i-864A current income question

[Mikeyboy 0]

Hi All,

My mother-in-law is coming in as a HOUSEHOLD MEMBER, as it turns out her personal income is enough to help meet the poverty guidenlines. She files her taxes jointly (Married) with her husband, but we have the tax return info to show what she earned, so lucklily we have no need to bother him to file a i-864a also.

HOWEVER...

The form asks her 'current income' - unfortunately she is a business owner, and has no idea what her 'current income' is until the taxes are done at the end of the year. So I have put in the figure that is her most recent year's earnings (2009 income).

Do you think this will suffice? I am not really sure how to get around it. It's one of those situations where I hope they look at the forms, see the business docs (profit and loss etc) and her income for 3 years and apply a little common sense.

However if anyone has any ways I could help the people at NVC with the info, please let me know?

Thank you,

-Mike

Edited October 31, 2010 by Mikeyboy

[LotofPatience 65]

Hi All,

My mother-in-law is coming in as a HOUSEHOLD MEMBER, as it turns out her personal income is enough to help meet the poverty guidenlines. She files her taxes jointly (Married) with her husband, but we have the tax return info to show what she earned, so lucklily we have no need to bother him to file a i-864a also.

HOWEVER...

The form asks her 'current income' - unfortunately she is a business owner, and has no idea what her 'current income' is until the taxes are done at the end of the year. So I have put in the figure that is her most recent year's earnings (2009 income).

Do you think this will suffice? I am not really sure how to get around it. It's one of those situations where I hope they look at the forms, see the business docs (profit and loss etc) and her income for 3 years and apply a little common sense.

However if anyone has any ways I could help the people at NVC with the info, please let me know?

Thank you,

-Mike

Since she alone satisfies to be the co-sponsor (joint sponsor here), it will become little complicated in your case. The reason she has to separate out her income from the recent tax year. It would have been easier if it was simple cases in W2. But, to add the complexity, she is self employed business person as well.

Here is the deal. She needs another work out from a CPA such a way that:

1) List all her income from the business and other sources

2) Prepare a profit and loss (Schedule C) statement

3) Derive the total income (Line 22, Form 1040) just for her alone.

You need to feed this number as her individual income in the Affidavit of Support.

Also, you told, she is household member. So I assue MIL lives with your wife (petitioner). Your wife will file I-864 and MIL I-864A. In this case, both the persons income can be combined to meet the povertyline.

Loto

Edited October 31, 2010 by LotOfPatience

[Mikeyboy 0]

Hi there,

Yes - I am submitting all the relevant schedules (such as Schedule C - profit and loss)

as well as the documents prepared by her tax guy that show her exact personal income.

We are also including the IRS transcript along with these - all of this is for 2009.

This area is not the problem for me - it is mainly trying to figure out how to

calculate the 'current income' box. Currently I am using 2009's income as this figure.

If worst comes to worst I have an appraisal of land she owns (worth a lot of money)

with deeds - maybe I should just submit these because these alone would cover us. And

then maybe add a covering letter to explain that they are included if they would like

to use them???

-Mike

[Anh map 2,098]

If the FIL has only wage/salary income and it gets the combined income over the requirement it may be a lot cleaner and easier to use his income rather than the MIL.

[LotofPatience 65]

If the FIL has only wage/salary income and it gets the combined income over the requirement it may be a lot cleaner and easier to use his income rather than the MIL.

[Mikeyboy 0]

btw - the item and form that shows how much my MIL and FIL earned individually is the:

Federal adjusted income [2009] (box 1) on the Individual Income Tax - LONG form.

There was no item 22 on the 1040 that I could find?

btw FIL does not have sufficient income thanks to the recession - currently unemployed...

[LotofPatience 65]

Hi there,

Yes - I am submitting all the relevant schedules (such as Schedule C - profit and loss)

as well as the documents prepared by her tax guy that show her exact personal income.

We are also including the IRS transcript along with these - all of this is for 2009.

This area is not the problem for me - it is mainly trying to figure out how to

calculate the 'current income' box. Currently I am using 2009's income as this figure.

If worst comes to worst I have an appraisal of land she owns (worth a lot of money)

with deeds - maybe I should just submit these because these alone would cover us. And

then maybe add a covering letter to explain that they are included if they would like

to use them???

-Mike

An Anh Map suggested, that's a cleaner method - FIL's income alone suffice and FIL is the joint sponsor.

Mike, If you still want to use MIL as joint sponsor, you need to separate her personal income out. Of course, MIL can declare her asset such as land in the asset class with the latest appraisal report prepared by the licensed appraiser.

Another and last option - If MIL and FIL do not have issue to show the combined income, the complexity can be reduced.

Loto

btw - the item and form that shows how much my MIL and FIL earned individually is the:

Federal adjusted income [2009] (box 1) on the Individual Income Tax - LONG form.

