Filing Your Taxes Online is Fast, Easy and Secure.
Start now and receive your tax refund in as little as 7 days.

1. Get Answers

Your online questions are customized to your unique tax situation.

2. Maximize your Refund

Find tax credits for everything from school tuition to buying a hybri

3. E-File for FREE

E-file free with direct deposit to get your refund in as few as 7 days.

Filing your taxes with paper mail can be difficult and it could take weeks for your refund to arrive. IRS e-file is easy, fast and secure. There is no paperwork going to the IRS so tax refunds can be processed in as little as 7 days with direct deposit. As you prepare your taxes online, you can see your tax refund in real time.

FREE audit support and representation from an enrolled agent – NEW and only from H&R Block

1040nr Turbotax

How Can I File My 2006 TaxesCan You E File An Amended 1040xBack Tax DebtH&r Block Tax CutForm 1040ezHow Do I Fill Out A 1040xIrs Forms 1040ez 2012Fill Out 1040xFederal Income Tax ExtensionMypay DfasAmend 2009 Tax Return OnlineTax Filing 2014File Taxes OnlineFed Tax Form 1040xState Tax Filing FormHow To File An Amended Tax Return For 2013Form 1040ez InstructionsFile Amended Tax Return 2012How To Amend Federal Income Tax ReturnFile Federal And State Taxes Free OnlineH&r Block Taxcut OnlineAmendment To 2010 Tax ReturnFree State Taxes Online2012 Form 1040xHow Do I File An Amended Tax ReturnFree E-file State Taxes1040ex FormHow Do I File An Amended Tax ReturnFree File AllianceAmended 1040x InstructionsWho Can File 1040ez1040x Irs FormH And R Block Free Filing1040a 2010 Tax Form2009 Tax Software2010 1040 Tax Form1040xformHow To File Taxes If UnemployedInternational Student Tax ReturnForm 1040ez Mailing Address

