i-864 Rental income + IRA question

[Jemera 15]

Hello VJers! I'm preparing to file the i-864. I'm sponsoring my spouse. I will meet the 125% poverty line requirements for this year, but not for the past several years that I have been living in Singapore. Half of my income this year is from rental real estate income; however, I only own a portion of this real estate so I can not use it as an asset if the CO wanted to see more proof of income due to the past few years' small income. I do have enough in a rollover IRA to meet the 125% poverty line, even with no other income, and I have read that an IRA can be used as an asset for i-864. BUT that money would take a huge tax hit if I cashed it out within a year because of my age so I am wondering if that would be considered financial hardship and cancel it out as an asset. Here are my questions:

 

1. What is the best way to show rental real estate income? Schedule E forms?

2. Can a rollover IRA be used as an asset, even with the tax burden of converting it to cash? (it would still be sufficient to meet the poverty guidelines x 3, even after paying the taxes)

 

[jess100 53]

Hi,

You might be better off posting this in the family based visa section.  There is more traffic there.

It seems that if you can possibly find another person to co-sponsor your spouse that might be helpful. I think the best way to show rental income is with a tax return transcript from the IRS which shows everything you filed including the schedule E. It takes about 2 weeks to arrive after you call by phone and request it (it's painless)

It seems like cashing in the IRA would be a bad idea on so many levels (income tax hit, your future) that it should only be done if you have no other choice. 

I hope if you re-post you'll get some better answers

[Dee elle 1,368]

You wont necessarily not meet the level for sponsorship because of previous years income.. it is the current income that is needed. 

IRA can be used as an asset. 

[Jemera 15]

Thanks for the replies. I will call and request a tax transcript then. I don't plan on cashing the IRA unless it was an emergency, but it's good to know it counts as an asset since it will get me over the 125% mark.