Tax related querry with AOS
- Thread starter skusa
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Question for Gogemon
Hi Gogemon,
I have a question for you. I calculated the taxes for previous years with 1040X and there is substantial difference. I have overpaid taxes, can I file now 1040X for last 3yrs and get the refund back especially since I was in J1 visa status?
Pl advice, I saw in your post that you are H&R block tax consultant.
thanks
Hi Gogemon,
I have a question for you. I calculated the taxes for previous years with 1040X and there is substantial difference. I have overpaid taxes, can I file now 1040X for last 3yrs and get the refund back especially since I was in J1 visa status?
Pl advice, I saw in your post that you are H&R block tax consultant.
thanks
Re: Question for Gogemon
When you file an Non resident tax you will not get certain deductions. Now you are trying to make the amendment that you were resident all these years. So the difference will be large.
But per some people J1/F1 will come under non-resident. Go to the H&R Block district office where you will get good knowledgeable people. Even if you prepare/file on you own they will guide you
When you file an Non resident tax you will not get certain deductions. Now you are trying to make the amendment that you were resident all these years. So the difference will be large.
But per some people J1/F1 will come under non-resident. Go to the H&R Block district office where you will get good knowledgeable people. Even if you prepare/file on you own they will guide you
Reply to skusa
I looked up some references for you. Even though I work part time for H&R Block, most of the problems I deal with are related to US taxes for residents.
But here is what I found related to your case: good reference material would be IRS Pub. 519. You can find it on IRS.GOV website, if you punch 519 in "search for forms" field right on the front page.
This publication has a definition of "Resident Alien" status which we discussed earlier: you have to pass either green card test or a substantial presence test. Substantial presence test means that you have to count days of your presence in the United States and it has two requirements:
1. >= 31 days during current year (2003)
2. and 183 days during the 3-year period that includes the current year (2003) and the two years immediately before that (2002 and 2001), counting: all days in 2003+1/3 days in 2002+1/6 days in 2001
Then, on page 6 of that publication, there is a list of "exempt" individuals. For the purpose of counting days for substantial presence test it says: "Do not count days for which you are an exempt individual". And a list of exempt individuals includes:
"a teacher or trainee temporary present in the United States under "J" or "Q" visa
"a student temporarily present in the United States under an "F", "J" , "M, or "Q" visa, who substantially complies with the requirements of the visa."
Also if you used up an allowable treaty time with your country for 2 or 6 years in a row while you were a student in the US - you are not an exempt individual.
If you were a PostDoc on "J" visa - as I understand you are not a trainee or a student or a teacher - you are a researcher - and you are not in the list of exempt individuals and you can consider yourself a "not exempt" individual and count all your J1 days towards your substantial presence test. That is what I would try to do and submit 1040X for the last 3 years...
Good luck,
Gegemon
EB12-OR VSC
RD: 03-19-2003
ND: 04-02-2003
I looked up some references for you. Even though I work part time for H&R Block, most of the problems I deal with are related to US taxes for residents.
But here is what I found related to your case: good reference material would be IRS Pub. 519. You can find it on IRS.GOV website, if you punch 519 in "search for forms" field right on the front page.
This publication has a definition of "Resident Alien" status which we discussed earlier: you have to pass either green card test or a substantial presence test. Substantial presence test means that you have to count days of your presence in the United States and it has two requirements:
1. >= 31 days during current year (2003)
2. and 183 days during the 3-year period that includes the current year (2003) and the two years immediately before that (2002 and 2001), counting: all days in 2003+1/3 days in 2002+1/6 days in 2001
Then, on page 6 of that publication, there is a list of "exempt" individuals. For the purpose of counting days for substantial presence test it says: "Do not count days for which you are an exempt individual". And a list of exempt individuals includes:
"a teacher or trainee temporary present in the United States under "J" or "Q" visa
"a student temporarily present in the United States under an "F", "J" , "M, or "Q" visa, who substantially complies with the requirements of the visa."
Also if you used up an allowable treaty time with your country for 2 or 6 years in a row while you were a student in the US - you are not an exempt individual.
If you were a PostDoc on "J" visa - as I understand you are not a trainee or a student or a teacher - you are a researcher - and you are not in the list of exempt individuals and you can consider yourself a "not exempt" individual and count all your J1 days towards your substantial presence test. That is what I would try to do and submit 1040X for the last 3 years...
