Get the flybe form

Hello Im Tammy from Turbo Tax with some information about the income tax filing obligations of resident and non-resident aliens Have you recently moved to the United States from a foreign country or just spend a lot of time there If so you may want to know about some of the federal income tax rules that you might be subject to For federal income tax purposes the IRS treats resident aliens in the same way it does citizens This means that as a resident alien you must file an annual tax return and report all income you receiveregardless of whether you earn it in the US or abroad The IRS will treat you as a resident if you are lawfully residing in the US meaning you have an alien registration card which is more commonly known as the green card However even if you dont possess a green card you are still considered a resident if you are physically present in the US for at least 31 days in the current year and for a total of 183 days over the last three years The calculation for the 183 days requirement is tricky We recommend visiting IRSgov for the details If you dont have a green card and arent physically present in the US for a sufficient number of days you are considered a nonresident alien but this doesnt mean you are exempt from US tax As a non-resident you must prepare a US tax Form 1040NR or 1040NR-EZ But unlike resident aliens you only report the income you earn that comes from the US For example if you are self-employed in the US and provide services to a US company for a 30-day period your earnings during those 30 days are subject to US income tax However the money you earn in other countries during the other 335 days isnt taxable It is also possible to be both a non-resident and resident in the same yearwhich the IRS refers to as dual status This occurs when you live in the US for the entire year but dont receive your green card or become a resident based on the number of days in the US until sometime after January 1st of the next year In this case you can file on a 1040 form but for the period you are a non-resident you only pay tax on the income you earn that relates to the US Therefore you need to provide the IRS with a document that shows how you are allocating your income between the two periods For more information about this and other tax topics visit TurboTaxcom