tax questions... exciting...

[ninamyers 0]

So, I graduated this summer, and have worked for a few months since, which will be my only income this UK tax year, which will total to less than the limit above which you pay tax. So in any normal situation, I would get all the tax I have paid so far back in March. But! I will be earning money when I get to the states - does this have to be taken into account when dealing with the nasty tax people here or can I still get my tax back?

Also... When I'm filing my tax returns next year in the states, do I have to declare the money I earned here?

I'm worried that at some point I'm going to be paying taxes for the same money in two countries! Aaahhh!!

I've also been hearing about some new thing where even JFK isn't giving out the temp EAD, has anyone actually verified this or should I still go ahead with my original plan of flying there and then onto LAX?

Thanks for all your helP!

Maria x

[Kez/JWolf 6]

When you have a date for leaving the UK you need to file form P85 to notify Inland revenue that you are leaving the country for good and will not be liable for UK tax...

http://www.hmrc.gov.uk/cnr/p85_p85s.htm

Any rebate of paid tax will be send to you in the US, takes about 6 weeks...

Sorry cant help with your question about JKF..

Kezzie

[payxibka 10,044]

So, I graduated this summer, and have worked for a few months since, which will be my only income this UK tax year, which will total to less than the limit above which you pay tax. So in any normal situation, I would get all the tax I have paid so far back in March. But! I will be earning money when I get to the states - does this have to be taken into account when dealing with the nasty tax people here or can I still get my tax back?

Also... When I'm filing my tax returns next year in the states, do I have to declare the money I earned here?

I'm worried that at some point I'm going to be paying taxes for the same money in two countries! Aaahhh!!

I've also been hearing about some new thing where even JFK isn't giving out the temp EAD, has anyone actually verified this or should I still go ahead with my original plan of flying there and then onto LAX?

Thanks for all your helP!

Maria x

There are provisions within the US tax code that should prevent income from being taxed twice by two different taxing authorities (US & UK). Under certain circumstances, foreign income earned by an ex-patriate is US tax free but becomes taxable when it is repatriated back to the US but I do not think this is your situatiuon. The tax code related to foreign income is not necessarily simple and it may be in your best interest to hire a "seasoned" professional during your transition year.

Regarding JFK, I have heard reports of the same. I also read somewhere where this is or is going to be the norm at all POE's in the future. This is not directly verified information however. YMMV

[Boiler 43,433]

If you are not here yet then you will not be working in the US this tax year. US tax year is annual.

[ninamyers 0]

Thanks for the info kezzie and fwaguy!

I do know that the tax year is annual Boiler, I was just asking on the off chance that I get my temp EAD and do work this tax year.

[Widge 0]

yes you will get all your tax back as per P85 above as soon as you have your final P45 file the P85

As per USA taxes you will have no problem, the first year I was here after much searching of IRS site and wustion asking asking here I filled in and filed our taxes here. The critical thing (which may not effect you if you were a student Jan - April 5th 2006) is that you bring with you records of all your earnings for the whole of 200r in the UK. This caused me a few headaches as I had only brought with me P45's and the like and didnt have fixed records pre April 6th - so if you earned anything Jan till April make a exact record.

You basically have to supply the IRS a detailed account of your Uk income (i did a week by week spreadsheet) converted into $$$$ on the date in questions exchange rate (not hard there is a website that will do it for you) then declare this amount as income but there is an allowance (which way exceeds any normal persons UK income) that can be set off against it so the two cancel each other out on the form - sounds complicated but it is basically tedious and two or three extra forms to fill but well worth the effort for being able to claim yourself as a taxpayer and get the allowances set aginst partners income.

Asking questions here in January will provide you with all the answers you need and pointers to forms and I and others found no need to pay a third party to do it.

Sorry I too can't help re JFK.

Good luck on a safe journey

[lisanne 0]

About the EAD, my fiance' just got his stamp yesterday at JFK. No problem whatsoever!

[Gtsnapper 0]

Yep, I'll be filing a P85 when I leave as well.

"Now it's your turn to get yer wallet out Mr Tax Man" :D