Good luck,
Gegemon
EB12-OR VSC
RD: 03-19-2003
ND: 04-02-2003
thanks a lot
Thank you very much Gogemon for the useful info. I calculated for the past 3yrs and the amt overpaid is lot. I am thinking of going to H&R block tax professionals. can you please tell me how much they charge, if I take their help in filling past 3yrs 1040X?
Thanks a lot
shobhana
Thank you very much Gogemon for the useful info. I calculated for the past 3yrs and the amt overpaid is lot. I am thinking of going to H&R block tax professionals. can you please tell me how much they charge, if I take their help in filling past 3yrs 1040X?
Thanks a lot
shobhana
It ain't cheap, I can tell you.
All prior three-year tax forms have to be re-done.
H&R Block is charging by a form. 1040 costs around $73 depending on your location. Plus ~$2 for each W2, 1099, 1098. Plus extra for each dependant, Child Tax Credit Worksheet (~$20), Child Care Credit, etc...
A simple 1040EZ would cost ~$50, 1040 with itemized deductions and 2 children will be ~$150. All these prices include e-filing.
Plus 1040X itself will cost some.
I used to do my taxes myself (using a $10 TaxCut software) and now I checked my work with H&R Block software - I did everything correct. So perhaps you can consider doing it yourself - you will save a lot of money. As far as I know, tax software allows you to do amendment returns.
Good luck.
All prior three-year tax forms have to be re-done.
H&R Block is charging by a form. 1040 costs around $73 depending on your location. Plus ~$2 for each W2, 1099, 1098. Plus extra for each dependant, Child Tax Credit Worksheet (~$20), Child Care Credit, etc...
A simple 1040EZ would cost ~$50, 1040 with itemized deductions and 2 children will be ~$150. All these prices include e-filing.
Plus 1040X itself will cost some.
I used to do my taxes myself (using a $10 TaxCut software) and now I checked my work with H&R Block software - I did everything correct. So perhaps you can consider doing it yourself - you will save a lot of money. As far as I know, tax software allows you to do amendment returns.
Good luck.
Last edited by a moderator:
Thanks Gegemon for the reply.
I called to the 800 number for IRS and they told me that I can get tax ammendements only for last yr taxes 2002 and not for the previous 2yrs 2001 and 2000.
H & R block people said 100$ per tax ammendement form, I think I am going to do by myself and see if thats really worth doing. otherwise end up paying the refund money to H&R.
thanks a lot
I called to the 800 number for IRS and they told me that I can get tax ammendements only for last yr taxes 2002 and not for the previous 2yrs 2001 and 2000.
H & R block people said 100$ per tax ammendement form, I think I am going to do by myself and see if thats really worth doing. otherwise end up paying the refund money to H&R.
thanks a lot
Amendment return - 3yrs. back
I think you were provided with incorrect information about how far back you can go in order to submit amendment returns.
"Form 1040X must be filed within 3 years after the date you filed the original return or within 2 years after the date you paid the tax, whichever is later. A return filed early is considered filed on the due date."
Assuming you did not have any payment plans with IRS to pay your taxes, then by April 15, 2004 you can amend your returns for 2000 (filed on Apr. 15, 2001), 2001 (filed on Apr. 15, 2002), 2002 (filed on Apr. 15 2003) and even 2003 if you have already filed it.
Here is a link for 1040X form instructions. It lists all years I mentioned: 2000, 2001, 2002, 2003:
http://www.irs.gov/pub/irs-pdf/i1040x.pdf
BTW, these instructions cover your case - amending 1040NR return into 1040 - U.S. resident return.
Good luck.
I think you were provided with incorrect information about how far back you can go in order to submit amendment returns.
"Form 1040X must be filed within 3 years after the date you filed the original return or within 2 years after the date you paid the tax, whichever is later. A return filed early is considered filed on the due date."
Assuming you did not have any payment plans with IRS to pay your taxes, then by April 15, 2004 you can amend your returns for 2000 (filed on Apr. 15, 2001), 2001 (filed on Apr. 15, 2002), 2002 (filed on Apr. 15 2003) and even 2003 if you have already filed it.
Here is a link for 1040X form instructions. It lists all years I mentioned: 2000, 2001, 2002, 2003:
http://www.irs.gov/pub/irs-pdf/i1040x.pdf
BTW, these instructions cover your case - amending 1040NR return into 1040 - U.S. resident return.
