All posts tagged Non-resident tax return

July 15, 2021

The dangers of not filing a tax return
If you have worked or studied in the USA, did you know that you are obliged to file taxes?

Many nonresidents are unaware of this fact due to a combination of factors, such as busy lifestyle or they have left the country.

However, whatever the case may be, not filing your taxes has very serious consequences.

If you are a nonresident and still live in the US, continuing to avoid your responsibility can result in automatic wage seizure by the courts, asset seizures like your car and may even lead to arrest and jail time for tax evasion.

What happens if I don’t file?

If you do not pay the taxes you owe by the tax deadline (15 April every year, except 2020 and 2021 which were 17 May and 15 July respectively) you could be hit with a variety of punishments.

Here are a few different dangers of not filing your tax return:

You could miss out on your tax refund!

If you are entitled to a tax refund, you won’t be punished for filing late by the IRS.

If you wait longer than three years from the date your refund is published, however, you will lose out on your chance to claim the refund as it will automatically be handed over to the US government.

You could be hit with fines and penalties

If you have unpaid taxes, you will owe the IRS interest in addition to any penalties.

You should do your best to file your tax return before the deadline to avoid facing penalties and fines!

The penalty for filing late is normally 5% of the unpaid taxes for each month or part month that a tax return is late. That penalty starts accruing the day after the tax filing due date and will not exceed 25% of your unpaid taxes.

If you file your tax return more than 60 days after the due date or extended due date, the minimum penalty is strong – $135 or 100% of the unpaid tax, whichever is less.

If you do not pay your taxes by the tax deadline, you will normally face a failure-to-pay penalty of 0.5% of your unpaid taxes.

Can I file if I have left the US?

Yes!

You can file your US tax return with Sprintax from anywhere in the world!

Sprintax is the only online Federal and State self-prep tax software for nonresidents in the US!

Our system will assist you in preparing fully compliant Federal and State tax returns and secure your maximum legal tax refund.

The average federal refund in the US is $1,126!

With Sprintax you can:
- Save time and stress!
- Determine your residency status
- Prepare a fully compliant US tax return
- E-file your Federal tax return
- Maximize your State tax refund
- Avail of our 24/7 Vita Qualified Live Chat facility
Complete your nonresident tax return today!
No Comments / Tax Tips / Stacy
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July 12, 2021

How to File Prior-Year Tax Returns as a Nonresident Alien

People do not file their taxes for a variety of reasons. Perhaps you forgot or were unaware that you had to file. Perhaps you had a hefty tax bill that you could not cover.

Whatever the reason, if you did not file your tax return by the deadline, you should do it as soon as possible. Otherwise, you risk being hit by fines, and you can jeopardize your future visa applications.

As a nonresident, you probably know that you have the obligation to file a tax return if you were in the US for just one day, and even if you did not earn any income in order to stay compliant with your visa tax commitment.

This guide will outline everything you need to know as a nonresident if you did not file your prior-year tax return(s). So, keep reading!

Continue reading “How to File Prior-Year Tax Returns as a Nonresident Alien” »

No Comments / Sprintax, Tax Tips / Kristina Valcheva
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June 29, 2021

Here’s the ultimate guide to nonresident taxes in the US

Whether you are dreaming of a trip to the US, or you are about to embark on one, the prospect of jetting off to The Land of Opportunity is bound to be exciting.

While you get to grips with the culture in the US, one area that often confuses nonresidents is tax.

That’s why Sprintax is here!

We specialize in making tax as straightforward as possible to newcomers in the US.

So, without further ado, here’s our ultimate guide to nonresident tax in the US. Continue reading “Here’s the ultimate guide to nonresident taxes in the US” »

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April 19, 2021

Which tax form should I use: Form 1040, 1040NR or 1040NR-EZ?

Important: As of 2020, the IRS no longer uses form 1040-NR-EZ. Form 1040NR has been simplified and will be used instead.

Coming to the US from a foreign country presents both thrills and challenges to every nonresident.

One of the more common difficulties nonresidents face is filing their tax return.

In this blog post, we’ll be discussing Forms 1040, 1040NR, 1040NR-EZ, and how they apply to each person’s situation.

Form 1040 (NR & NR-EZ) figures out the total taxable income of the taxpayer and determines how much of a refund the person may be due.

So, without further ado, let’s examine how to find out which form applies to you! Continue reading “Which tax form should I use: Form 1040, 1040NR or 1040NR-EZ?” »

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April 19, 2021

Nonresident aliens: Your guide to navigating the COVID-19 CARES Act Stimulus Payments

Updated: 19 April 2021

Note: In March 2021, the US government began distributing a third round of stimulus checks – worth $1,400. If you received this check, and you are not entitled to it, you will find the advice in this article useful!

You can also read more about the second pandemic stimulus payment (worth $600) here.

This article was originally published on 17 April 2020

What you need to know about the CARES Act

In response to the COVID-19 pandemic, the US government introduced the CARES (Coronavirus Aid, Relief and Economic Security) Act in April 2020.
Continue reading “Nonresident aliens: Your guide to navigating the COVID-19 CARES Act Stimulus Payments” »

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March 31, 2021

Your frequently asked nonresident tax questions answered

Here are the answers to some of the most frequently asked questions about U.S. taxes. Continue reading “Your frequently asked nonresident tax questions answered” »

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March 29, 2021

I have received a 1095 form. Should I include this on my tax return?

