Harveyspecter

As per the title, I haven't worked since moving here last fall and have just been living out of savings. I know I don't qualify as needing to file a tax return based on my income as I haven't earned the minimum threshold, but as it is my first time that I'm 'eligible', do I need to file one anyway even indicating my income as 0?

Thanks.

Noorah101

Are you married to a USC who is going to file a tax return?

Rene

Harveyspecter

I'm married to a USC yes, but she has only worked part time and the local tax specialist said she hasn't earned enough to file a return either.

tom169

Personally I would sign up for TurboTax online or similar service. Generally they are free for basic returns. Input what data you have and see if it is worth it.

Harveyspecter

Oh great, I'll do that. Thanks Tom!

Bob

If you haven't worked, a 1040EZ is pretty easy to do and from an immigration point, worth doing because not having the previous few years worth is an extra hassle if you're changing status or what not.

Harveyspecter

Good point, I have done one 1040 for my wife when she was in the UK and it didn't seem to intimidating, so I will have a go. Thanks again.

penguinsix

Need to file? Not if you are below thresholds.

Advised to file? Yea, probably. Especially if there are additional trips to the immigration man in the future or some other financial plans coming down the road (Medicare applications, etc).

You don't "need" to file, but it's easier to show a filing that says -$0- income than it is to say "oh, I didn't file that year because I had no income" to whit the person on the other side the table says "okay............then can I see XYZ and that proves you had 'zero income' (with air quotes and a disbelieving look on their face)"

It's a very painless form (1040EZ) and having it filed showing 0 is a lot easier than just "your word" that you had 0 later in life. For folks involved in immigration matters, I really recommend filing EVERY YEAR even if you have no income. Better to have no income documented when you are dealing with bureaucrats who really want to see it everything on paper.

Good luck.

MarylandNed

But has she paid any state or federal income tax? She might be eligible for a tax refund. She'll only get that if she files a tax return.

S Folinsky

As mentioned, there may be credits and refunds available.

If spouse worked and had withholding, there will be a refund if no tax is due.
Here in California, on the STATE tax return, there is a renter's credit which can be paid even if no taxes are due.

No need to leave money on the table, so to speak.

Harveyspecter

Ok I've printed it out, do I simply put 0 in all the financial figure categories that I need to fill in? My wife didn't earn any money either so we can file jointly and still show 0. Thanks in advance.

nun

You can only file jointly if you choose to be treated as a US resident for the whole of 2016. You would then have to pay US tax on all your UK income from January 2016 onwards. It's probably best for you to file separately for 2016 and jointly in the future.

Harveyspecter

Thanks, so just tick the married filing seperately box and fill out with 0 where applicable yes?

tom169

OP would have to be treated as a US resident for 2016. However, as there is an income tax treaty with the US and UK it will likely result in no US tax liability.

I've recently completed my income areas of the tax return and MFJ results in a significantly larger return than MFS would.

Cook_County

But even if not required to file an income tax return you may be required to file an FBAR.