Dogbyte

I understand that Pat, and your reply was appreciated, however,my situation is that I continue to pay my taxes on my monthly pension, at source, back in the UK.(there are simple reasons for not claiming back the taxes,you mentioned.) This is, I believe acceptable to the US IRS, as they have the reciprocal tax arrangement with the UK and as it is nowhere near the figure quoted, its not assessed as declarable income?. I draw money from my UK bank a/c if and when I need it(every month) to pay a couple of bills.I have no income from the US. That is down to the wife's employment.
So to re-mention, does anyone know if I can claim back for any item which we have had to pay for here in the USA since we arrived, in connection with our move across.

dbj1000

So, your relocation expenses consisted of your airfares over here, and then the cost of setting up your life here (furniture, consumer durables etc.)?

You're not working, but your wife is? I would think that she can claim your relocation expenses in the same way as has already been mentioned in this thread.

In particular, the IRS instructions on deducting moving expenses clarify (which I didn't know) that you don't have to have arranged a job before you move, so long as you start work within a year of moving. If that applies to your wife then you can at least deduct your airfares (but not lodging or meals). Glancing through the IRS Publication 521 I can't see anything else that might apply to you, but perhaps you can find something?

Note that although most of the publication refers to moves within the US or from the US to a foreign location, there is a line that clarifies that you can claim for moves from a foreign location to the US:

Dogbyte

Thanks for all that dbj,your correct in your first two lines (I'm a kept man ) lol.
I am surprised that this suibject in this area hasn't been discussed before in an in depth manner, so once I see how the visit to a professional goes in the near future, I'll report back. Thanks everyone.

ITsWhatIDo

Is it true to say that due to relocation, you can pay almost no taxes for the first couple of years? Or does that only aply to certians visas? I was told this by someone who went over on a H1-B, whereas I'm lookig to go over on an L1-A.

notacrime

Sounds like they were blowing smoke up your a**.

Say you moved to the US next month, and you spend $20k doing so. You will be able to decrease the amount of income that the government considers 'taxable' by $20k (actually less than $20k since not all moving related expenses are deductible.) So unless you make only $30k or so you are still going to have to pay some taxes in the first year.

It's quite a bit more complicated than I just stated, but that's the gist of it.

The visa that you will be on doesn't make any difference.

Bob

Actually it does, if you come on a J1, you can forego paying some of the taxes like medicare if you do head back at the end of your visa, but if you decide to stay, you'll have to back pay it. The H1 is the same for some of these taxes.