Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted May 31, 2019 5:03:06 PM

I arrived in USA with L1 visa status on Aug 29th 2015. My stay in US is less than 183 day in the current year. Am I eligible to pay tax for he current year.

I arrived in USA with L1 visa status on Aug 29th 2015. My wife on L2 visa joined me in November 2015. We both have SSN number. My wife is a Homemaker and totally dependent one me.  My stay in US is less than 183 day in the current year. Am I eligible to pay tax for the current year.

If yes , then what should be the best possible head under which I should file my returns.

0 4 8461
1 Best answer
Expert Alumni
May 31, 2019 5:03:08 PM

The L-1 visa (work visa) taxpayers will pay the U.S. tax based on the source of income and the number of days stayed in the U.S.

If you are not meeting Substantial Presence Test (183 days test), you will have to file a Nonresident Tax Return, Form 1040NR.  You are taxed only income from U.S. sources.

Turbo Tax is partnered with Sprintax, you will be able to file a non-resident tax return using the link below:

https://www.sprintax.com/non-resident-alien-tax-1040nr-turbotax.html

Note: If the Substantial Presence Test is met, an individual would have to file a Resident Tax Return, form 1040.

Please refer to the links below for more details on Nonresident taxation and Substantial Presence Test and Alien Residence Examples (L-1 visa is example 5)

https://www.irs.gov/Individuals/International-Taxpayers/Alien-Residency-Examples

https://www.irs.gov/Individuals/International-Taxpayers/Substantial-Presence-Test

https://www.irs.gov/Individuals/International-Taxpayers/Taxation-of-Nonresident-Aliens

4 Replies
Expert Alumni
May 31, 2019 5:03:08 PM

The L-1 visa (work visa) taxpayers will pay the U.S. tax based on the source of income and the number of days stayed in the U.S.

If you are not meeting Substantial Presence Test (183 days test), you will have to file a Nonresident Tax Return, Form 1040NR.  You are taxed only income from U.S. sources.

Turbo Tax is partnered with Sprintax, you will be able to file a non-resident tax return using the link below:

https://www.sprintax.com/non-resident-alien-tax-1040nr-turbotax.html

Note: If the Substantial Presence Test is met, an individual would have to file a Resident Tax Return, form 1040.

Please refer to the links below for more details on Nonresident taxation and Substantial Presence Test and Alien Residence Examples (L-1 visa is example 5)

https://www.irs.gov/Individuals/International-Taxpayers/Alien-Residency-Examples

https://www.irs.gov/Individuals/International-Taxpayers/Substantial-Presence-Test

https://www.irs.gov/Individuals/International-Taxpayers/Taxation-of-Nonresident-Aliens

New Member
May 31, 2019 5:03:10 PM

I am just asking a question from your answer, sorry about that. Hope my question clarify more on the above. I am on L1, Arrive first time to US on 25-July-2015.  So far never left country.  In 2015, I have completed 159 days, hope I am not mistaken.  My question is on how to calculate substantial presence test for 2016, in order to make my first year choice.  I should take 159 days from 2015 or just 1/3 days of 2015 (which is around 53 days)? As I mentioned, I never leave the country since my first day. So far I completed around 200+ days altogether in 2015 & 2016.  Your answer will help me to figure out whether I need extension for filling or not.  Thanks. Murugan.

New Member
Mar 5, 2020 4:01:42 PM

Do you have to report income from out of the USA when filing as a L-1 visa holder with form 1040? 1040NR?

Is it that once you qualify according to the substantial presence test, you do not have a choice and have to report all of your worldwide income?

Thanks 

Expert Alumni
Mar 6, 2020 2:04:34 PM

Once you qualify to be a Resident Alien and required to file a Form 1040, you are required to report income you earned World Wide.

 

On Form 1040-NR you are only taxed on U.S. Source Income. @ taxquestion7

 

 

Edited 03/08/20