John Murray

I am UK citizen, about to move to USA. We are sorting out a US Bank Account in advance and have a pack of various forms to fill in to get me up and running.

One question asks if I am exempt from backup withholding.

What is this and would I, as a UK citizen moving to USA to live/work or my wife, a US citizen, returning to US to live/work, be subject to this or not?

Pulaski

I'd not heard of it, but a quick skip over to Google, tells us this. You should know better than I whether this applies to you and your wife. If I was you, and if neither of you have ever had trouble with the IRS then I'd say that you are exempt from backup witholding. .... You could also try checking with the bank that sent you the forms.

NormsKid

Go here to read about what is backup withholding:

http://www.irs.gov/taxpros/article/0,,id=98151,00.html

There are several ways one could be subject to backup withholding. It's not just for people who didn't pay us taxes in the past. That's just the more well known of the many ways people are subject to the tax.

Lesley1020

Seems like you got the answer already!
If you don't mind me asking can you tell me what bank you chose? I am just wondering because I would have liked to open an account in advance but most I tried said I would have to visit a banking centre upon arrival.

John Murray

I'm using Wells Fargo, as I was told they are expat friendly!

So far they've been great in sending me info and getting the wheels in motion.

I have about 10 different forms to complete - but maybe all US banks are like that!