Hi, I am a Chinese resident alien, but I am still have China-US tax treaty. Currently I only have a W2, and I can't find anywhere I can file my treaty information with your software. Do you know how should I prepare my tax form? Do I need any other forms for my tax refund?
Yes, you can still apply the tax treaty to your tax return with our software, you will just enter it differently than the normal way.
In the TurboTax program, report your full income as usual and enter the tax treaty-exempt amount as a negative number under "Less common income". You will have to file a Form 8833 ( Treaty-Based Return Position Disclosure Under Section 6114 or 7701(b)) to claim an exception. As TurboTax does not support Form 8833, you cannot e-file your tax return. However, you can still use the program to prepare your return, but need to print out all your tax forms. You will also need to attach a copy of your tax documents ( for example, W-2 or Form 1099s) that pertain to any credits and deductions you are applying if there are any. Along with a separate Form 8833, mail everything to the IRS per Form 1040 instructions depends on which state you reside in.
Here are the steps to report your W-2 income in TurboTax online program:
- Sign into your account and select Take me to my return
- At the right upper corner, in the search box, type in W-2 and Enter
- Select Jump to w-2, follow prompts to enter your information
- Under Federal Taxes / Less Common Income / Miscellaneous Income 1099A, 1099C / Other Reportable Income, enter the treaty-exempt amount as a negative amount ( for example, -5000)
- Complete a Form 8833 to claim an exception. https://www.irs.gov/pub/irs-pdf/f8833.pdf
You only exempt the payments received if less than $5,000. So if you received $3,000 you would only exempt $3,000.
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