1040nr Turbotax

1040nr turbotax 3. 1040nr turbotax   Exclusions From Gross Income Table of Contents Introduction Topics - This chapter discusses: Useful Items - You may want to see: Resident AliensForeign Earned Income and Housing Amount Nonresident AliensInterest Income Dividend Income Services Performed for Foreign Employer Gambling Winnings From Dog or Horse Racing Gain From the Sale of Your Main Home Scholarships and Fellowship GrantsExpenses that do not qualify. 1040nr turbotax Introduction Resident and nonresident aliens are allowed exclusions from gross income if they meet certain conditions. 1040nr turbotax An exclusion from gross income is generally income you receive that is not included in your U. 1040nr turbotax S. 1040nr turbotax income and is not subject to U. 1040nr turbotax S. 1040nr turbotax tax. 1040nr turbotax This chapter covers some of the more common exclusions allowed to resident and nonresident aliens. 1040nr turbotax Topics - This chapter discusses: Nontaxable interest, Nontaxable dividends, Certain compensation paid by a foreign employer, Gain from sale of home, and Scholarships and fellowship grants. 1040nr turbotax Useful Items - You may want to see: Publication 54 Tax Guide for U. 1040nr turbotax S. 1040nr turbotax Citizens and Resident Aliens Abroad 523 Selling Your Home See chapter 12 for information about getting these publications. 1040nr turbotax Resident Aliens Resident aliens may be able to exclude the following items from their gross income. 1040nr turbotax Foreign Earned Income and Housing Amount If you are physically present in a foreign country or countries for at least 330 full days during any period of 12 consecutive months, you may qualify for the foreign earned income exclusion. 1040nr turbotax The exclusion is $97,600 in 2013. 1040nr turbotax In addition, you may be able to exclude or deduct certain foreign housing amounts. 1040nr turbotax You may also qualify if you are a bona fide resident of a foreign country and you are a citizen or national of a country with which the United States has an income tax treaty. 1040nr turbotax For more information, see Publication 54. 1040nr turbotax Foreign country. 1040nr turbotax    A foreign country is any territory under the sovereignty of a government other than that of the United States. 1040nr turbotax   The term “foreign country” includes the country's territorial waters and airspace, but not international waters and the airspace above them. 1040nr turbotax It also includes the seabed and subsoil of those submarine areas adjacent to the country's territorial waters over which it has exclusive rights under international law to explore and exploit the natural resources. 1040nr turbotax   The term “foreign country” does not include U. 1040nr turbotax S. 1040nr turbotax possessions or territories. 1040nr turbotax It does not include the Antarctic region. 1040nr turbotax Nonresident Aliens Nonresident aliens can exclude the following items from their gross income. 1040nr turbotax Interest Income Interest income that is not connected with a U. 1040nr turbotax S. 1040nr turbotax trade or business is excluded from income if it is from: Deposits (including certificates of deposit) with persons in the banking business, Deposits or withdrawable accounts with mutual savings banks, cooperative banks, credit unions, domestic building and loan associations, and other savings institutions chartered and supervised as savings and loan or similar associations under federal or state law (if the interest paid or credited can be deducted by the association), and Amounts held by an insurance company under an agreement to pay interest on them. 1040nr turbotax State and local government obligations. 1040nr turbotax   Interest on obligations of a state or political subdivision, the District of Columbia, or a U. 1040nr turbotax S. 1040nr turbotax possession, generally is not included in income. 1040nr turbotax However, interest on certain private activity bonds, arbitrage bonds, and certain bonds not in registered form is included in income. 1040nr turbotax Portfolio interest. 1040nr turbotax   Interest and original issue discount that qualifies as portfolio interest is not subject to NRA withholding. 1040nr turbotax To qualify as portfolio interest, the interest must be paid on obligations issued after July 18, 1984, and otherwise subject to NRA withholding. 1040nr turbotax Note. 1040nr turbotax For obligations issued after March 18, 2012, portfolio interest does not include interest paid on debt that is not in registered form. 1040nr turbotax Before March 19, 2012, portfolio interest included interest on certain registered and nonregistered (bearer) bonds if the obligations meet the requirements described below. 1040nr turbotax Obligations in registered form. 1040nr turbotax   Portfolio interest includes interest paid on an obligation that is in registered form, and for which you have received documentation that the beneficial owner of the obligation is not a United States person. 1040nr turbotax   Generally, an obligation is in registered form if: (i) the obligation is registered as to both principal and any stated interest with the issuer (or its agent) and any transfer of the obligation may be effected only by surrender of the old obligation and reissuance to the new holder; (ii) the right to principal and stated interest with respect to the obligation may be transferred only through a book entry system maintained by the issuer or its agent; or (iii) the obligation is registered as to both principal and stated interest with the issuer or its agent and can be transferred both by surrender and reissuance and through a book entry system. 1040nr turbotax   An obligation that would otherwise be considered to be in registered form is not considered to be in registered form as of a particular time if it can be converted at any time in the future into an obligation that is not in registered form. 1040nr turbotax For more information on whether obligations are considered to be in registered form, see Portfolio interest in Publication 515. 1040nr turbotax Obligations not in registered form. 1040nr turbotax    For obligations issued before March 19, 2012, interest on an obligation that is not in registered form (bearer obligation) is portfolio interest if the obligation is foreign-targeted. 1040nr turbotax A bearer obligation is foreign-targeted if: There are arrangements to ensure that the obligation will be sold, or resold in connection with the original issue, only to a person who is not a United States person, Interest on the obligation is payable only outside the United States and its possessions, and The face of the obligation contains a statement that any United States person who holds the obligation will be subject to limits under the United States income tax laws. 1040nr turbotax   Documentation is not required for interest on bearer obligations to qualify as portfolio interest. 1040nr turbotax In some cases, however, you may need documentation for purposes of Form 1099 reporting and backup withholding. 1040nr turbotax Interest that does not qualify as portfolio interest. 1040nr turbotax   Payments to certain persons and payments of contingent interest do not qualify as portfolio interest. 1040nr turbotax You must withhold at the statutory rate on such payments unless some other exception, such as a treaty provision, applies. 1040nr turbotax Contingent interest. 1040nr turbotax   Portfolio interest does not include contingent interest. 