wingfield

Hello,

My case has been pending since May 2021 (I-485/I-130; married to a USC, adjusted from B2). I inquired an "outside processing times inquiry" back in August 2022 and we received the note below. I do not have a criminal record. I actually performed an FBI background check on myself last year before applying because you never know as my name is a very common English (Canadian) name and nothing turned up.

Questions:

1. I already got my EAD over a year ago which required security checks when I did biometrics. Is this just an old tactic or excuse from USCIS to not hold themselves accountable to service levels? How could they approve the EAD after completing security checks here and claim that security checks is needed for I-485? I understand separate departments process them but do they not share the same biometric database?
2. Has anyone had this issue before? I searched for thread about this online and they were from 2014 which is old. One person said she did not have a criminal record and it took extra 8 months to 1 year to complete the process. If it has happened to you, how long did you wait?

From USCIS in response to "Outside Processing Inquiry" submitted back in August. I just received it today which shows poorly how they are taking their sweet time.

We have placed your case on a processing hold because the required security checks remain pending. Until we receive the results of these security checks, we cannot move forward on your case. We require the results of security checks before we make a decision on any pending case. We cannot predict when we will receive the results of these security checks. Please be assured that we will make every effort to make a decision in your case as soon as the security checks are complete. We hope this information is helpful to you.
 

Hi Everyone,

I may be worrying about something that I should not.

I plan to travel and temporarily leave the US using my I-512L (Advance Parole standalone document) next week for 1.5 weeks that expires in October 2022. I sent a "renewal" I-131 new application 2 weeks ago. USCIS will give me a new receipt # for this new application to renew my I-131 since it is expiring soon.

Question: Will having a new I-131 application to renew the expiring I-512L document that I have cancel the current original valid I-512L that I have in my possession? I am afraid that once I leave the US and try to re-enter using my original I-512L, USCIS may cancel the current I-512L that has an Oct 2022 expiry AFTER receiving my new I-131 application. CBP usually sees the most recent "live" updates in their system.

Let me know if you have experience or knowledge on this. Thanks.

Just to update others who may be on the same boat, I upgraded to Turbo Tax Deluxe to have an option to talk to a CPA to check it before you submit. A CPA from Turbo Tax with 10 years of experience just called me and actually chastised me for filing my taxes! He argued with me that I am a non-resident and should not be using Turbo Tax but should be using the Sprint Tax version for NR as Turbo Tax does not deal with NR etc. I paid $99 for nothing. He swore that I am a non-resident so my blood started to boil 😄.

I had to argue with him and read word for word the Substantial Presence Test from the IRS website that I am a resident for tax purposes. I could not believe that he would not believe me at first. He said he had 10 years of experience as a CPA. In the end, his tone of voice changed and he said "you're right." At that point, I lost confidence with him as a checker so I hanged up and now waiting for another CPA who is hopefully more knowledgeable.

Thanks for everyone's help on this matter. It looks like you are more knowledgeable than the CPA with 10 years of experience and other 3 tax experts that I went through.  🤠

21 hours ago, Wuozopo said:

 

 

If the IRS website says $1400, then she got her payment last year. She can’t have it again. There is a whole worksheet for line 30. Can you find that on TurboTax in the forms view?  The results of the worksheet populates line 30. 
You are going to have to clarify this more for me. You lost me. 

Thanks. We actually received the letter saying that we have to enter this on Line 30. In the website, it says 0 for 2020 because we already received those.

2 hours ago, Wuozopo said:

@wingfield

 

Thanks again for your help. See below:
 

Question: You worked out a joint return in your simulation? 
 

Correct, we will file as married filing jointly.

 

Yes, but use your exact date of entry when you do this for real and the 12 month dates prior to entry for the qualifying period. And your taxes paid to Canada will get entered from Form 1116, not you entering yourself directly on the 1040. . But for simulation purposes you see how it works out.

 

Please help me with this. I entered the US on May 31, 2021 so is the qualifying period from June 1, 2020 to May 31, 2021? The next page it asked me when I established the tax home in a foreign country. Of course I was born in Canada so I put my DOB (note to anyone reading: that's a phantom DOB...I would never put my real DOB in an online forum)

 

 

 

Did your wife get her $1400 last spring as an early payout?  I’m questioning why the credit on Line 30 would be $2800. Yes, as a couple you qualify for $2800, but if she got her $1400 early in 2021, then that is subtracted leaving a balance of $1400 (for yours) on Line 30. She would have gotten a letter from the IRS stating her payout. Or check the bank statements around March 2021 and be sure there is no $1400 from the government.  

 

Spouse did not get the payout in March. The IRS account shows $1400 to report on Line 30.

 

 

On 4/3/2022 at 9:19 AM, Wuozopo said:

 

Thanks Wuzopo for taking the time to explain. I appreciate it. You are correct. There is no double taxation.

