and documentation to prove that the assets qualify and are liquid.

 

Good luck!

[Fenja 229]

3 hours ago, carmel34 said:

Since your co-sponsor is self employed, follow the I-864 instructions exactly:

 

"If you selected Part 6., Item Number 2. that you are self-employed, you should have completed one of the following
forms with your Federal income tax return: Schedule C (Profit or Loss from Business), Schedule D (Capital Gains),
Schedule E (Supplemental Income or Loss), or Schedule F (Profit or Loss from Farming). You must include each and
every Form 1040 Schedule, if any, that you filed with your Federal income tax return."

 

From your earlier post, it looks like you did not include all of the 1040 schedules, which they need for self-employed sponsors.  So maybe that's what they are wanting you to submit.  To answer your other question, you could also have the co-sponsor do a new I-864 and include assets and documentation to prove that the assets qualify and are liquid.

 

Good luck!

I double checked and the tax return transcript did include these schedules. I guess it really is because of the tax return from 2019 missing...

 

I guess we will fill in an new I-864 and include assets and documentation thereof as you suggest. 
 

Thank you!! 

[Ayrton 965]

5 minutes ago, Fenja said:

I double checked and the tax return transcript did include these schedules. I guess it really is because of the tax return from 2019 missing...

 

I guess we will fill in an new I-864 and include assets and documentation thereof as you suggest. 
 

Thank you!! 

 

Does question 24 match the Total Income Line from the tax transcript? 

 

I'm a bit confused with what you provided. You mentioned you sent paystubs for the joint sponsor and you also mentioned they're self employed. My understanding is that since he's considered self employed, he shouldn't have paystubs. Unless they are also considered employed from their own company, which allows them to receive a salary. But in this case, it wouldn't be considered self employment and they would have a w2.

 

Since you filed last month, you should've provided the extension form to prove he didn't file 2019 taxes.

[Fenja 229]

4 minutes ago, Ayrton said:

 

Does question 24 match the Total Income Line from the tax transcript? 

 

I'm a bit confused with what you provided. You mentioned you sent paystubs for the joint sponsor and you also mentioned they're self employed. My understanding is that since he's considered self employed, he shouldn't have paystubs. Unless they are also considered employed from their own company, which allows them to receive a salary. But in this case, it wouldn't be considered self employment and they would have a w2.

 

Since you filed last month, you should've provided the extension form to prove he didn't file 2019 taxes.

Yeah it is very confusing. He receives pay stups and a salary, but is legally considered self-employed since he is a partner at an LLC (it’s weird, I know). He didn’t even know that he is legally considered self-employed until we talked to the law firm that does his taxes.

 

I’m not sure about the total income line... I’ll check.

[Villanelle 4,122]

You got a bit of a mess going on here! Its a bit crazy that he didnt know he is considered self employed. He really needs to sit down with a financial advisor and have them explain to him exactly what he is involved in. LLCs can be complicated. There are various ways of setting them up- some ways he can be responsible for all the debts and other ways he isnt. He really needs to understand the legal structure of the company he is involved with. But anyway---- For your 864. The co-sponsor is required to submit their current years tax return. If he hasnt filed it he needs to submit the extension form from the IRS 4868 along with the previous years tax returns and proof of current income. So you must submit the extension - that will satisfy the need to show tax return part. But because he is using an extension they will not have his current tax info and being self employed they really want the actual tax returns to establish the income is enough. Its really a two part thing. One part is showing the tax return the other is determining the income on it is enough. So again to satisfy the showing return you use the extension. For the determining income part you can include assets because they may not consider his income since the taxes havent been filed yet. You can show current profit/loss statements or W2s but again if its possible to include assets definitely include them. They will be counted and will most likely ensure he qualifies. 

[Fenja 229]

2 hours ago, Villanelle said:

You got a bit of a mess going on here! Its a bit crazy that he didnt know he is considered self employed. He really needs to sit down with a financial advisor and have them explain to him exactly what he is involved in. LLCs can be complicated. There are various ways of setting them up- some ways he can be responsible for all the debts and other ways he isnt. He really needs to understand the legal structure of the company he is involved with. But anyway---- For your 864. The co-sponsor is required to submit their current years tax return. If he hasnt filed it he needs to submit the extension form from the IRS 4868 along with the previous years tax returns and proof of current income. So you must submit the extension - that will satisfy the need to show tax return part. But because he is using an extension they will not have his current tax info and being self employed they really want the actual tax returns to establish the income is enough. Its really a two part thing. One part is showing the tax return the other is determining the income on it is enough. So again to satisfy the showing return you use the extension. For the determining income part you can include assets because they may not consider his income since the taxes havent been filed yet. You can show current profit/loss statements or W2s but again if its possible to include assets definitely include them. They will be counted and will most likely ensure he qualifies. 

I will tell him that!

 

Thank you for your super detailed advise! I guess we have to file a new I-864 with assets and documentation.