Taxes and Stimulus Package

[Arrta 1]

I have a question for anyone knowledgable in immigration, taxes and the stimulus package we received last year.

Here is a little background to my situation.

My wife did not arrive in the states until April or 2008. She got a SSN immediately. We got married in May and updated her SSN to reflect her new name.

I tried to use HRBlock's online tax return calculator to calculate our 2008 taxes.

Everything seemed to work ok until I ran into a snag. The error checker would not let me leave Charry's stimulus payment blank. It made me enter how much she got. When I entered $0 as the payment it gave us an extra $600 back on our taxes.

It was my understanding that you only got this stimulus payment if you worked in 2007. Is this belief flawed?

Curious if anyone else has already run into this and knows the answer. HRBlock wants me to pay them to ask the question and I ultimately can not use their site anyway cause Charry was a part year resident and the online forms do not cover this.

Marc

[I AM NOT THAT GUY 5,715]

Even though your spouse was here for only part of 2008, you can choose to treat her as a Resident for Tax Purposes for the whole year. You can then file a joint return, declaring both worldwide incomes. There are several threads on VJ, and someone will pick this thread up I am sure. Check the 1040 tax packet and there should be the information in the instructions.

Edited February 8, 2009 by Mister_Bill

[I AM NOT THAT GUY 5,715]

Here's one thread

http://www.visajourney.com/forums/index.php?showtopic=173221

[LonnieNCarmie 0]

I have a question for anyone knowledgable in immigration, taxes and the stimulus package we received last year.

Here is a little background to my situation.

My wife did not arrive in the states until April or 2008. She got a SSN immediately. We got married in May and updated her SSN to reflect her new name.

I tried to use HRBlock's online tax return calculator to calculate our 2008 taxes.

Everything seemed to work ok until I ran into a snag. The error checker would not let me leave Charry's stimulus payment blank. It made me enter how much she got. When I entered $0 as the payment it gave us an extra $600 back on our taxes.

It was my understanding that you only got this stimulus payment if you worked in 2007. Is this belief flawed?

Curious if anyone else has already run into this and knows the answer. HRBlock wants me to pay them to ask the question and I ultimately can not use their site anyway cause Charry was a part year resident and the online forms do not cover this.

Marc

Its true because you were married in 2008 depending on your original stimulus you could be eligible for additional if your maritial status changed in 2008 or you had a child they are giving an adjustment. So enjoy the extra cash.

[MMW 2]

I have researched the stimulus for 2008 a little and am no where near an expert but i did learn that they are allowing people that would have received a stimulus last year but for whatever reason didn't would have an opportunity to get last years stimulus on this years return. there is a problem with this for immigrant spouses, according to last years rules an immigrant would not qualify for the stimulus payment for 2007, due to the way the stimulus was written as well as the USC filing jointly. what is probably happening with using a tax preparer is there system doesn't consider this in preparing your return since your spouse now has a SS number for this years filing. I would recommend that you call IRS and ask about it so you dont receive a payment and then will have to pay it back later. Better to be safe than sorry.

[LonnieNCarmie 0]

I have researched the stimulus for 2008 a little and am no where near an expert but i did learn that they are allowing people that would have received a stimulus last year but for whatever reason didn't would have an opportunity to get last years stimulus on this years return. there is a problem with this for immigrant spouses, according to last years rules an immigrant would not qualify for the stimulus payment for 2007, due to the way the stimulus was written as well as the USC filing jointly. what is probably happening with using a tax preparer is there system doesn't consider this in preparing your return since your spouse now has a SS number for this years filing. I would recommend that you call IRS and ask about it so you dont receive a payment and then will have to pay it back later. Better to be safe than sorry.

He has the right to file married filing jointly if he was married in 2008. Regardless if he married an immigrant or not all she needs is a valid social security number. That would also qualify him for additional stimulus in most cases .All of the tax software is designed to give him the additional funds if he qualifies.

[MMW 2]

yes that is true he can file married joint. I was answering his question about the additional payment he was asking about from 2007 that was showing up in 2008 calculations. The Stimulus from Bush didn't allow USC married to an immigrant or immigrants that file lawful tax returns to qualify for the rebate. that is why i recommended he contact IRS directly to review with them his specific situation. Not a question of filing married joint, it is a qualification question of additional rebate benefits.

[Arrta 1]

Charry was not in the US in 2007, thus as I understand, we should not get a stimulus payment for her.

She arrived in April 2008 and we immediately obtained a SSN for her (not valid for work without DHS Auth). We bot married in May 2008, and immediately after our marriage we changed her name on the SSN (not valid for work without DHS Auth). She got her EAD in Oct 2008.

We did not get her GC approval until Jan 2009. Does this mean she was not a legal resident in 2008? Or does her K-1 and the fact that we files for the GC mean she was a legal resident?

I am going to stop at teh local HR Block office when I drop her off at work today to see if they have appointments available today or set one up for later this week. So I may have an answer for my own questions today. I'll post them if I get a definate answer.

Edited February 8, 2009 by Arrta

[broma25 2]

Dont expect the answer from H&R block to be accurate. The guy I spoke to asked why my husband claimed zero allowances. He tried to tell me claiming zero is like claiming excempt and that no taxes will be deducted.

If your wife came in on K-1 she is a legal resident regardless of the fact she does not yet have a green card.

