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Jamales

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Posts posted by Jamales

  1. Thanks! I actually tried to use Turbotax to amend the tax return yesterday and it did show a tax liability.

     

    My husband does have earnings in the States. I am not sure if I am reading it wrong, but I thought the foreign earned income exclusion of $103,900 will allow me not to pay tax in the States on the foreign income at all? 

  2. My husband and I got married in November 2018 after I moved to the States on K-1 visa. We filed jointly for the year 2018 but we forgot to list my foreign income in the tax return due to our poor of tax filing. We decided to file tax amendments to include the foreign income. I have a question about the form 1040X and I would appreciate if anyone can help!

     

    In order to include the foreign income, we need to send in Form 2555, updated form 1040 Schedule 1 and form 1040X. On form 2555, I past the physical presence test, and I am able to use my entire foreign income in 2018 as the foreign income exclusion. Then the number line 45 (which is my entire foreign income) on form 2555 was entered as a negative number on line 21 form 1040 Schedule 1 as other income. My understanding is, on form 1040, the foreign income amount is included in total salary in line 1 and then subtracted in line 6, to arrive at the total adjusted gross income. Basically, the foreign income included in line 1 is offset by the subtraction in line 6. Therefore, the adjusted gross income on form 1040X remains the same as the original return. However, how should I fill out the form 1040X to reflect such change? Is my understanding correct? 

     

    Any advice would be much appreciated! Please let me know if my wording is confusing and I will clarify. 

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