I-134 and ''Annual Income" question for self employed

[lilwillie 0]

A question for the tax-savvy:

For self-employed sponsors, how do you determine your annual income amount for question 7 on the I-134? Which line is this on your 1040 tax return?

An example:

Your 1040 Schedule C line 7 (Gross Income) is $67,000

Your 1040 line 12 (Business Income) is $27,000

Your 1040 line 22 (Total Income) is $19,000

Your 1040 line 37 (Adjusted Gross Income) is $11,000

Obviously these four numbers fall on both sides of the poverty threshold, so which do you choose to accurately answer I-134, Question 7: "I derive an annual income of:" ?

Thanks!

[Jim N Augie 16]

A question for the tax-savvy:

For self-employed sponsors, how do you determine your annual income amount for question 7 on the I-134? Which line is this on your 1040 tax return?

An example:

Your 1040 Schedule C line 7 (Gross Income) is $67,000

Your 1040 line 12 (Business Income) is $27,000

Your 1040 line 22 (Total Income) is $19,000

Your 1040 line 37 (Adjusted Gross Income) is $11,000

Obviously these four numbers fall on both sides of the poverty threshold, so which do you choose to accurately answer I-134, Question 7: "I derive an annual income of:" ?

Thanks!

line 22 is what they will look at in interview, but if self employed include schedule c with your 1040

Edited November 20, 2011 by Jim N Augie

[lilwillie 0]

line 22 is what they will look at in interview, but if self employed include schedule c with your 1040

Thanks, Jim

[Gary and Alla 3,694]

A question for the tax-savvy:

For self-employed sponsors, how do you determine your annual income amount for question 7 on the I-134? Which line is this on your 1040 tax return?

An example:

Your 1040 Schedule C line 7 (Gross Income) is $67,000

Your 1040 line 12 (Business Income) is $27,000

Your 1040 line 22 (Total Income) is $19,000

Your 1040 line 37 (Adjusted Gross Income) is $11,000

Obviously these four numbers fall on both sides of the poverty threshold, so which do you choose to accurately answer I-134, Question 7: "I derive an annual income of:" ?

Thanks!

$19,000 is the correct answer, Line 22. If you use the tax return as opposed to a transcript then you need to attach ALL schedules and forms, w-2s (if any) 1099's (if any)

[Jim N Augie 16]

If self employed you will not have a w-2 but of course include any other relevant docs. 1099 etc, but it does specifically ask for current 1040 and schedule c. Not a transcript.

[JimVaPhuong 4,863]

If self employed you will not have a w-2 but of course include any other relevant docs. 1099 etc, but it does specifically ask for current 1040 and schedule c. Not a transcript.

Forget the form instructions and follow the consulate's instructions. The I-134 is a USCIS form, but USCIS almost never uses them, and consulates can ask for whatever evidence they want. The consulate in HCMC, for example, prefers transcripts. Their package 4 instructions say:

The preferred record of income is the Complete Income Tax Return Transcript from the Internal Revenue Service (IRS) (formerly IRS Form 1722). However, W-2s and/or a certified copy of a complete federal tax return (Form 1040), including all pertinent schedules, might be acceptable in some cases.

In other words, read the packet 4 instructions and give them what they ask for. If they prefer transcripts then it would be best to provide those.

[Jim N Augie 16]

Forget the form instructions and follow the consulate's instructions. The I-134 is a USCIS form, but USCIS almost never uses them, and consulates can ask for whatever evidence they want. The consulate in HCMC, for example, prefers transcripts. Their package 4 instructions say:

The preferred record of income is the Complete Income Tax Return Transcript from the Internal Revenue Service (IRS) (formerly IRS Form 1722). However, W-2s and/or a certified copy of a complete federal tax return (Form 1040), including all pertinent schedules, might be acceptable in some cases.

In other words, read the packet 4 instructions and give them what they ask for. If they prefer transcripts then it would be best to provide those.

So it's another thing that is more consulate specific? thanks for the info.

[Jim N Augie 16]

You know now that I think about it I believe it was the USEM website where I read for self employed bring 1040 and sched c , thanks for jogging my memory.

[JimVaPhuong 4,863]

So it's another thing that is more consulate specific? thanks for the info.

Unfortunately, yes. The I-134 isn't a legally enforceable affidavit of support under INA 213A, so it comes down to Department of State policy. The Foreign Affairs Manual doesn't specify the requirements for the I-134, and only gives some general information, saying that the form is useful in some circumstances, and shouldn't be accorded as much weight as an I-864 because it's not legally enforceable on the sponsor. This means it's up to each consulate to establish it's own policies. If they prefer an IRS tax transcript then that's what you should provide. If they prefer copies of the tax return then that's what you should provide.

I'm a little surprised that they would want a copy of the tax return over an IRS transcript, though. The entire contents of the schedule C are included on the transcript.

[Jim N Augie 16]

Unfortunately, yes. The I-134 isn't a legally enforceable affidavit of support under INA 213A, so it comes down to Department of State policy. The Foreign Affairs Manual doesn't specify the requirements for the I-134, and only gives some general information, saying that the form is useful in some circumstances, and shouldn't be accorded as much weight as an I-864 because it's not legally enforceable on the sponsor. This means it's up to each consulate to establish it's own policies. If they prefer an IRS tax transcript then that's what you should provide. If they prefer copies of the tax return then that's what you should provide.

I'm a little surprised that they would want a copy of the tax return over an IRS transcript, though. The entire contents of the schedule C are included on the transcript.

I can't say as to why that is, the only thing I can think of is they like seeing original docs and signatures at USEM. Just guessing but that would be the only real difference between the transcript and 1040. I do know of one person getting 221g because the 1040 was a copy and not signed in "ink".

Edited November 27, 2011 by Jim N Augie

[JimVaPhuong 4,863]

I can't say as to why that is, the only thing I can think of is they like seeing original docs and signatures at USEM. Just guessing but that would be the only real difference between the transcript and 1040. I do know of one person getting 221g because the 1040 was a copy and not signed in "ink".

I can understand them wanting a document with an original signature, but I'd be surprised if they actually preferred a 1040 to an IRS transcript. I could download a 1040 form and write virtually anything I want on it, and then sign it and hand it to a consular officer. That signature doesn't prove I ever filed a return with those numbers on it, and the consulate would have a difficult time proving otherwise. USCIS doesn't have the authority to order the IRS to hand over someone's tax records, nor do most US government agencies. On the other hand, an IRS transcript proves that a tax return was filed, and reflects the numbers that were recorded by the IRS from that tax return. The IRS won't give the consulate a tax return transcript on demand, but they will confirm whether a tax return transcript is authentic. There's a tracking number on the transcript for that reason.

[Jim N Augie 16]

Mostly a guess like I said but for what ever reason it is what USEM lists if self employed and falsification of 134 and related docs is a crime so maybe they have no concern with fake 1040's. I would not be surprised that with ss# they can verify what they wish even if no access to complete copies. For that matter it only asks this if self employed which seems odd too.