There was no item 22 on the 1040 that I could find?

btw FIL does not have sufficient income thanks to the recession - currently unemployed...

Which federal income tax form your MIL used in 2009?

Loto

[Mikeyboy 0]

Another and last option - If MIL and FIL do not have issue to show the combined income, the complexity can be reduced.

Loto

What does this mean? I don't understand this last part of your post? Sorry about this...

[LotofPatience 65]

What does this mean? I don't understand this last part of your post? Sorry about this...

In 2009, your MIL and FIL filed the taxes jointly. Your FIL is currently unemployed.

So, prepare one I-864A by your MIL and another I-864A by your FIL. In this case, they can show the combined "Total income" of 2009. Also, your wife's income also can be added. Plus put their asset - land. If the land title will be under their both names, the combining method above will not ask to split the value of the land as well.

Loto

[pushbrk 12,233]

Hi All,

My mother-in-law is coming in as a HOUSEHOLD MEMBER, as it turns out her personal income is enough to help meet the poverty guidenlines. She files her taxes jointly (Married) with her husband, but we have the tax return info to show what she earned, so lucklily we have no need to bother him to file a i-864a also.

HOWEVER...

The form asks her 'current income' - unfortunately she is a business owner, and has no idea what her 'current income' is until the taxes are done at the end of the year. So I have put in the figure that is her most recent year's earnings (2009 income).

Do you think this will suffice? I am not really sure how to get around it. It's one of those situations where I hope they look at the forms, see the business docs (profit and loss etc) and her income for 3 years and apply a little common sense.

However if anyone has any ways I could help the people at NVC with the info, please let me know?

Thank you,

-Mike

A business owner or self employed person states their "current income" as the same as their income from last year's tax return. Just be careful to clearly identify which income is hers. If all the schedule C income is hers and that's all that's hers, then so state.

[Mikeyboy 0]

Excellent idea, LotOfPatience!!

OK I will do this.

The ASSETS section says "Complete only if necessary" - so should I leave this blank,

and simply attach a covering letter explaining that the asset and deeds documents are included if

they want to see them? The reason I ask is that MIL's income is sufficient on its

own, so really the assets aren't necessary; I'm just putting them in for extra safety...

Edited October 31, 2010 by Mikeyboy

[LotofPatience 65]

Excellent idea, LotOfPatience!!

OK I will do this.

The ASSETS section says "Complete only if necessary" - so should I leave this blank,

and simply attach a covering letter explaining that the asset and deeds documents are included if

they want to see them? The reason I ask is that MIL's income is sufficient on its

own, so really the assets aren't necessary; I'm just putting them in for extra safety...

Mike,

If MIL and FIL's total income of 2009 is way above the poverty line with your wife's, income alone is sufficient.

Declaring asset is then optional. But if they declare it, AOS gets even more stronger.

Now the household size will be 4, if there are no other dependents or they or your wife has not executed AOS for any other persons in the past.

Loto

[pushbrk 12,233]

In 2009, your MIL and FIL filed the taxes jointly. Your FIL is currently unemployed.

So, prepare one I-864A by your MIL and another I-864A by your FIL. In this case, they can show the combined "Total income" of 2009. Also, your wife's income also can be added. Plus put their asset - land. If the land title will be under their both names, the combining method above will not ask to split the value of the land as well.

Loto

This is a bad idea, IMO. FIL would state zero income currently, so there's no benefit in him providing an I-864a. Follow the suggestion I gave in my earlier post and yes, leave out the assets if the schedule C income alone is sufficient.

Edited October 31, 2010 by pushbrk

[Mikeyboy 0]

Thank you LotOfPatience - I'll make sure we stick the assets in too.

The household size is 4 and combined income last year was just under 100k.

Back to my original question - what do you think I should put for 'current income' for

my MIL? Is the figure she earned last year (individual income) appropriate given how strong the AOS will be?

It could fluctuate between 20% +- but whatever it ends up as, it will still be well

over the poverty lines. There is no way of guestimating it until the taxes are done by

her accountant. I could always write (ESTIMATED) next to the figure?

[LotofPatience 65]

Thank you LotOfPatience - I'll make sure we stick the assets in too.

The household size is 4 and combined income last year was just under 100k.

Back to my original question - what do you think I should put for 'current income' for

my MIL? Is the figure she earned last year (individual income) appropriate given how strong the AOS will be?

It could fluctuate between 20% +- but whatever it ends up as, it will still be well

over the poverty lines. There is no way of guestimating it until the taxes are done by

her accountant. I could always write (ESTIMATED) next to the figure?

For self employed persons, last year income is the exact true picture.

Current year can only be projected (unless it reaches the end of the year), based on their quarterly estimated tax filings.

Loto