I followed the interview in Turbo Tax Deluxe 2021 and got an unexpected refund of around $3K (mostly the $1400 x 2 stimulus recovery credit for the married couple).

What I did in the simulation:
1. Foreign income was reported as "A statement from my foreign employer (could be cash)". I entered all full-year Canadian income (converted to USD based on current exchange rate) under this.

2. In Interview, I entered the 12-month qualifying period as shown below. The Foreign Earned Income Inclusion portion, Turbo Tax allocated $42K then I had to pay US taxes on the rest. I then entered the taxes paid in Canada and it resulted in a refund.

QUESTION: Is this done correctly? Are you a CPA Wuzopo? I have been looking for a CPA or tax expert who could help me with this but with no luck. I went again to another local tax accountant in my area (Jackson Hewitt) and was told me there is no requirement for me to file (I know they are wrong....they are not just used to this situation that's why). If anyone has recommendations, please let me know.

3 hours ago, Wuozopo said:

There are various ways to do your taxes. I’ll explain one way which would be a joint return with your spouse. You need to get your SSN.

 

You pay the US for the seven months in the US. You can be considered a contractor (self employed) on your tax return. That will be gross income reported on Schedule C. You can also take any business deductions allowed. You also need to pay your own Social Security and Medicare when self employed figured on Schedule SE. 

 

For the income earned while in Canada, TurboTax wants that entered under “Less Common Income” where you find “Foreign Income”.  The one time I tried H&R software, they wanted it entered with a “substitute W2” as regular income. Either way, the software entered it on the wages line of the 1040.  It is your gross income for those first five months that are reported as wages. The other seven months are not wages, they are self employment income (Schedule C).Software can vary on how they collect your info but the Canadian five months would be reported on Line 1 while the self employed seven months would end up going from Schedule C to Schedule 1 Line 3 to the 1040 Line 8.   Line 8 is a sum of things entered on Schedule 1.
 

For the five Canadian months reported as income, you could use the Foreign Earned Income Exclusion Form 2555 to exclude US taxation on that money.  
 

For the seven US months you likely had Canadianan taxes held out of your checks,  you can get a credit for the tax paid to Canada using form 1116. Only for those seven months, not the full year if you use the Foreign Earned Income Exclusion for the five months in Canada.

 

A statement from your Canadian employer with a breakdown of how much you earned and how much was withheld for taxes would be helpful to have all the correct amounts. You do not submit anything from your employer with the tax return. It would be for your records only.

Thanks Wuozopo. Very helpful. This approach will have double taxation on my income when Canada has a treaty with the US and I am not self-employed. Canada is still considered my "tax home" since I do not have a green card yet. I still have strong ties to Canada and since I am on what many people call "purgatory" as I don't have status here, Canada is my tax residence. Would the Foreign Earned Income Inclusion apply for the full year since it is foreign earned?

Thanks again for your help.

24 minutes ago, Crazy Cat said:

Seems odd to me.  Did your consultant explain why there is no need to report your income?  

 

https://www.goldinglawyers.com/substantial-presence-test-irs/#:~:text=Anyone who meets the IRS,file a 1040 Tax Return.

 

 

Thanks CrazyCat for that reference. The advice came from a local H&R Block tax consultant which I doubted that's why I came here. He said because I do not have a W-2 so I can't report it. He said it is because I am a remote worker to a foreign company that has no US presence etc. IRS would not know etc etc. 

Does anybody have any idea how I can report this Canadian income without W-2?

I need some help with the complex situation that I created by working remotely for a foreign company in Canada while still on AOS from B2 living in the US without EAD. I am married to a USC so no need to chastise me about working remotely for a foreign company without EAD as it is irrelevant and will be forgiven in my AOS. This is a tax question.

Facts in the Case

• Married to a USC and filed I-485 in May 2021 (from B2 Visitor status from Canada)
• Resident Alien under Substantial Presence Test (200+ days in the US in 2021).
• No EAD in 2021 and worked 100% remotely for a Canadian company with no US ties (no W-2). Received my EAD in January 2022.

Question:

For simplicity reasons, let's assume that my income was $100K in Year 2021, all earned and taxed in Canada. 7 months of this income was "earned" while I was on US soil under AOS without EAD. Do I have to file for US taxes in 2021? If so, how without W-2? I would like to file but the tax consultant that I visited said no need.

Thanks.

I'm a new member. We filed I-130 (USC petitioning a spouse) and I-485 in May 2021 from B2 based in Reno, NV. When we filed online in May 2021, the case receipt said "Nebraska" so I inquired today because it is out of case processing time for this SC. The agent told me it was moved to Texas which is 14.5 month wait double what Nebraska has!

Question: has anyone had an I-485 interview scheduled in their local Field Office without I-130 being approved by the Service Center? I read some cases where the field office is faster in scheduling I-485 interviews so the I-130 is approved after the interview. Is this true?

Thanks.