Interview today, got RFE letter, not sure if I can submit docs they want. Need help!

[Corp668 16]

I have lived in USA as LPR since 1987.  I filed N400 in September, and one of the questions on the application was "have you ever filed to file a tax return".  I answered truthfully that I did not file for some years because I had started a business in 2015 which did not generate an income but that I was going through prior years and ensuring everything was filed correctly.  I got a letter about 3 weeks ago that my interview was TODAY, Feb 24th.  I have been working with an accountant and scrambled to get everything completed and sent out my past due returns this past week.  

 

The interviewer brought it up today.  I was again truthful that I had filed in 2015, and had not initially filed in subsequent years because I had no income.  I received a 1099K for the business from PayPal but that income was more than offset by expenses, thus I was below the $400 sole-prop threshold and below the personal no-file threshold but amended my previous return to reflect that income and filed returns for years I had not.  There was a few minutes of discussion because he was not really understanding what I was trying to explain, but he was nice and said he had a similar situation with a side business and did not know he had to file, etc.  He said he would check with a colleague and came back and said they will need additional documentation.  He gave me a letter and said it was important to get everything in within 30 days, because a decision will be made at that point regardless of whether I sent in more documentation and to send everything I can, even if there is something I am unable to get in time.

 

I left and examined the letter closely when I got home.  It states "you informed us you filed scheduled C for 1099k's you received from PayPal from 2015-present.  Please provide proof of your amended filing status (1099X) .  If you also have any outstanding or overdue federal, state or local taxes, please also submit a signed agreement from the IRS, or local or state tax office showing you have filed a return and agreed to pay the outstanding amount, and documentation showing the current status of your repayment program".

 

That makes it sound like I filed amendments for every year from 2015-2018 to account for 1099k income I initially did not report.  That's not correct.  I had negligible personal income 2 of those years (well below the filing threshold), zero in the other 2.  In all 4 years, the 1099K income to the business was more than offset by expenses and resulted in <$400 net income (the threshold for filing a schedule C).  Nevertheless, I filed returns for all 4 years, but just sent them out last week.  The IRS says it takes 6 weeks to process prior year filings, so I will not be able to provide documentation from the IRS website showing those returns have been accepted.

 

I can provide USCIS copies of the filed returns.  I can provide a transcript from the IRS website showing I did not have any reported W2 or 1099 income in those years.  I can provide transcripts showing that the 2 years that do show personal income, it is negligible and below the filing threshold.

 

Is that going to be enough?  Will I get denied over this?    Should I engage a lawyer ASAP to try to sort this out?  Is it better to withdraw the application, wait until the IRS processes my returns, then re-file?  

 

I am mildly freaking out over this, as the reason for applying is to be able to bring my wife and new baby to the USA.  I don't want to get set back 6 months and lots of money paid.  Any help is greatly appreciated!

[N400NYC 380]

26 minutes ago, Corp668 said:

I have lived in USA as LPR since 1987.  I filed N400 in September, and one of the questions on the application was "have you ever filed to file a tax return".  I answered truthfully that I did not file for some years because I had started a business in 2015 which did not generate an income but that I was going through prior years and ensuring everything was filed correctly.  I got a letter about 3 weeks ago that my interview was TODAY, Feb 24th.  I have been working with an accountant and scrambled to get everything completed and sent out my past due returns this past week.  

 

The interviewer brought it up today.  I was again truthful that I had filed in 2015, and had not initially filed in subsequent years because I had no income.  I received a 1099K for the business from PayPal but that income was more than offset by expenses, thus I was below the $400 sole-prop threshold and below the personal no-file threshold but amended my previous return to reflect that income and filed returns for years I had not.  There was a few minutes of discussion because he was not really understanding what I was trying to explain, but he was nice and said he had a similar situation with a side business and did not know he had to file, etc.  He said he would check with a colleague and came back and said they will need additional documentation.  He gave me a letter and said it was important to get everything in within 30 days, because a decision will be made at that point regardless of whether I sent in more documentation and to send everything I can, even if there is something I am unable to get in time.

 

I left and examined the letter closely when I got home.  It states "you informed us you filed scheduled C for 1099k's you received from PayPal from 2015-present.  Please provide proof of your amended filing status (1099X) .  If you also have any outstanding or overdue federal, state or local taxes, please also submit a signed agreement from the IRS, or local or state tax office showing you have filed a return and agreed to pay the outstanding amount, and documentation showing the current status of your repayment program".

 

That makes it sound like I filed amendments for every year from 2015-2018 to account for 1099k income I initially did not report.  That's not correct.  I had negligible personal income 2 of those years (well below the filing threshold), zero in the other 2.  In all 4 years, the 1099K income to the business was more than offset by expenses and resulted in <$400 net income (the threshold for filing a schedule C).  Nevertheless, I filed returns for all 4 years, but just sent them out last week.  The IRS says it takes 6 weeks to process prior year filings, so I will not be able to provide documentation from the IRS website showing those returns have been accepted.

 

I can provide USCIS copies of the filed returns.  I can provide a transcript from the IRS website showing I did not have any reported W2 or 1099 income in those years.  I can provide transcripts showing that the 2 years that do show personal income, it is negligible and below the filing threshold.

