Deductions & credits

Depending on when you traveled to the US in 2016, would determine whether or not you meet the physical presence test.  If you were physically present in a foreign country for 330 full days during a period of 12 consecutive months, then you may qualify for the Foreign Earned Income Exclusion.  You can choose the 12-month period that maximizes the exclusion in the years you were not in the US.

The beginning of this test would depend on whether or not you were required to file a tax return before you became a green card holder.  If you were not required to file before you received your green card, then the test may apply to the months prior. 

This means, you still file a tax return, but you may be exempt from paying US income taxes from some or all of your foreign wages.  You will report your foreign wages on Form 1040.  Complete Form 2555 to claim the Foreign Earned Income Exclusion.  No worries, when you complete your return, TurboTax will ask specific questions about your situation to see what tax exclusions may apply.

Because you have a green card you need to file a tax return.  The IRS says "as a green card holder, you generally are required to file a U.S. income tax return and report worldwide income no matter where you live."  So if you haven't filed your 2016 tax return, you will need to do so as well.   

Click the IRS link below for FAQs on common international tax matters. 

https://www.irs.gov/individuals/international-taxpayers/frequently-asked-questions-about-internation...

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