Which details from your 1095 and 1098 forms should you include on your tax return?

In March 2010, when President Obama signed the Affordable Care Act (ACA) into law, three new forms were introduced into the US tax system – 1095 A, B, and C.

The primary focus of these forms is to account for the healthcare coverage you purchased during the tax year.

However, if you are a nonresident in the US, you may be wondering why you received a 1095 form (especially when you consider that purchasing healthcare coverage through the Health Insurance Marketplace is not mandatory for nonresidents) and whether or not you can claim any benefits on your tax return.

The answer to this question very much depends on your personal circumstances and the type of form you received.

In this guide, we will cover everything you need to know about 1095 forms and how to file a compliant tax return. Continue reading “I have received a 1095 form. Should I include this on my tax return?” »

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January 14, 2021

What income is taxable for nonresident aliens in the US?

Are you a nonresident living in the US? We know it can be confusing to understand the tax system in your home country, let alone in a different one, so we are here to help explain what income is taxable for nonresidents in the US.

As a foreign national you can be subject to one of two different systems of taxation in the US, depending on whether you are classified as a nonresident or resident alien in the US.

If you are a nonresident alien, you are subject to US income tax only on your US source income and just like residents, you must report your income on US income tax returns.

In this guide, we are going to take a closer look at the various different types of income which are taxable in the US and outline our tips on managing your tax requirements.
Continue reading “What income is taxable for nonresident aliens in the US?” »

No Comments / Tax Tips / Kristina Valcheva
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July 28, 2020

Tax guide for summer camp counselors on J-1 visa

The camp counselor program allows you to share your culture and ideas while working in a camp setting in the US.

To take part in the camp counselor program, you need a J-1 cultural exchange visa. This visa allows non-immigrant aliens to temporarily live in the US to participate in the summer camp.

Generally, J-1 camp counselors are considered nonresidents for tax purposes. You must fill out important tax documents when you arrive at the camp, and your camp director can help you with this. Continue reading “Tax guide for summer camp counselors on J-1 visa” »

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July 8, 2020

Keep your tax records when Tax season is over. Here’s why

Here are the tax records you need to keep and how long you should keep them

When tax season ends it can feel like a big weight has been lifted off your shoulders – an opportunity to exhale and relax (until it all starts again next year that is!) But before you expel all tax topics completely from your mind, there is one final task you must complete.
Continue reading “Keep your tax records when Tax season is over. Here’s why” »

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June 10, 2020

Топ 5 ошибок, которые нерезиденты совершают в своих налоговых декларациях и как их избежать

Налог в США сложен, и при подаче налоговой декларации легко ошибиться.

Такие ошибки могут досадными и привести к задержкам как в обработке вашей налоговой декларации, так и в получении возврата налогов.

В этом руководстве мы выделим пять наиболее распространенных ошибок, допускаемых нерезидентами при подаче налоговой декларации, и дадим советы о том, как их избежать! Continue reading “Топ 5 ошибок, которые нерезиденты совершают в своих налоговых декларациях и как их избежать” »

No Comments / Resources in Russian / Stacy
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June 10, 2020

The top 5 mistakes nonresidents make on their tax returns and how to avoid them

(Updated for 2021)

US tax is tricky and it is easy to make a mistake when filing your tax return.

Such mistakes can be frustrating and lead to delays in both processing your tax return and retrieving your tax refund.

In this guide, we’ll highlight the five most common mistakes made by nonresidents while filing their tax return and provide top tips on how to avoid them! Continue reading “The top 5 mistakes nonresidents make on their tax returns and how to avoid them” »

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June 9, 2020

Your US Tax Residency Status Explained

Determining your tax residency status is important, as it will decide how much tax you must pay while in the US.

The most common mistake nonresidents make is filing their taxes as a resident. If a nonresident files as a resident they can claim benefits and receive refunds that they’re not entitled to. Incorrect filing breaks the terms and conditions of a nonresident visa, this can lead to fines and penalties and you may also jeopardise your future visa or green card applications.

In this article, we will discuss everything you need to know about your residency and how you can determine your residency status.
Continue reading “Your US Tax Residency Status Explained” »

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May 14, 2020

I filed as a resident in 2018. I have since left the US. I received the CARES payment. What should I do?

In response to the COVID-19 outbreak, the US government rolled out the emergency CARES (Coronavirus Aid, Relief and Economic Security) Act.

Essentially, it is a stimulus package which provides workers (earning less than $75,000 per year) with a one-time payment of $1,200.

The stimulus payment can only be claimed by US citizens, permanent residents and residents for tax purposes (individuals who can pass the Substantial Presence Test) who have a valid Social Security Number (SSN), who have filed their 2018 tax return (in 2019), or their 2019 return (in 2020) and who will be considered a qualifying resident alien for the 2020 tax year.

For more details on how US residency for tax purposes is determined, check out this blog post.
Continue reading “I filed as a resident in 2018. I have since left the US. I received the CARES payment. What should I do?” »

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April 16, 2020

COVID-19, the CARES payment and the tax deadline – all of your nonresident tax questions answered!

As a nonresident in the US, you probably have a lot of questions about tax.

That’s why, at Sprintax, we offer a 24/7 Live Chat service. Our team are available any time day or night to support you and answer all of your tax questions.

In this blog, we’ve compiled some of the most common tax questions that our team have received recently.
Continue reading “COVID-19, the CARES payment and the tax deadline – all of your nonresident tax questions answered!” »

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