Death and Taxes.

[mawilson 2,133]

Oh yeah, I can see it happening.

JayJay in prison.

Two weeks later:

Governor (visiting prison): Where IS everyone?

Prison Warden: Hey dude, chill, I let everyone go....they're all good people really,

you just have to see through their tough façade....

Governor: WHAT?!!??

Warden: Don't worry, the most violent ones are still here. Oh, here's Mad Dog. He killed

a bunch of people once, but now he spends all his time knitting and baking cookies for us.

Want a cookie?

[JayJay 4]

Hahahahah Mark, you're such an absolute star! (F)

[Gemma12nel 1]

I did the P85 thing twice (thats what the Inland rev advised) this was because I left part way through two tax years,,,I left 30th april but was paid up to september, so therefore had two tax refunds! Its worth remembering that when you claim.

[pj1959us 0]

Well - I don't have anything with me to prove that. I didn't think I'd be staying, so bringing my P45 wasn't on my mind. We don't get W2's in the UK.

Relax: You ain't got to prove a thing. You just have to declare what you made. Then you take a look at form 2555-EZ and see how much of that you get to exclude from US taxation.

We did this and didn't have a shred of evidence of Nani's earnings overseas. Nobody ever asked for any evidence, either.

Listen to Reinhard All we did was provide our accountant with a letter that outlined what David earned, and an approximation of the taxes he paid. I also provided a currency exchange for the time period he worked (by xe.com, I think). Do think twice about filing as a non-resident (if you are even able to, I don't know your residency period here). I don't know if you have already had your AOS interview, but it can affect that, from what I have heard (but I could be wrong ).

Don't worry about getting all those forms you were referring to, if you are only obtaining them for the US taxes...we didn't need a thing. We did sign a letter that stated David wanted to submit his taxes as a resident (since he didn't meet the residency requirements for that year). That was all. It was very simple.

[almaty 19]

Oh yeah, I can see it happening.

JayJay in prison.

Two weeks later:

Governor (visiting prison): Where IS everyone?

Prison Warden: Hey dude, chill, I let everyone go....they're all good people really,

you just have to see through their tough façade....

Governor: WHAT?!!??

Warden: Don't worry, the most violent ones are still here. Oh, here's Mad Dog. He killed

a bunch of people once, but now he spends all his time knitting and baking cookies for us.

Want a cookie?

[sparkofcreation 0]

Basic gist of it:

You can file as a part-year non-resident, part-year resident. If you do that, you and your spouse both have to file Married Filing Separately and pay higher taxes because it's a higher tax rate for MFS than MFJ, but you personally only have to pay taxes on your US income.

Or you can elect to be treated as a full-year resident. If you do this, you can file Married Filing Jointly and get the tax breaks, but since you asked them to consider you a resident for the full year, you have to declare all your income for the year, including what you earned in the UK.*

The latter is nearly always cheaper. So in any case, you're not being taxed on your UK income just because you're here--you're being taxed on it because you asked to be.

*If you do this, you can either deduct up to ($80,000÷365×number of days not in the US), or claim a credit for the taxes you paid to the UK. Only pain is you have to calculate it using the exchange rate on the day it was paid We did the first and attached a table showing each of Gareth's paychecks in the UK, the exchange rate on that day, and the amount in dollars it worked out to, then added it up. He came here in February, though, so I can imagine it's a hassle if you came later in the year.

1-1-2004 £136.50 £1.0000=$1.7902 $244.36

1-1-2004 £219.37 £1.0000=$1.7902 $392.72

1-16-2004 £205.02 £1.0000=$1.7996 $368.95

1-23-2004 £123.00 £1.0000=$1.8215 $224.04

Subtotal: £683.89 (n/a) $1230.07

Edited February 11, 2006 by sparkofcreation

[gotzfayth 0]

Hello all!

I just stumbled on to this thread. I am like everyone else, finding the tax stuff to be very confusing. I married a UKC in Nov, he was here until the first week of Jan then returned home. We will not be doing the K3 for quite sometime due to some financial difficulties that have come up, income WAY below poverty lines. He lost his job when he took his holiday to the states in Nov. So, he is currently looking for work. We married on the spur of the moment, now we have a mess to clear up.

Anyway, my head is spinning with all that I need to do to get the taxes done. I know that I need a notarized copy of his passport as well as a copy of the marrige license (to get the ITIN, is that correct?). Will I also need his p60 and p45? If I do will I have to file an extention since the tax year in the UK does not end until April. Is it best to file married filing sep, or married filing jointly? I was a full time student last year, income for me was very low, basically lived on alimony payments, no kids either. I have taken up a second job to try and increase my income.

Any and all help would be greatly appreciated. I have found VJ to a great source of support and information.

Gotz

[sukie175 0]

Ok

I have bumped this post because I am well confused on the tax issue.

Do I still need to declare the income I earned in the UK in 05 until I left, even if I have never worked in the US and do not pay any tax here as a result. We are filing as a married/joint couple, but think this does not apply to us if I am not working here? But he cannot claim me as a dependant if we do not file jointly.

Anybody??

Sarah

[Yodrak 7]

Sarah,

If you file a Married-Joint US income tax return with your husband, you need to report your income for the year no matter where (or how - did you sell a house in 2005 before moving to the USA and make a profit on the sale?) the income was earned.

A person cannot claim their spouse as a dependent on an income tax return. If you and your husband file a Married-Joint return, he is not claiming you as a dependent - you and he are doing exactly what the term says, filing a joint tax return.

Yodrak

Ok

I have bumped this post because I am well confused on the tax issue.

Do I still need to declare the income I earned in the UK in 05 until I left, even if I have never worked in the US and do not pay any tax here as a result. We are filing as a married/joint couple, but think this does not apply to us if I am not working here? But he cannot claim me as a dependant if we do not file jointly.

Anybody??

Sarah