Hello,
I got my green card on May 2023 but moved and started working for a US company in September 2023. Before that I was working in my original country and paid taxes there which were higher than US taxes. What’s the most beneficial way to present my taxes? Part of the year resident and part non resident?
thank you
You'll need to sign in or create an account to connect with an expert.
One of the criteria to being treated as a US Resident for tax purposes would be getting your green card. Once you received your green card, all income you earned, both foreign and in the US would be included on your US form 1040.
If you were not in the US earning anything prior to getting your green card, then you would only need to file the 1040 and a state return for whichever state you lived in.
If you are married, you would be able to claim full year resident, if your spouse elected to do the same. But that would mean that the income you earned prior to getting your Green Card would also be taxed, so in the end you would end up paying more taxes.
If you are married, it is possible that you could choose to be treated as a Resident Alien for the entire year.
"Choosing Resident Alien Status If you are a dual-status alien, you can choose to be treated as a U.S. resident for the entire year if all of the following apply.
This includes situations in which both you and your spouse were nonresident aliens at the beginning of the tax year and both of you are resident aliens at the end of the tax year.
Note. If you are single at the end of the year, you cannot make this choice. If you make this choice, the following rules apply.
Yes, you would do best to file as a Dual Status Alien. This would make it so you are only paying taxes on the income you earned while a resident of the US.
Thanks Vanessa,
Could you expand more on that please. What from should I fill?
Also, will I get the tax return from US income?
thanks
One of the criteria to being treated as a US Resident for tax purposes would be getting your green card. Once you received your green card, all income you earned, both foreign and in the US would be included on your US form 1040.
If you were not in the US earning anything prior to getting your green card, then you would only need to file the 1040 and a state return for whichever state you lived in.
If you are married, you would be able to claim full year resident, if your spouse elected to do the same. But that would mean that the income you earned prior to getting your Green Card would also be taxed, so in the end you would end up paying more taxes.
If you are married, it is possible that you could choose to be treated as a Resident Alien for the entire year.
"Choosing Resident Alien Status If you are a dual-status alien, you can choose to be treated as a U.S. resident for the entire year if all of the following apply.
This includes situations in which both you and your spouse were nonresident aliens at the beginning of the tax year and both of you are resident aliens at the end of the tax year.
Note. If you are single at the end of the year, you cannot make this choice. If you make this choice, the following rules apply.
That’s really helpful, thank you
Just to clarify, I would only have to file the 1040 with US income only? Not reporting foreign income.
And just one more question, Do I have to report to the IRS my bank accounts and/or pension funds of my country of origin?
No. Since you got your green card in May, any income from anywhere in the world would need to be included on your return. From the time before May, before you got your green card, you would not need to include any of the income...only income from after your green card would be reported.
Yes. if they at any point had a balance over $10,000, you would need to file a FBAR.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
hotsawce
Level 2
DJJ101
New Member
kwilkk
Returning Member
AmG50
Level 1
andeengo
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.