Hi,
I was on F1 (student) visa, and on October 1st, 2021, my status changed, and now I am on an H1B visa.
After reading many questions posted here, I know I have two options to file my 2021 taxes:
1) File as a nonresident (using Sprintax)
2) File "dual-status" using (Sprintax + Turbotax). "Consider the substantial presence test, ask for an extension, file when the test is met, etc.)
I've also read that, generally speaking, filling as a nonresident is probably easier than filing "dual-status".
Problem: In early October 2021, I changed my W8BEN form to W9 in my brokerage account. Consequently, a withholding tax was applied to all dividends received before the end of September 2021. But, no withholding tax was applied to dividends received from October 2021 to December 2021. (We are talking about less than $50 in withholding tax that should've been applied).
If I file as a nonresident, I am concerned that I would be misrepresenting information since my broker did not withhold taxes on all the dividends I received.
Questions:
- How big of a problem is it that I changed form W8BEN to W9 when my H1B visa was issued? What would be potential actions that IRS could follow?
- Is it better to file "dual status" since W9 does apply for H1B that meets the presence test?
- Is there any way to correct this in the 1040-NR? That is, pay the taxes that should've been withheld.
Thank you so much for any help!
