rachococo

HI, I am British married to a USC, we both live and work in UK but have just started the process of applying for a visa to live and work in USA (my husband has ILR here in UK). We have submitted the I-130 and just sold our house so keen to move over asap. As neither of us yet have jobs in USA yet so will be using my husbands American father as a joint sponsor. However, I have just read we need to supply a I-864 for my husband too. He hasn't had any income in the USA just from his UK job, and hasn't filed a tax return in a number of years. The form says they need the last three years completed tax returns, is this the case? How can we do this now? Surely it will just be zeros everywhere on the form??
I really want to sort this out so it isn't going to slow down the visa process.
Many thanks

ian-mstm

Yes.


All US citizens are obligated, by law, to file a tax return each year regardless of where in the world they live. Further, they are obligated to disclose their world-wide earnings, not just earnings from the US.


Yes.


Contact London - they have a whole section dealing with US tax returns and, from all reports, are quite helpful.


That's not the point... and, it isn't true. He must declare his world-wide earnings. He will likely not have to pay any US tax (due to the US/UK tax treaty), but he must file.

Ian

Noorah101

As a USC, your husband was obligated to file a US tax return every year, even if he lives outside the USA. He is supposed to report his worldwide income every year.

He should contact the IRS Dept at the US Embassy in London and ask for their help in getting at least his most recent 3 years of tax returns filed.

As Ian said, he might not OWE any tax, but he was required to file, if he was earning income overseas.

Rene

meauxna

There is a very good wiki entry here from someone who found themselves in a similar situation (like many, many USCs abroad).. find it and read it.

Also here: http://www.usembassy.org.uk/irs/index.htm
Assure your husband that the IRS in London has a very kind reputation, unlike at home.

If he earned over the reporting threshold, he'll have to file the return. If he didn't earn much money, he may be under the reporting levels; see form 1040 instructions for each year. There's a currency exchange rate posted there, and historical ones for the past years.

Make sure he keeps a photocopy of everything he submits, including P-60s, 1099s and other evidence, and you will submit those with your I-864 (the recently filed returns won't have transcripts available immediately).

BritishGuy36

Did you not have some equity in the house? If you have £33k-ish in the bank that's enough for a family of two for you to satisfy the financial requirement of the I-864 without needing a joint sponsor. You can't use income from a new US employer anyway, even with a letter confirming definite income. It would have to be income from a job you have in the UK now that will continue from the same source after the move.

File his last three year's of taxes asap. It won't take them that long to process them and return proof of filing to you. See the wiki entry for more details on this.

You won't need the proof of filing until the interview anyway - you don't need it in hand to file the second stage of the IR-1 paperwork.

rachococo

Thanks for all the advice...is it the 1040, 2555 and 1116 for 2008, 2007, 2006 I need to file ?? His income has been less than £17,000 each year. Would he be expected to pay any tax to USA for this?
Many thanks

ian-mstm

No. The tax threshold for paying US tax under the treaty is about $85,000.

Ian

rachococo

Ah good! Does anyone know how long the tax returns take to be processed and whether or not you can file online?
Thanks!

BritishGuy36

My wife had her confirmation of filing back in about a week.

If he earned less than the amount at which he pays tax to the IRS (which he did), then filing the 1116 is useless, as that's for tax credits. If you aren't paying tax to the IRS, why do you need to file for a tax credit?

You cannot file online if filing in London.

rachococo

That makes sense!! So just the 1040 and the 2555 for the three years.....

BritishGuy36

Yep. Unless he was self-employed during that time, in which case a Schedule C is needed too.

rachococo

Thanks for that, going to print them off tomorrow and mail them out asap. Better dig out all those wage slips!!

BritishGuy36

You don't need the wage slips.

As they aren't W2s anyway, they won't be interested. Just send the completed forms. If they want proof of earnings they will ask for it.

rachococo

The 2006 tax return we are completing has a number of employers and home addresses (consistent from July 2006 til present - both job and home address, so ok for 2007/2008 returns which I am filing at the same time). How would I complete the 2555 form to reflect this, or should I just put the current, consistent employer and home? In 2006 my USC husband worked for a number of agencies in call centre jobs before getting a job in his own profession of Graphic Design in July 2006.

BritishGuy36

Yep, as he started the job and started living at the home before the end of the (US) 2006 tax year, just use those details.