1040nr turbotax Contingent interest is either of the following: Interest that is determined by reference to: Any receipts, sales, or other cash flow of the debtor or related person, Income or profits of the debtor or related person, Any change in value of any property of the debtor or a related person, or Any dividend, partnership distributions, or similar payments made by the debtor or a related person. 1040nr turbotax For exceptions, see Internal Revenue Code section 871(h)(4)(C). 1040nr turbotax Any other type of contingent interest that is identified by the Secretary of the Treasury in regulations. 1040nr turbotax Related persons. 1040nr turbotax   Related persons include the following. 1040nr turbotax Members of a family, including only brothers, sisters, half-brothers, half-sisters, spouse, ancestors (parents, grandparents, etc. 1040nr turbotax ), and lineal descendants (children, grandchildren, etc. 1040nr turbotax ). 1040nr turbotax Any person who is a party to any arrangement undertaken for the purpose of avoiding the contingent interest rules. 1040nr turbotax Certain corporations, partnerships, and other entities. 1040nr turbotax For details, see Nondeductible Loss in chapter 2 of Publication 544. 1040nr turbotax Exception for existing debt. 1040nr turbotax   Contingent interest does not include interest paid or accrued on any debt with a fixed term that was issued: On or before April 7, 1993, or After April 7, 1993, pursuant to a written binding contract in effect on that date and at all times thereafter before that debt was issued. 1040nr turbotax Dividend Income The following dividend income is exempt from the 30% tax. 1040nr turbotax Certain dividends paid by foreign corporations. 1040nr turbotax   There is no 30% tax on U. 1040nr turbotax S. 1040nr turbotax source dividends you receive from a foreign corporation. 1040nr turbotax See Second exception under Dividends in chapter 2 for how to figure the amount of U. 1040nr turbotax S. 1040nr turbotax source dividends. 1040nr turbotax Certain interest-related dividends. 1040nr turbotax   There is no 30% tax on interest-related dividends from sources within the United States that you receive from a mutual fund or other regulated investment company in 2013. 1040nr turbotax The mutual fund will designate in writing which dividends are interest-related dividends. 1040nr turbotax Certain short-term capital gain dividends. 1040nr turbotax   There may not be any 30% tax on certain short-term capital gain dividends from sources within the United States that you receive from a mutual fund or other regulated investment company. 1040nr turbotax The mutual fund will designate in writing which dividends are short-term capital gain dividends. 1040nr turbotax This tax relief will not apply to you if you are present in the United States for 183 days or more during your tax year. 1040nr turbotax Services Performed for Foreign Employer If you were paid by a foreign employer, your U. 1040nr turbotax S. 1040nr turbotax source income may be exempt from U. 1040nr turbotax S. 1040nr turbotax tax, but only if you meet one of the situations discussed next. 1040nr turbotax Employees of foreign persons, organizations, or offices. 1040nr turbotax   Income for personal services performed in the United States as a nonresident alien is not considered to be from U. 1040nr turbotax S. 1040nr turbotax sources and is tax exempt if you meet all three of the following conditions. 1040nr turbotax You perform personal services as an employee of or under a contract with a nonresident alien individual, foreign partnership, or foreign corporation, not engaged in a trade or business in the United States; or you work for an office or place of business maintained in a foreign country or possession of the United States by a U. 1040nr turbotax S. 1040nr turbotax corporation, a U. 1040nr turbotax S. 1040nr turbotax partnership, or a U. 1040nr turbotax S. 1040nr turbotax citizen or resident. 1040nr turbotax You perform these services while you are a nonresident alien temporarily present in the United States for a period or periods of not more than a total of 90 days during the tax year. 1040nr turbotax Your pay for these services is not more than $3,000. 1040nr turbotax If you do not meet all three conditions, your income from personal services performed in the United States is U. 1040nr turbotax S. 1040nr turbotax source income and is taxed according to the rules in chapter 4. 1040nr turbotax   If your pay for these services is more than $3,000, the entire amount is income from a trade or business within the United States. 1040nr turbotax To find if your pay is more than $3,000, do not include any amounts you get from your employer for advances or reimbursements of business travel expenses, if you were required to and did account to your employer for those expenses. 1040nr turbotax If the advances or reimbursements are more than your expenses, include the excess in your pay for these services. 1040nr turbotax   A day means a calendar day during any part of which you are physically present in the United States. 1040nr turbotax Example 1. 1040nr turbotax During 2013, Henry Smythe, a nonresident alien from a nontreaty country, worked for an overseas office of a U. 1040nr turbotax S. 1040nr turbotax partnership. 1040nr turbotax Henry, who uses the calendar year as his tax year, was temporarily present in the United States for 60 days during 2013 performing personal services for the overseas office of the partnership. 1040nr turbotax That office paid him a total gross salary of $2,800 for those services. 1040nr turbotax During 2013, he was not engaged in a trade or business in the United States. 1040nr turbotax The salary is not considered U. 1040nr turbotax S. 1040nr turbotax source income and is exempt from U. 1040nr turbotax S. 1040nr turbotax tax. 1040nr turbotax Example 2. 1040nr turbotax The facts are the same as in Example 1, except that Henry's total gross salary for the services performed in the United States during 2013 was $4,500. 1040nr turbotax He received $2,875 in 2013, and $1,625 in 2014. 1040nr turbotax During 2013, he was engaged in a trade or business in the United States because the compensation for his personal services in the United States was more than $3,000. 1040nr turbotax Henry's salary is U. 1040nr turbotax S. 1040nr turbotax source income and is taxed under the rules in chapter 4. 1040nr turbotax Crew members. 1040nr turbotax   Compensation for services performed by a nonresident alien in connection with the individual's temporary presence in the United States as a regular crew member of a foreign vessel (for example, a boat or ship) engaged in transportation between the United States and a foreign country or U. 1040nr turbotax S. 1040nr turbotax possession is not U. 1040nr turbotax S. 1040nr turbotax source income and is exempt from U. 1040nr turbotax S. 1040nr turbotax tax. 1040nr turbotax This exemption does not apply to compensation for services performed on foreign aircraft. 1040nr turbotax Students and exchange visitors. 1040nr turbotax   Nonresident alien students and exchange visitors present in the United States under “F,” “J,” or “Q” visas can exclude from gross income pay received from a foreign employer. 1040nr turbotax   This group includes bona fide students, scholars, trainees, teachers, professors, research assistants, specialists, or leaders in a field of specialized knowledge or skill, or persons of similar description. 1040nr turbotax It also includes the alien's spouse and minor children if they come with the alien or come later to join the alien. 