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US TAX FORM FILLING FROM UK and UK PROPERTY

US TAX FORM FILLING FROM UK and UK PROPERTY

Old Nov 19th 2018, 12:10 pm
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Default US TAX FORM FILLING FROM UK and UK PROPERTY

Hi all,

Could anybody please advise on the best way, my wife who is a UK/US citizen, can complete her US tax returns? She has lived in the UK for the past 4/5 years and hasn't completed any US tax forms. She has a mortgage here and thinks that will adversely influence the form filling. Is this worrying about nothing here? Has anybody been in the same boat and does it even matter? Any helpful advice/links would be gratefully received.

Thanks in advance.
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Old Nov 19th 2018, 12:42 pm
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Default Re: US TAX FORM FILLING FROM UK and UK PROPERTY

She can reach out to the IRS at the US Embassy in London for information and assistance. In what way does she think UK mortgage us going to cause her issues? Has she been working? What has her income been yearly?

The simple truth is that unless she makes a significant income, over $100k pa, that she is unlikely to owe any US taxes.
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Old Nov 19th 2018, 1:16 pm
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Default Re: US TAX FORM FILLING FROM UK and UK PROPERTY

Originally Posted by civilservant
She can reach out to the IRS at the US Embassy in London for information and assistance. In what way does she think UK mortgage us going to cause her issues? Has she been working? What has her income been yearly?

The simple truth is that unless she makes a significant income, over $100k pa, that she is unlikely to owe any US taxes.
Thanks very much for your reply. She only earn around £25k a year, but seems to think owning/buying a property makes things a lot more complicated.
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Old Nov 19th 2018, 1:44 pm
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Default Re: US TAX FORM FILLING FROM UK and UK PROPERTY

My main tip is for her to remain calm as she explores the next steps. These issues are quite common. It is worth mentioning if she might like friendly, helpful professional advice that there are excellent qualified tax professionals here in London, able to assist with US tax; and meet with her if she’d like to put a face to the name. Most folks in this position would use the IRS SFOP to catch up; typically penalty free. However, as you rightly note, having a foreign currency mortgage can be a little complex from a US tax perspective.
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Old Nov 19th 2018, 3:00 pm
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Default Re: US TAX FORM FILLING FROM UK and UK PROPERTY

Originally Posted by civilservant
She can reach out to the IRS at the US Embassy in London for information and assistance. In what way does she think UK mortgage us going to cause her issues? Has she been working? What has her income been yearly?

The simple truth is that unless she makes a significant income, over $100k pa, that she is unlikely to owe any US taxes.
Following FATCA and the increased need for tax advice to USC's living in the UK the IRS office was closed in London

https://uk.usembassy.gov/embassy-con...sular-affairs/

Inland Revenue Service & U.S. Taxes

If you require the Inland Revenue Service (IRS) and have questions about income tax please see

The IRS office at the U.S. Embassy London closed in 2015 and no longer offers taxpayer assistance (mail, walk-ins or telephone). Please see our list of IRS call center numbers and mailing addresses or see www.irs.gov
Please do not send any IRS forms or tax correspondence to the U.S. Embassy.
I continue to use TurboTax to file my US taxes while living in the UK.

The IRS does provide free fillable forms.

https://www.irs.gov/pub/irs-utl/Free...et-Started.pdf
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Old Nov 19th 2018, 3:14 pm
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Default Re: US TAX FORM FILLING FROM UK and UK PROPERTY

Thanks for the update on that, I don't know if that has been mentioned on the forum before. If so, I missed it.
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Old Nov 19th 2018, 3:39 pm
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Default Re: US TAX FORM FILLING FROM UK and UK PROPERTY

Originally Posted by Cook_County
My main tip is for her to remain calm as she explores the next steps. These issues are quite common. It is worth mentioning if she might like friendly, helpful professional advice that there are excellent qualified tax professionals here in London, able to assist with US tax; and meet with her if she’d like to put a face to the name. Most folks in this position would use the IRS SFOP to catch up; typically penalty free. However, as you rightly note, having a foreign currency mortgage can be a little complex from a US tax perspective.
IRS SFOP meaning Streamlined Foreign Offshore Procedures. Read about that amnesty scheme here: https://www.irs.gov/individuals/inte...-united-states
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Old Nov 19th 2018, 8:32 pm
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Default Re: US TAX FORM FILLING FROM UK and UK PROPERTY

streamlined procedure is easy enough if she can sign to say didnt fail to submit for naughty reasons , but did so for not realising.
Have to submit 3 years returns, she has over 100k foreign earnings allowance so should be nil return.

I found great help on expatforum / tax
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