U.S. Citizens and Resident Aliens Abroad – Automatic 2 Month Extension of Time to File

Posted by Sanket Shah | General | Saturday 31 March 2012 3:20 pm

Internal Revenue Services (“IRS”) has allowed U.S. Citizens and Resident Aliens Abroad an automatic 2 month extension of time to file their tax return and pay any federal income tax that is due.

You will be allowed the extension if you are a U.S. citizen or resident alien and on the regular due date of your return:

(i) You are living outside of the United States and Puerto Rico and your main place of business or post of duty is outside the United States and Puerto Rico, or

(ii) You are in military or naval service on duty outside the United States and Puerto Rico

If you use a calendar year, the regular due date of your return is April 15, and the automatic extended due date would be June 15.

In case of Married Taxpayers who are filing joint returns, either you or your spouse can qualify for the automatic extension. If you and your spouse file separate returns, this automatic extension applies only to the spouse who qualifies.

How To Get The Extension:
To use this automatic 2-month extension, you must attach a statement to your return explaining which of the two situations listed earlier qualified you for the extension.

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Resident and Non-Resident Alien

Posted by Sanket Shah | International Tax | Tuesday 18 October 2011 2:00 pm

Very often we are asked, why a person who is residing in U.S and is on an H1 or L1 visa, required to disclose his world wide income in his U.S Tax return.

Our first suggestion, please do not confuse your Immigration status with your Tax status. They are two independent bodies and have different set of rules. Having said that, let us brief you the U.S Tax requirement.

A resident alien’s income is generally subject to tax in the same manner as a U.S citizen. If you are a resident alien, you must report all interest, dividends, wages or other compensation for services, income from rental property or royalties and other types of income on your U.S tax return. You must report these amounts whether from sources within or outside  the United States.

(more…)

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