trex21

move to US early this year (April) on L1 Visa, planning to stay for another two years. I need clarification about tax return.
Do i have to fill in the form at all for this year ?
my employer pays me here in US $. got married recently and my employer gave me W4 form. Will I get any tax return at all this year.

Any clarification is appreciated.
Trex21

MsElui

we arrived in the us in oct 07 on an L1 visa and had to do 4 tax returns (federal, state, city of residence and city of employment) for 2007 - so I cannot imagine you wont have to do at least one for this year.

scrubbedexpat091

Citys in your state have income tax? (only asking as I've never lived anywhere where one had to file anything other then state and federal.)

Redwing

I lived in Newark, OH for 3 years, and we had to pay city tax.

Redwing

You will have to file a tax return for this year.

meauxna

A tax return is the form you file after the close of the fiscal year (Jan-Dec for taxes) to settle the amount of tax you owe with the amount of tax you have already had withheld from your pay during the year. We settle after the fact instead of ahead.
You can use the W-4 to alter the amount of tax that is withheld from your pay.

If you get a refund after completing your tax return, you may have overpaid tax during the year. If you owe, you didn't withhold enough. Coming out with a small amount due is the 'best' way to go.
If you had income in the US and met the 'substantial presence' test, you are likely required to file a US income tax return.

Duncan Roberts

I have to pay city taxes for the city I live in and the city I work in.

dbj1000

...and if he moved in April, he's probably met the "substantial presence" test of 180 days during the financial year.

Which is a good thing really, since you still have to file a tax return if you don't meet the substantial presence test, but you're not allowed to claim most basic allowances if you're not "resident for tax purposes".

trex21

thanks guys,
looks like i have to file for tax return thing. I've been in US more than 180 days.

anyone know about W4 form. I got married recently and she (L2) isn't working yet. is it wise to reduce the amount of withholding by ticking "married" ? or should I see how much refund I'll get this year first ?
god, it's so complicated.

hope you all had a nice Halloween

dbj1000

You would have to file a tax return even if you'd been here less than 180 days. This isn't Britain. You have to file a tax return every year, even if you don't earn anything.

It's up to you whether you adjust your withholding because you're now married. Given that you're finding the whole tax thing daunting, I suggest you withhold lots this first year (unless you need that extra cash to live on) and then get a chunk back as a refund. People will tell you you're making an interest-free loan to the government, but if you're unsure it's better to be safe than to find yourself owing a big sum when you file your return.

Pay for a good accountant to file your first year's taxes. You don't sound like someone who's happy to work this all out for yourself (it can be done - all the info is on the IRS website, but it's a matter of personal taste whether you enjoy working out obscure tax issues). The first year here in the US you're not going to be a simple case that some moron at H&R Block can deal with, and you're probably not going to be able to struggle through with TurboTax. Find a qualified tax accountant who's done expatriate tax returns - many things that you paid in the UK may be deductible against your US taxes now that you're resident here for tax purposes.

dbj1000

Oh yes, and read BritishGuy36's excellent Wiki article.

MsElui

when i asked about this before - people seemed to say i didnt need to fill one out because i didnt earn anything. Do I literally need to send in a blank one or something?

Jerseygirl

We file jointly...I don't work.

dbj1000

Ask a tax professional. I think you have to file. Apparently others here don't agree. Don't take our word on it.

dbj1000

That's a good point. MsElui, why would you not want to file jointly with your husband? You get more tax allowances that way, so it decreases your household tax liability.