 

Is that going to be enough?  Will I get denied over this?    Should I engage a lawyer ASAP to try to sort this out?  Is it better to withdraw the application, wait until the IRS processes my returns, then re-file?  

 

I am mildly freaking out over this, as the reason for applying is to be able to bring my wife and new baby to the USA.  I don't want to get set back 6 months and lots of money paid.  Any help is greatly appreciated!

Do everything they ask + consult a lawyer! The stakes are high so you have to get this right. 

[Lil bear 4,557]

1 hour ago, Corp668 said:

I have lived in USA as LPR since 1987.  I filed N400 in September, and one of the questions on the application was "have you ever filed to file a tax return".  I answered truthfully that I did not file for some years because I had started a business in 2015 which did not generate an income but that I was going through prior years and ensuring everything was filed correctly.  I got a letter about 3 weeks ago that my interview was TODAY, Feb 24th.  I have been working with an accountant and scrambled to get everything completed and sent out my past due returns this past week.  

 

The interviewer brought it up today.  I was again truthful that I had filed in 2015, and had not initially filed in subsequent years because I had no income.  I received a 1099K for the business from PayPal but that income was more than offset by expenses, thus I was below the $400 sole-prop threshold and below the personal no-file threshold but amended my previous return to reflect that income and filed returns for years I had not.  There was a few minutes of discussion because he was not really understanding what I was trying to explain, but he was nice and said he had a similar situation with a side business and did not know he had to file, etc.  He said he would check with a colleague and came back and said they will need additional documentation.  He gave me a letter and said it was important to get everything in within 30 days, because a decision will be made at that point regardless of whether I sent in more documentation and to send everything I can, even if there is something I am unable to get in time.

 

I left and examined the letter closely when I got home.  It states "you informed us you filed scheduled C for 1099k's you received from PayPal from 2015-present.  Please provide proof of your amended filing status (1099X) .  If you also have any outstanding or overdue federal, state or local taxes, please also submit a signed agreement from the IRS, or local or state tax office showing you have filed a return and agreed to pay the outstanding amount, and documentation showing the current status of your repayment program".

 

That makes it sound like I filed amendments for every year from 2015-2018 to account for 1099k income I initially did not report.  That's not correct.  I had negligible personal income 2 of those years (well below the filing threshold), zero in the other 2.  In all 4 years, the 1099K income to the business was more than offset by expenses and resulted in <$400 net income (the threshold for filing a schedule C).  Nevertheless, I filed returns for all 4 years, but just sent them out last week.  The IRS says it takes 6 weeks to process prior year filings, so I will not be able to provide documentation from the IRS website showing those returns have been accepted.

 

I can provide USCIS copies of the filed returns.  I can provide a transcript from the IRS website showing I did not have any reported W2 or 1099 income in those years.  I can provide transcripts showing that the 2 years that do show personal income, it is negligible and below the filing threshold.

 

Is that going to be enough?  Will I get denied over this?    Should I engage a lawyer ASAP to try to sort this out?  Is it better to withdraw the application, wait until the IRS processes my returns, then re-file?  

 

I am mildly freaking out over this, as the reason for applying is to be able to bring my wife and new baby to the USA.  I don't want to get set back 6 months and lots of money paid.  Any help is greatly appreciated!

You can file for previous years even if your income was under the threshold for filing or zero. Doesn’t cost anything and shows your full compliance 

[Corp668 16]

17 minutes ago, Lil bear said:

You can file for previous years even if your income was under the threshold for filing or zero. Doesn’t cost anything and shows your full compliance 

I know, and that is what is causing me an issue.  Because I filed, they want to see the filed returns - but the IRS has not received/processed them and will not do so before the timeline expires to submit the proof to USCIS.  So I can show them copies of my originals which I filed, but that does not prove the IRS received/processed them.  I can show them proof from the IRS that I was below the threshold to be required to file, but that isn't what they are asking for either.  If I had more time, I could show them proof of the filings from the IRS, but they want it in 30 days.  

 

Not sure how to handle this and definitely do not want to get denied over it or have to extend the timeline due to it.

[N400NYC 380]

3 minutes ago, Corp668 said:

Not sure how to handle this and definitely do not want to get denied over it or have to extend the timeline due to it.

That's why it's best to discuss with a lawyer asap so they can guide/advise you. 

[Corp668 16]

2 minutes ago, N400NYC said:

That's why it's best to discuss with a lawyer asap so they can guide/advise you. 

Thank you - I sent out some messages for consultations with a few lawyers.  If recommendations are allowed and someone has a suggestion in the greater Boston area, please let me know.  

 

Also curious to hear others' stories that relate to my situation and how things went... good, or bad.

 

Thanks all.

[Lil bear 4,557]

11 minutes ago, Corp668 said:

I know, and that is what is causing me an issue.  Because I filed, they want to see the filed returns - but the IRS has not received/processed them and will not do so before the timeline expires to submit the proof to USCIS.  So I can show them copies of my originals which I filed, but that does not prove the IRS received/processed them.  I can show them proof from the IRS that I was below the threshold to be required to file, but that isn't what they are asking for either.  If I had more time, I could show them proof of the filings from the IRS, but they want it in 30 days.  