1040nr turbotax   A nonresident alien temporarily present in the United States under a “J” visa includes an alien individual entering the United States as an exchange visitor under the Mutual Educational and Cultural Exchange Act of 1961. 1040nr turbotax Foreign employer. 1040nr turbotax   A foreign employer is: A nonresident alien individual, foreign partnership, or foreign corporation, or An office or place of business maintained in a foreign country or in a U. 1040nr turbotax S. 1040nr turbotax possession by a U. 1040nr turbotax S. 1040nr turbotax corporation, a U. 1040nr turbotax S. 1040nr turbotax partnership, or an individual who is a U. 1040nr turbotax S. 1040nr turbotax citizen or resident. 1040nr turbotax   The term “foreign employer” does not include a foreign government. 1040nr turbotax Pay from a foreign government that is exempt from U. 1040nr turbotax S. 1040nr turbotax income tax is discussed in chapter 10. 1040nr turbotax Income from certain annuities. 1040nr turbotax   Do not include in income any annuity received under a qualified annuity plan or from a qualified trust exempt from U. 1040nr turbotax S. 1040nr turbotax income tax if you meet both of the following conditions. 1040nr turbotax You receive the annuity only because: You performed personal services outside the United States while you were a nonresident alien, or You performed personal services inside the United States while you were a nonresident alien and you met the three conditions, described earlier, under Employees of foreign persons, organizations, or offices . 1040nr turbotax At the time the first amount is paid as an annuity under the plan (or by the trust), 90% or more of the employees for whom contributions or benefits are provided under the annuity plan (or under the plan of which the trust is a part) are U. 1040nr turbotax S. 1040nr turbotax citizens or residents. 1040nr turbotax   If the annuity qualifies under condition (1) but not condition (2) above, you do not have to include the amount in income if: You are a resident of a country that gives a substantially equal exclusion to U. 1040nr turbotax S. 1040nr turbotax citizens and residents, or You are a resident of a beneficiary developing country under Title V of the Trade Act of 1974. 1040nr turbotax   If you are not sure whether the annuity is from a qualified annuity plan or qualified trust, ask the person who made the payment. 1040nr turbotax Income affected by treaties. 1040nr turbotax   Income of any kind that is exempt from U. 1040nr turbotax S. 1040nr turbotax tax under a treaty to which the United States is a party is excluded from your gross income. 1040nr turbotax Income on which the tax is only limited by treaty, however, is included in gross income. 1040nr turbotax See chapter 9. 1040nr turbotax Gambling Winnings From Dog or Horse Racing You can exclude from your gross income winnings from legal wagers initiated outside the United States in a parimutuel pool with respect to a live horse or dog race in the United States. 1040nr turbotax Gain From the Sale of Your Main Home If you sold your main home, you may be able to exclude up to $250,000 of the gain on the sale of your home. 1040nr turbotax If you are married and file a joint return, you may be able to exclude up to $500,000. 1040nr turbotax For information on the requirements for this exclusion, see Publication 523. 1040nr turbotax This exclusion does not apply to nonresident aliens who are subject to the expatriation tax rules discussed in chapter 4. 1040nr turbotax Scholarships and Fellowship Grants If you are a candidate for a degree, you may be able to exclude from your income part or all of the amounts you receive as a qualified scholarship. 1040nr turbotax The rules discussed here apply to both resident and nonresident aliens. 1040nr turbotax If a nonresident alien receives a grant that is not from U. 1040nr turbotax S. 1040nr turbotax sources, it is not subject to U. 1040nr turbotax S. 1040nr turbotax tax. 1040nr turbotax See Scholarships, Grants, Prizes, and Awards in chapter 2 to determine whether your grant is from U. 1040nr turbotax S. 1040nr turbotax sources. 1040nr turbotax A scholarship or fellowship is excludable from income only if: You are a candidate for a degree at an eligible educational institution, and You use the scholarship or fellowship to pay qualified education expenses. 1040nr turbotax Candidate for a degree. 1040nr turbotax   You are a candidate for a degree if you: Attend a primary or secondary school or are pursuing a degree at a college or university, or Attend an accredited educational institution that is authorized to provide: A program that is acceptable for full credit toward a bachelor's or higher degree, or A program of training to prepare students for gainful employment in a recognized occupation. 1040nr turbotax Eligible educational institution. 1040nr turbotax   An eligible educational institution is one that maintains a regular faculty and curriculum and normally has a regularly enrolled body of students in attendance at the place where it carries on its educational activities. 1040nr turbotax Qualified education expenses. 1040nr turbotax   These are expenses for: Tuition and fees required to enroll at or attend an eligible educational institution, and Course-related expenses, such as fees, books, supplies, and equipment that are required for the courses at the eligible educational institution. 1040nr turbotax These items must be required of all students in your course of instruction. 1040nr turbotax However, in order for these to be qualified education expenses, the terms of the scholarship or fellowship cannot require that it be used for other purposes, such as room and board, or specify that it cannot be used for tuition or course-related expenses. 1040nr turbotax Expenses that do not qualify. 1040nr turbotax   Qualified education expenses do not include the cost of: Room and board, Travel, Research, Clerical help, or Equipment and other expenses that are not required for enrollment in or attendance at an eligible educational institution. 1040nr turbotax This is true even if the fee must be paid to the institution as a condition of enrollment or attendance. 1040nr turbotax Scholarship or fellowship amounts used to pay these costs are taxable. 1040nr turbotax Amounts used to pay expenses that do not qualify. 1040nr turbotax   A scholarship amount used to pay any expense that does not qualify is taxable, even if the expense is a fee that must be paid to the institution as a condition of enrollment or attendance. 1040nr turbotax Payment for services. 1040nr turbotax   You cannot exclude from income the portion of any scholarship, fellowship, or tuition reduction that represents payment for past, present, or future teaching, research, or other services. 1040nr turbotax This is true even if all candidates for a degree are required to perform the services as a condition for receiving the degree. 1040nr turbotax Example. 1040nr turbotax On January 7, Maria Gomez is notified of a scholarship of $2,500 for the spring semester. 1040nr turbotax As a condition for receiving the scholarship, Maria must serve as a part-time teaching assistant. 1040nr turbotax Of the $2,500 scholarship, $1,000 represents payment for her services. 1040nr turbotax Assuming that Maria meets all other conditions, she can exclude no more than $1,500 from income as a qualified scholarship. 1040nr turbotax Prev  Up  Next   Home   More Online Publications
Print - Click this link to Print this page

