I didn't now what to do but somehow I started reading PUB 1040, PUB 54, PUB 519 and now PUB 514 and finally arrived at this knowledgeable board. I am a resident alien for tax purpose and I have several questions.
1) What to do with this form? The form says at the top, "Foreign Person's US Source of Income Subject to Withholding." I am a resident alien and have my mailing address in the US, although I'm living in Japan. If I don't use "Earned Foreign Income Exclusion," I am able to stop the withholding but it seems it takes about 6 months.
2) I'm kind of getting I may be able to get some tax credit for the withheld money in 2019. I think I can use this credit when I decide to relinquish my green card and pay outgoing tax for my IRAs but it'll be in the future not the tax year 2019. Still, should I get my tax credit by filling some form 1116 now? Assuming if I am able to get my tax credit, I can keep it for a few years without using it?
3) Or I should wait to receive my tax credit until I need it?
I've been filing my tax returns by the due date every year and all of which were very simple. This year, I was shocked to receive 1042-S. I've been feeling like a tired old-lady vagabond. Any help will be appreciated very much.