 

Not sure how to handle this and definitely do not want to get denied over it or have to extend the timeline due to it.

Send what you have .. 1040.. then get the transcripts when available 

[SalishSea 18,470]

2 hours ago, Corp668 said:

I have lived in USA as LPR since 1987.  I filed N400 in September, and one of the questions on the application was "have you ever filed to file a tax return".  I answered truthfully that I did not file for some years because I had started a business in 2015 which did not generate an income but that I was going through prior years and ensuring everything was filed correctly.  I got a letter about 3 weeks ago that my interview was TODAY, Feb 24th.  I have been working with an accountant and scrambled to get everything completed and sent out my past due returns this past week.  

 

The interviewer brought it up today.  I was again truthful that I had filed in 2015, and had not initially filed in subsequent years because I had no income.  I received a 1099K for the business from PayPal but that income was more than offset by expenses, thus I was below the $400 sole-prop threshold and below the personal no-file threshold but amended my previous return to reflect that income and filed returns for years I had not.  There was a few minutes of discussion because he was not really understanding what I was trying to explain, but he was nice and said he had a similar situation with a side business and did not know he had to file, etc.  He said he would check with a colleague and came back and said they will need additional documentation.  He gave me a letter and said it was important to get everything in within 30 days, because a decision will be made at that point regardless of whether I sent in more documentation and to send everything I can, even if there is something I am unable to get in time.

 

I left and examined the letter closely when I got home.  It states "you informed us you filed scheduled C for 1099k's you received from PayPal from 2015-present.  Please provide proof of your amended filing status (1099X) .  If you also have any outstanding or overdue federal, state or local taxes, please also submit a signed agreement from the IRS, or local or state tax office showing you have filed a return and agreed to pay the outstanding amount, and documentation showing the current status of your repayment program".

 

That makes it sound like I filed amendments for every year from 2015-2018 to account for 1099k income I initially did not report.  That's not correct.  I had negligible personal income 2 of those years (well below the filing threshold), zero in the other 2.  In all 4 years, the 1099K income to the business was more than offset by expenses and resulted in <$400 net income (the threshold for filing a schedule C).  Nevertheless, I filed returns for all 4 years, but just sent them out last week.  The IRS says it takes 6 weeks to process prior year filings, so I will not be able to provide documentation from the IRS website showing those returns have been accepted.

 

I can provide USCIS copies of the filed returns.  I can provide a transcript from the IRS website showing I did not have any reported W2 or 1099 income in those years.  I can provide transcripts showing that the 2 years that do show personal income, it is negligible and below the filing threshold.

 

Is that going to be enough?  Will I get denied over this?    Should I engage a lawyer ASAP to try to sort this out?  Is it better to withdraw the application, wait until the IRS processes my returns, then re-file?  

 

I am mildly freaking out over this, as the reason for applying is to be able to bring my wife and new baby to the USA.  I don't want to get set back 6 months and lots of money paid.  Any help is greatly appreciated!

Just curious, but without an income (or with minimal PayPal income), how do you support yourself, and how will you support an immigrant wife and baby?

[carmel34 3,741]

13 hours ago, Jorgedig said:

Just curious, but without an income (or with minimal PayPal income), how do you support yourself, and how will you support an immigrant wife and baby?

and add to that question the issue of the public charge rule being more strictly enforced...  time to increase personal income

[African Zealot 1,456]

In this case I don’t see what a lawyer is going to do for you except collect your fee and submit information you will provide him. It’s not a technical legal issue, it’s an accounting/tax issue requiring documentation.

 

You can only provide what you have which is your copy of the filings and proof IRS has received them.

[African Zealot 1,456]

46 minutes ago, carmel34 said:

and add to that question the issue of the public charge rule being more strictly enforced...  time to increase personal income

Does not affect permanent residents applying for citizenship.

[ADW & JOP 146]

1 hour ago, Ray.Bonaquist said:

Does not affect permanent residents applying for citizenship.

I think this was in reference to bring over his wife and new born baby.

[Calicolom 269]

20 hours ago, Lil bear said:

You can file for previous years even if your income was under the threshold for filing or zero. Doesn’t cost anything and shows your full compliance 

Even if there is no money made, for the year. I advised my immigrant stepson to file a tax return. This way he has a tax return with the IRS, and does not have to explain anything to immigration.

[BBlueB 35]

Do everything you can, and consult a lawyer. Write very compact and easy to understand letter with a lawyer

[Corp668 16]

20 hours ago, Jorgedig said:

Just curious, but without an income (or with minimal PayPal income), how do you support yourself, and how will you support an immigrant wife and baby?

I have substantial savings from prior years when I was working a higher paid job.  The industry had a downturn and my contract ended, so I decided to cash in my chips (i.e. sell everything I had of significant value) which funded the start-up costs of the business and provided me with sufficient cash reserves to go quite a long time without a paycheck.   2019 was reasonably good, and 2020 is shaping up to be very good - so I am not too worried about finances at the moment... just need to resolve this issue.