Understanding your CP259H Notice

We sent you this notice because our records indicate you are a tax-exempt political organization and you did not file a required Form 990/990-EZ, Return of Organization Exempt From Income Tax.

Printable samples of this notice (PDF)

Tax publications you may find useful

How to get help

Calling the 1-800 number listed on the top right corner of your notice is the fastest way to get your questions answered.

You can also authorize someone (such as an accountant) to contact the IRS on your behalf using this Power of Attorney and Declaration of Representative (Form 2848).
 


What you need to do

  • Disregard this notice if you have filed the return within the last four weeks using the same name and EIN listed on the notice.
  • Otherwise, file your required Form 990 or Form 990-EZ immediately according to the instructions on the notice.
    • If you don't think you need to file, complete the Response form enclosed with your notice and mail it to us using the envelope provided.
    • If you filed more than four weeks ago or used a different name or EIN, complete the Response form enclosed with your notice and mail it to us in the envelope provided along with a signed and dated copy of the return.

You may want to...


Answers to Common Questions

Which political organizations must file a Form 990 or Form 990-EZ?
A tax-exempt political organization must file Form 990 or 990-EZ if it has gross receipts of $25,000 or more, unless excepted. A political organization that is a qualified state or local political organization must file Form 990 or 990-EZ only if it has gross receipts of $100,000 or more. Political organizations may not submit Form 990-N.

