Filing Requirements - Nonresident and Dual Status Aliens Flashcards
Considered a dual status alien
If was both a nonresident and resident alien during the year.
Resident alien if..
Green card or substantial presence test
If a resident alien fails the two tests, can they be treated as a U.S. resident
Green Card test
Lawful permanent resident of U.S. at any time during the year.
Can a married non-r/a to U.S. citizen file joint return at end of year.
Yes, if they are taxed on worldwide income.
Advantages if owner in S corp.
Can a U.S. married to a non-resident alien file head of household?
Yes, the tax payers considered unmarried for tax purposes.
Spouse is not treated as a resident alien.
Spouse is not considered a qualifying person.
U.S. person needs to have another qualifying relative.
Considered married for Earned Income credit if a joint return is filed.
Nonresident alien - Can deduct certain itemized deductions if income is received with a U.S. trade or business. What are the deductions?
State and local income taxes
Chartible contributions
Casualty and theft loses.
Other itemized deductions
Can a non-resident alien take the standard deduction if they are married?
If they are treated as a U.S. resident.
Non-resident aliens not eligible for credit of the elderly and education credit unless..
Treated as U.S. resident
What is the requirement for tax returns for non-resident aliens?
Any wages earned in connection with a U.S. trade or business.
What is the tax rate of non-resident aliens?
30% of their income.
What income is excluded from income taxes for non-resident alien?
Activities conducted outside the U.S.
Scholarships, fellowships and grants.
How many days do you have to be in the United States to pass the substantial presence test?
31 days in 2020
183 days in 2020, 1/3 days in 2019 and 1/6 days of 2018
