Dual-status alien with no income prior to residency

[stew3]

Hi,

I was present in the US only as an exempt individual in 2023, so I filed as a non-resident. I re-entered the US on January 5, 2024, and have since passed the substantial presence test. However, I have no income (foreign or US-source) from January 1-4, 2024. I will pass the substantial presence test again for 2025.

My understanding is that I am technically a dual-status individual for 2024, and since I ended the year as a US resident I should therefore attach a 1040-NR statement to my 1040 return for 2024. However, I have no income and nothing of relevance to report on my 1040-NR.

In this case, do I still need to attach a form 1040-NR statement to my 2024 return?

If I do still need to attach a form 1040-NR statement to my return, what values should I enter, and do I still need to complete the other schedules (e.g. Schedule OI)?

If I do not need to attach a form 1040-NR statement to my return, should I still write "Dual-status Return" at the top of my 1040? Also, am I still required to take itemized deductions instead of the standard deduction?

Thanks,

S.

[MinhT1]

As a dual status individual, you have to file 2 tax returns in 2024: a nonresident return 1040 NR for the period 01/01 to 01/05 and a resident return 1040 for the rest of the year.

If you have no US income for the nonresident period, you do not need to fill in form 1040NR. Just include a statement that you do not have US income for your nonresident period.

On your resident return, write DUAL STATUS RETURN resident on top of the form 1040. You have to report your worldwide income (US income plus any foreign income if any). You cannot take the standard deduction, but have to itemize your deductions (even if the total is less than the standard deduction. 

You cannot e-file but have to print out and mail your return, together with the nonresident statement.

Please read this IRS document for more information.

[stew3]

Thank you very much!

I realized I did have some US income deposited on January 3, 2024, so it looks like I will have to attach a 1040NR statement.

Must I include the relevant schedules (e.g. Schedule OI) too? If so, I'm wondering what I should enter for "number of days present in the US" for 2024 on my Schedule OI. Should I enter the relevant number for the period 01/01 to 01/05 (i.e. 0), or should I enter the total number of days that I was present in the US on any status, including as a resident (i.e., past the 01/05 cutoff for the form 1040NR)?

[DaveF1006]

Since you are a 1040 NR filer in 2024, direct your question to Sprint Tax because they handle the preparation and questions regarding non-resident returns. You may contact them here.