When is Form 990 or Form 990-EZ due?
Form 990 or 990-EZ is due by the 15th day of the 5th month after the end of the tax year. Thus, for a calendar year taxpayer, Form 990 or Form 990-EZ is due on May 15 of the following year. If any due date falls on a Saturday, Sunday or legal holiday, the organization can file the return on the next business day.

Can I get help over the phone?
If you have questions and/or need help completing the form, please call 1-877-829-5500. Personal assistance is available Monday through Friday, 7:00 a.m. to 7:00 p.m. CT.

Where can I go for more information about tax-exempt organizations?
For more information on tax-exempt organizations see Tax Information for Charities & Other Non-Profits.


Tips for next year

Review the political organization resources at Tax Information for Political Organizations.


Understanding your notice

Reading your notice
Your notice may look different from the sample because the information contained in your notice is tailored to your situation.

Notice CP259H, Page 1

Notice CP259H, Page 2

Notice CP259H, Page 3

Notice CP259H, Page 4

Page Last Reviewed or Updated: 29-Mar-2014

The 1040nr Turbotax

1040nr turbotax 1. 1040nr turbotax   Nonresident Alien or Resident Alien? Table of Contents Introduction Topics - This chapter discusses: Useful Items - You may want to see: Nonresident Aliens Resident AliensGreen Card Test Substantial Presence Test Effect of Tax Treaties Dual-Status AliensFirst Year of Residency Choosing Resident Alien Status Last Year of Residency Nonresident Spouse Treated as a ResidentHow To Make the Choice Aliens From American Samoa or Puerto Rico Introduction You should first determine whether, for income tax purposes, you are a nonresident alien or a resident alien. 1040nr turbotax If you are both a nonresident and resident in the same year, you have a dual status. 1040nr turbotax Dual status is explained later. 1040nr turbotax Also explained later are a choice to treat your nonresident spouse as a resident and some other special situations. 1040nr turbotax Topics - This chapter discusses: How to determine if you are a nonresident, resident, or dual-status alien, and How to treat a nonresident spouse as a resident alien. 1040nr turbotax Useful Items - You may want to see: Form (and Instructions) 1040 U. 1040nr turbotax S. 1040nr turbotax Individual Income Tax Return 1040A U. 1040nr turbotax S. 1040nr turbotax Individual Income Tax Return 1040NR U. 1040nr turbotax S. 1040nr turbotax Nonresident Alien Income Tax Return 8833 Treaty-Based Return Position Disclosure Under Section 6114 or 7701(b) 8840 Closer Connection Exception Statement for Aliens 8843 Statement for Exempt Individuals and Individuals With a Medical Condition See chapter 12 for information about getting these forms. 1040nr turbotax Nonresident Aliens If you are an alien (not a U. 1040nr turbotax S. 1040nr turbotax citizen), you are considered a nonresident alien unless you meet one of the two tests described next under Resident Aliens. 1040nr turbotax Resident Aliens You are a resident alien of the United States for tax purposes if you meet either the green card test or the substantial presence test for calendar year 2013 (January 1–December 31). 1040nr turbotax Even if you do not meet either of these tests, you may be able to choose to be treated as a U. 1040nr turbotax S. 1040nr turbotax resident for part of the year. 1040nr turbotax See First-Year Choice under Dual-Status Aliens, later. 1040nr turbotax Green Card Test You are a resident for tax purposes if you are a lawful permanent resident of the United States at any time during calendar year 2013. 1040nr turbotax (However, see Dual-Status Aliens , later. 1040nr turbotax ) This is known as the “green card” test. 1040nr turbotax You are a lawful permanent resident of the United States at any time if you have been given the privilege, according to the immigration laws, of residing permanently in the United States as an immigrant. 1040nr turbotax You generally have this status if the U. 1040nr turbotax S. 1040nr turbotax Citizenship and Immigration Services (USCIS) (or its predecessor organization) has issued you an alien registration card, also known as a “green card. 1040nr turbotax ” You continue to have resident status under this test unless the status is taken away from you or is administratively or judicially determined to have been abandoned. 1040nr turbotax Resident status taken away. 1040nr turbotax   Resident status is considered to have been taken away from you if the U. 1040nr turbotax S. 1040nr turbotax government issues you a final administrative or judicial order of exclusion or deportation. 1040nr turbotax A final judicial order is an order that you may no longer appeal to a higher court of competent jurisdiction. 1040nr turbotax Resident status abandoned. 1040nr turbotax   An administrative or judicial determination of abandonment of resident status may be initiated by you, the USCIS, or a U. 1040nr turbotax S. 1040nr turbotax consular officer. 1040nr turbotax    If you initiate the determination, your resident status is considered to be abandoned when you file either of the following with the USCIS or U. 1040nr turbotax S. 1040nr turbotax consular officer. 1040nr turbotax Your application for abandonment. 1040nr turbotax Your Alien Registration Receipt Card attached to a letter stating your intent to abandon your resident status. 1040nr turbotax You must file the letter by certified mail, return receipt requested. 1040nr turbotax You must keep a copy of the letter and proof that it was mailed and received. 1040nr turbotax    Until you have proof your letter was received, you remain a resident alien for tax purposes even if the USCIS would not recognize the validity of your green card because it is more than ten years old or because you have been absent from the United States for a period of time. 1040nr turbotax   If the USCIS or U. 1040nr turbotax S. 1040nr turbotax consular officer initiates this determination, your resident status will be considered to be abandoned when the final administrative order of abandonment is issued. 1040nr turbotax If you are granted an appeal to a federal court of competent jurisdiction, a final judicial order is required. 1040nr turbotax   Under U. 1040nr turbotax S. 1040nr turbotax immigration law, a lawful permanent resident who is required to file a tax return as a resident and fails to do so may be regarded as having abandoned status and may lose permanent resident status. 1040nr turbotax    A long-term resident who ceases to be a lawful permanent resident may be subject to special reporting requirements and tax provisions. 1040nr turbotax See Expatriation Tax in chapter 4. 1040nr turbotax Termination of residency after June 3, 2004, and before June 17, 2008. 1040nr turbotax   If you terminated your residency after June 3, 2004, and before June 17, 2008, you will still be considered a U. 1040nr turbotax S. 1040nr turbotax resident for tax purposes until you notify the Secretary of Homeland Security and file Form 8854, Initial and Annual Expatriation Statement. 1040nr turbotax Termination of residency after June 16, 2008. 1040nr turbotax   For information on your residency termination date, see Former long-term resident under Expatriation After June 16, 2008, in chapter 4. 1040nr turbotax Substantial Presence Test You will be considered a U. 1040nr turbotax S. 1040nr turbotax resident for tax purposes if you meet the substantial presence test for calendar year 2013. 1040nr turbotax To meet this test, you must be physically present in the United States on at least: 31 days during 2013, and 183 days during the 3-year period that includes 2013, 2012, and 2011, counting: All the days you were present in 2013, and 1/3 of the days you were present in 2012, and 1/6 of the days you were present in 2011. 1040nr turbotax Example. 1040nr turbotax You were physically present in the United States on 120 days in each of the years 2011, 2012, and 2013. 1040nr turbotax To determine if you meet the substantial presence test for 2013, count the full 120 days of presence in 2013, 40 days in 2012 (1/3 of 120), and 20 days in 2011 (1/6 of 120). 1040nr turbotax Because the total for the 3-year period is 180 days, you are not considered a resident under the substantial presence test for 2013. 1040nr turbotax The term United States includes the following areas. 1040nr turbotax All 50 states and the District of Columbia. 1040nr turbotax The territorial waters of the United States. 1040nr turbotax The seabed and subsoil of those submarine areas that are adjacent to U. 1040nr turbotax S. 1040nr turbotax territorial waters and over which the United States has exclusive rights under international law to explore and exploit natural resources. 1040nr turbotax The term does not include U. 1040nr turbotax S. 1040nr turbotax possessions and territories or U. 1040nr turbotax S. 1040nr turbotax airspace. 1040nr turbotax Days of Presence in the United States You are treated as present in the United States on any day you are physically present in the country at any time during the day. 1040nr turbotax However, there are exceptions to this rule. 1040nr turbotax Do not count the following as days of presence in the United States for the substantial presence test. 1040nr turbotax Days you commute to work in the United States from a residence in Canada or Mexico if you regularly commute from Canada or Mexico. 