Good luck.
Thanks Gegemon.
I agree that I can make tax ammendements for past 3yrs based on what I have been reading on 519 article and 1040X instructions. I am thinking of doing it by myself, the H&R block people charge like 150$ per yr for 1040X.
Just another querry, in the case if there is any mistake by me filling out 1040X form or if IRS disallows for returns for these year for some reason then is that considered a serious concern especially with this GC process or for future for me?
thanks
I appreciate your guidance.
I agree that I can make tax ammendements for past 3yrs based on what I have been reading on 519 article and 1040X instructions. I am thinking of doing it by myself, the H&R block people charge like 150$ per yr for 1040X.
Just another querry, in the case if there is any mistake by me filling out 1040X form or if IRS disallows for returns for these year for some reason then is that considered a serious concern especially with this GC process or for future for me?
thanks
I appreciate your guidance.
I do not think that any math errors or disallowed credits / deductions with IRS tax filing process could influence your green card process. You have a legitimate claim and you have a proof of that. That would be IRS job to try to proove it otherwise.
In a worst case scenario you will receive a letter from IRS asking to substantiate your claim for 1040 filing and you can submit your evedences by mail. If your case gets transferred another level up - you will be asked to come to your local IRS office for an interview (audit) and bring all your evidences with you. You can go there by yourself or hire a Certify Accountant or IRS-certified agent from HR BLock Premium office. At this interview the final decision on your case will be reached and if your amendments are disallowed - you do not have to pay anything to IRS since you have already payed them everything before.
And only if IRS suspects some serious tax evasion activities, money laundering or other financial crimes - then a high ranking IRS officials from special departments inside IRS will be assigned to your case and that can lead to deportation. I am pretty sure you that this is not your case
Good luck.
In a worst case scenario you will receive a letter from IRS asking to substantiate your claim for 1040 filing and you can submit your evedences by mail. If your case gets transferred another level up - you will be asked to come to your local IRS office for an interview (audit) and bring all your evidences with you. You can go there by yourself or hire a Certify Accountant or IRS-certified agent from HR BLock Premium office. At this interview the final decision on your case will be reached and if your amendments are disallowed - you do not have to pay anything to IRS since you have already payed them everything before.
And only if IRS suspects some serious tax evasion activities, money laundering or other financial crimes - then a high ranking IRS officials from special departments inside IRS will be assigned to your case and that can lead to deportation. I am pretty sure you that this is not your case
Good luck.
Thanks Gegemon for the reply.
I am going to reread the 519 article and also 1040X instructions carefully and then fill out the 1040X form before april15th.I read that it takes 2-3months to hear from IRS. do I have to refile state tax too, because there are no changes in it.
I guess in the mean time I can fill for this yr 1040EZ and send it.
thanks a lot
I am going to reread the 519 article and also 1040X instructions carefully and then fill out the 1040X form before april15th.I read that it takes 2-3months to hear from IRS. do I have to refile state tax too, because there are no changes in it.
I guess in the mean time I can fill for this yr 1040EZ and send it.
thanks a lot
If there are no changes in state returns - no need to re-file them.
Start with amending federal return for 2000 - if filed after April 15, 2004 - you won't be able to get your refund for that year!Do not forget about 2003 return as well.
Other years - 2001, 2002, - can wait even after April 15th, 2004.
Start with amending federal return for 2000 - if filed after April 15, 2004 - you won't be able to get your refund for that year!Do not forget about 2003 return as well.
Other years - 2001, 2002, - can wait even after April 15th, 2004.
Thanks again Gegemon.
Yes, I will do amendment for all three 2000, 2001, 2002 and current 2003 as well. Can I send all the 3yrs 1040X forms together? and also along with it guess should attach all the 3 previous yrs tax file copies 1040NR-EZ, with IAP-66 for J1 and H1b approval, any more document I am missing out here.
and the way 1040X form is filled, column A is original return, B is for changes and C is corrected one.
thanks
Yes, I will do amendment for all three 2000, 2001, 2002 and current 2003 as well. Can I send all the 3yrs 1040X forms together? and also along with it guess should attach all the 3 previous yrs tax file copies 1040NR-EZ, with IAP-66 for J1 and H1b approval, any more document I am missing out here.
and the way 1040X form is filled, column A is original return, B is for changes and C is corrected one.
thanks