[anitacastillo 0]

Charry was not in the US in 2007, thus as I understand, we should not get a stimulus payment for her.

She arrived in April 2008 and we immediately obtained a SSN for her (not valid for work without DHS Auth). We bot married in May 2008, and immediately after our marriage we changed her name on the SSN (not valid for work without DHS Auth). She got her EAD in Oct 2008.

We did not get her GC approval until Jan 2009. Does this mean she was not a legal resident in 2008? Or does her K-1 and the fact that we files for the GC mean she was a legal resident?

I am going to stop at teh local HR Block office when I drop her off at work today to see if they have appointments available today or set one up for later this week. So I may have an answer for my own questions today. I'll post them if I get a definate answer.

Please save your money.

The software is doing it correctly. The stimulus payments were really an advance on a 2008 tax year refund. Yes, you had to file a 2007 return, but the govt is really looking at both years to get everyone there money.

You and I are in the same situation, plus I am doing more tax returns this year, so I have researched this extensively. Your wife has a SS# (if she only had an ITIN, that is not eligible for the stimulus) and meets the residency test by number of days in the US.

She did not receive any stimulus ck and she is part of your joint return for 2008 - so the IRS is looking at your status at 12/31/08 and what has already been received and giving you a credit on your tax return (instead of sending her a separate ck) appropriately.

Hope that makes sense. Turbo Tax has an good explanation on this -- I haven't bought anything from them, just read info on their website.

Good Luck!!

[rin and john 71]

Charry was not in the US in 2007, thus as I understand, we should not get a stimulus payment for her.

She arrived in April 2008 and we immediately obtained a SSN for her (not valid for work without DHS Auth). We bot married in May 2008, and immediately after our marriage we changed her name on the SSN (not valid for work without DHS Auth). She got her EAD in Oct 2008.

We did not get her GC approval until Jan 2009. Does this mean she was not a legal resident in 2008? Or does her K-1 and the fact that we files for the GC mean she was a legal resident?

I am going to stop at teh local HR Block office when I drop her off at work today to see if they have appointments available today or set one up for later this week. So I may have an answer for my own questions today. I'll post them if I get a definate answer.

You are entitled to the tax rebate for your wife. For one, she can be treated as a resident alien for tax purposes. Go to www.irs.gov and read publication 519. Resident status for tax purposes and immigration status are totally different things. In our case, Rin and I married in 2006 but she did not arrive in the USA on a K-3 visa until April 2007. I was able to declare her as a resident alien (for tax purposes) on my 2006 return.

The tax stimulus was against 2008 taxes. The IRS used 2007 filing status and income to determine who they sent checks to as that was the only data they had to go on. Now, when people file their 2008 returns, corrections need to be made. These corrections would occur if your filing status changed, your income dropped, etc. If the tax stimulus you received was less than you were due (as in your case), you get additional rebate. If the IRS overpaid you, no repayment is required.

http://www.irs.gov/newsroom/article/0,,id=186065,00.html

[Arrta 1]

Thanks guys, I was kinda hoping for that answer..

I still however can not do my taxes online with HR Block. Their online program does not handle returns with state residency being different.

Joint federal filers with different state residency statuses are required to file separate Massachusetts returns. Married filing separately in Massachusetts while filing a joint federal return is not currently an available option from the H&R Block online tax service.

I guess I could do the Mass tax separately...

Edited February 8, 2009 by Arrta

[midicat 0]

I had this same question actually. I was doing turbo tax online. Last year I was unable to get the stimulus because my parents claimed me, I was living with them and in school for the year. This year, we were married in Feb 2008 (he moved here Dec 2007). So, i'm able to file for the rebate thing, but it was just automatically adding on $600 for my husband too. Everything I read said that non-resident aliens are excluded, but... for tax purposes if you file jointly he is considered a resident? He actually was approved for his greencard/permanent residency in Jan 2009. He has had his social security number though since 2008, before we even got married I think. So this is fine, and we should be getting the full $1200 it's adding on correct?

[I AM NOT THAT GUY 5,715]

I had this same question actually. I was doing turbo tax online. Last year I was unable to get the stimulus because my parents claimed me, I was living with them and in school for the year. This year, we were married in Feb 2008 (he moved here Dec 2007). So, i'm able to file for the rebate thing, but it was just automatically adding on $600 for my husband too. Everything I read said that non-resident aliens are excluded, but... for tax purposes if you file jointly he is considered a resident? He actually was approved for his greencard/permanent residency in Jan 2009. He has had his social security number though since 2008, before we even got married I think. So this is fine, and we should be getting the full $1200 it's adding on correct?

You can file jointly for 2008. You still may not get the full $1200, but you would qualify for the minimum $600. It depends on what your tax is for 2008. By filing jointly, you will get double the exemption and double the standard deduction, so you may not end up paying more than $600 anyways. Your stimulus payment will not be less than $600, if you qualify otherwise.

[broma25 2]

Thanks guys, I was kinda hoping for that answer..

I still however can not do my taxes online with HR Block. Their online program does not handle returns with state residency being different.

Joint federal filers with different state residency statuses are required to file separate Massachusetts returns. Married filing separately in Massachusetts while filing a joint federal return is not currently an available option from the H&R Block online tax service.

I guess I could do the Mass tax separately...

I would do your state taxes separately, you should be able to file them for free online. I did my PA ones this way and used Turbo Tax for the Federal.