1040nr turbotax Days you are in the United States for less than 24 hours when you are in transit between two places outside the United States. 1040nr turbotax Days you are in the United States as a crew member of a foreign vessel. 1040nr turbotax Days you are unable to leave the United States because of a medical condition that arose while you are in the United States. 1040nr turbotax Days you are an exempt individual. 1040nr turbotax The specific rules that apply to each of these categories are discussed next. 1040nr turbotax Regular commuters from Canada or Mexico. 1040nr turbotax   Do not count the days on which you commute to work in the United States from your residence in Canada or Mexico if you regularly commute from Canada or Mexico. 1040nr turbotax You are considered to commute regularly if you commute to work in the United States on more than 75% of the workdays during your working period. 1040nr turbotax   For this purpose, “commute” means to travel to work and return to your residence within a 24-hour period. 1040nr turbotax “Workdays” are the days on which you work in the United States or Canada or Mexico. 1040nr turbotax “Working period” means the period beginning with the first day in the current year on which you are physically present in the United States to work and ending on the last day in the current year on which you are physically present in the United States to work. 1040nr turbotax If your work requires you to be present in the United States only on a seasonal or cyclical basis, your working period begins on the first day of the season or cycle on which you are present in the United States to work and ends on the last day of the season or cycle on which you are present in the United States to work. 1040nr turbotax You can have more than one working period in a calendar year, and your working period can begin in one calendar year and end in the following calendar year. 1040nr turbotax Example. 1040nr turbotax Maria Perez lives in Mexico and works for Compañía ABC in its office in Mexico. 1040nr turbotax She was assigned to her firm's office in the United States from February 1 through June 1. 1040nr turbotax On June 2, she resumed her employment in Mexico. 1040nr turbotax On 69 days, Maria commuted each morning from her home in Mexico to work in Compañía ABC's U. 1040nr turbotax S. 1040nr turbotax office. 1040nr turbotax She returned to her home in Mexico on each of those evenings. 1040nr turbotax On 7 days, she worked in her firm's Mexico office. 1040nr turbotax For purposes of the substantial presence test, Maria does not count the days she commuted to work in the United States because those days equal more than 75% of the workdays during the working period (69 workdays in the United States divided by 76 workdays in the working period equals 90. 1040nr turbotax 8%). 1040nr turbotax Days in transit. 1040nr turbotax   Do not count the days you are in the United States for less than 24 hours and you are in transit between two places outside the United States. 1040nr turbotax You are considered to be in transit if you engage in activities that are substantially related to completing travel to your foreign destination. 1040nr turbotax For example, if you travel between airports in the United States to change planes en route to your foreign destination, you are considered to be in transit. 1040nr turbotax However, you are not considered to be in transit if you attend a business meeting while in the United States. 1040nr turbotax This is true even if the meeting is held at the airport. 1040nr turbotax Crew members. 1040nr turbotax   Do not count the days you are temporarily present in the United States as a regular crew member of a foreign vessel (boat or ship) engaged in transportation between the United States and a foreign country or a U. 1040nr turbotax S. 1040nr turbotax possession. 1040nr turbotax However, this exception does not apply if you otherwise engage in any trade or business in the United States on those days. 1040nr turbotax Medical condition. 1040nr turbotax   Do not count the days you intended to leave, but could not leave the United States because of a medical condition or problem that arose while you were in the United States. 1040nr turbotax Whether you intended to leave the United States on a particular day is determined based on all the facts and circumstances. 1040nr turbotax For example, you may be able to establish that you intended to leave if your purpose for visiting the United States could be accomplished during a period that is not long enough to qualify you for the substantial presence test. 1040nr turbotax However, if you need an extended period of time to accomplish the purpose of your visit and that period would qualify you for the substantial presence test, you would not be able to establish an intent to leave the United States before the end of that extended period. 1040nr turbotax   In the case of an individual who is judged mentally incompetent, proof of intent to leave the United States can be determined by analyzing the individual's pattern of behavior before he or she was judged mentally incompetent. 1040nr turbotax   If you qualify to exclude days of presence because of a medical condition, you must file a fully completed Form 8843 with the IRS. 1040nr turbotax See Form 8843 , later. 1040nr turbotax   You cannot exclude any days of presence in the United States under the following circumstances. 1040nr turbotax You were initially prevented from leaving, were then able to leave, but remained in the United States beyond a reasonable period for making arrangements to leave. 1040nr turbotax You returned to the United States for treatment of a medical condition that arose during a prior stay. 1040nr turbotax The condition existed before your arrival in the United States and you were aware of the condition. 1040nr turbotax It does not matter whether you needed treatment for the condition when you entered the United States. 1040nr turbotax Exempt individual. 1040nr turbotax   Do not count days for which you are an exempt individual. 1040nr turbotax The term “exempt individual” does not refer to someone exempt from U. 1040nr turbotax S. 1040nr turbotax tax, but to anyone in the following categories. 1040nr turbotax An individual temporarily present in the United States as a foreign government-related individual under an “A” or “G” visa. 1040nr turbotax A teacher or trainee temporarily present in the United States under a “J” or “Q” visa, who substantially complies with the requirements of the visa. 1040nr turbotax 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. 1040nr turbotax A professional athlete temporarily in the United States to compete in a charitable sports event. 1040nr turbotax   The specific rules for each of these four categories (including any rules on the length of time you will be an exempt individual) are discussed next. 1040nr turbotax Foreign government-related individuals. 1040nr turbotax   A foreign government-related individual is an individual (or a member of the individual's immediate family) who is temporarily present in the United States: As a full-time employee of an international organization, By reason of diplomatic status, or By reason of a visa (other than a visa that grants lawful permanent residence) that the Secretary of the Treasury determines represents full-time diplomatic or consular status. 1040nr turbotax Note. 1040nr turbotax You are considered temporarily present in the United States regardless of the actual amount of time you are present in the United States. 1040nr turbotax    An international organization is any public international organization that the President of the United States has designated by Executive Order as being entitled to the privileges, exemptions, and immunities provided for in the International Organizations Act. 1040nr turbotax An individual is a full-time employee if his or her work schedule meets the organization's standard full-time work schedule. 1040nr turbotax   An individual is considered to have full-time diplomatic or consular status if he or she: Has been accredited by a foreign government that is recognized by the United States, Intends to engage primarily in official activities for that foreign government while in the United States, and Has been recognized by the President, Secretary of State, or a consular officer as being entitled to that status. 1040nr turbotax Note. 1040nr turbotax If you are present in the United States under an “A” or “G” visa you are considered a foreign government-related individual (with full-time diplomatic or consular status). 1040nr turbotax None of your days count for purposes of the substantial presence test. 1040nr turbotax   Members of the immediate family include the individual's spouse and unmarried children (whether by blood or adoption) but only if the spouse's or unmarried children's visa statuses are derived from and dependent on the exempt individual's visa classification. 1040nr turbotax Unmarried children are included only if they: Are under 21 years of age, Reside regularly in the exempt individual's household, and Are not members of another household. 1040nr turbotax Teachers and trainees. 1040nr turbotax   A teacher or trainee is an individual, other than a student, who is temporarily in the United States under a “J” or “Q” visa and substantially complies with the requirements of that visa. 1040nr turbotax You are considered to have substantially complied with the visa requirements if you have not engaged in activities that are prohibited by U. 1040nr turbotax S. 1040nr turbotax immigration laws and could result in the loss of your visa status. 1040nr turbotax   Also included are immediate family members of exempt teachers and trainees. 1040nr turbotax See the definition of immediate family, earlier, under Foreign government-related individuals . 1040nr turbotax   You will not be an exempt individual as a teacher or trainee in 2013 if you were exempt as a teacher, trainee, or student for any part of 2 of the 6 preceding calendar years. 1040nr turbotax However, you will be an exempt individual if all of the following conditions are met. 1040nr turbotax You were exempt as a teacher, trainee, or student for any part of 3 (or fewer) of the 6 preceding calendar years, A foreign employer paid all of your compensation during 2013, and A foreign employer paid all of your compensation during each of the preceding 6 years you were present in the United States as a teacher or trainee. 1040nr turbotax A foreign employer includes an office or place of business of an American entity in a foreign country or a U. 1040nr turbotax S. 1040nr turbotax possession. 1040nr turbotax   If you qualify to exclude days of presence as a teacher or trainee, you must file a fully completed Form 8843 with the IRS. 1040nr turbotax See Form 8843 , later. 1040nr turbotax Example. 1040nr turbotax Carla was temporarily in the United States during the year as a teacher on a “J” visa. 1040nr turbotax Her compensation for the year was paid by a foreign employer. 1040nr turbotax Carla was treated as an exempt teacher for the previous 2 years but her compensation was not paid by a foreign employer. 1040nr turbotax She will not be considered an exempt individual for the current year because she was exempt as a teacher for at least 2 of the past 6 years. 1040nr turbotax If her compensation for the past 2 years had been paid by a foreign employer, she would be an exempt individual for the current year. 1040nr turbotax Students. 1040nr turbotax   A student is any individual who is temporarily in the United States on an “F,” “J,” “M,” or “Q” visa and who substantially complies with the requirements of that visa. 1040nr turbotax You are considered to have substantially complied with the visa requirements if you have not engaged in activities that are prohibited by U. 1040nr turbotax S. 1040nr turbotax immigration laws and could result in the loss of your visa status. 1040nr turbotax   Also included are immediate family members of exempt students. 1040nr turbotax See the definition of immediate family, earlier, under Foreign government-related individuals . 1040nr turbotax   You will not be an exempt individual as a student in 2013 if you have been exempt as a teacher, trainee, or student for any part of more than 5 calendar years unless you meet both of the following requirements. 1040nr turbotax You establish that you do not intend to reside permanently in the United States. 1040nr turbotax You have substantially complied with the requirements of your visa. 1040nr turbotax The facts and circumstances to be considered in determining if you have demonstrated an intent to reside permanently in the United States include, but are not limited to, the following. 1040nr turbotax Whether you have maintained a closer connection to a foreign country (discussed later). 1040nr turbotax Whether you have taken affirmative steps to change your status from nonimmigrant to lawful permanent resident as discussed later under Closer Connection to a Foreign Country . 1040nr turbotax   If you qualify to exclude days of presence as a student, you must file a fully completed Form 8843 with the IRS. 1040nr turbotax See Form 8843 , later. 1040nr turbotax Professional athletes. 1040nr turbotax   A professional athlete who is temporarily in the United States to compete in a charitable sports event is an exempt individual. 1040nr turbotax A charitable sports event is one that meets the following conditions. 1040nr turbotax The main purpose is to benefit a qualified charitable organization. 1040nr turbotax The entire net proceeds go to charity. 1040nr turbotax Volunteers perform substantially all the work. 1040nr turbotax   In figuring the days of presence in the United States, you can exclude only the days on which you actually competed in a sports event. 1040nr turbotax You cannot exclude the days on which you were in the United States to practice for the event, to perform promotional or other activities related to the event, or to travel between events. 1040nr turbotax   If you qualify to exclude days of presence as a professional athlete, you must file a fully completed Form 8843 with the IRS. 1040nr turbotax See Form 8843 , next. 1040nr turbotax Form 8843. 1040nr turbotax   If you exclude days of presence in the United States because you fall into any of the following categories, you must file a fully completed Form 8843. 1040nr turbotax You were unable to leave the United States as planned because of a medical condition or problem. 1040nr turbotax You were temporarily in the United States as a teacher or trainee on a “J” or “Q” visa. 1040nr turbotax You were temporarily in the United States as a student on an “F,” “J,” “M,” or “Q” visa. 1040nr turbotax You were a professional athlete competing in a charitable sports event. 1040nr turbotax Attach Form 8843 to your 2013 income tax return. 1040nr turbotax If you do not have to file a return, send Form 8843 to the Department of the Treasury, Internal Revenue Service Center, Austin, TX 73301-0215, by the due date for filing Form 1040NR or Form 1040NR-EZ. 1040nr turbotax The due date for filing is discussed in chapter 7. 1040nr turbotax If you do not timely file Form 8843, you cannot exclude the days you were present in the United States as a professional athlete or because of a medical condition that arose while you were in the United States. 1040nr turbotax This does not apply if you can show by clear and convincing evidence that you took reasonable actions to become aware of the filing requirements and significant steps to comply with those requirements. 1040nr turbotax Closer Connection to a Foreign Country Even if you meet the substantial presence test, you can be treated as a nonresident alien if you: Are present in the United States for less than 183 days during the year, Maintain a tax home in a foreign country during the year, and Have a closer connection during the year to one foreign country in which you have a tax home than to the United States (unless you have a closer connection to two foreign countries, discussed next). 1040nr turbotax Closer connection to two foreign countries. 1040nr turbotax   You can demonstrate that you have a closer connection to two foreign countries (but not more than two) if you meet all of the following conditions. 1040nr turbotax You maintained a tax home beginning on the first day of the year in one foreign country. 1040nr turbotax You changed your tax home during the year to a second foreign country. 1040nr turbotax You continued to maintain your tax home in the second foreign country for the rest of the year. 1040nr turbotax You had a closer connection to each foreign country than to the United States for the period during which you maintained a tax home in that foreign country. 1040nr turbotax You are subject to tax as a resident under the tax laws of either foreign country for the entire year or subject to tax as a resident in both foreign countries for the period during which you maintained a tax home in each foreign country. 1040nr turbotax Tax home. 1040nr turbotax   Your tax home is the general area of your main place of business, employment, or post of duty, regardless of where you maintain your family home. 1040nr turbotax Your tax home is the place where you permanently or indefinitely work as an employee or a self-employed individual. 1040nr turbotax If you do not have a regular or main place of business because of the nature of your work, then your tax home is the place where you regularly live. 1040nr turbotax If you do not fit either of these categories, you are considered an itinerant and your tax home is wherever you work. 1040nr turbotax   For determining whether you have a closer connection to a foreign country, your tax home must also be in existence for the entire current year, and must be located in the same foreign country to which you are claiming to have a closer connection. 1040nr turbotax Foreign country. 1040nr turbotax   In determining whether you have a closer connection to a foreign country, the term “foreign country” means: Any territory under the sovereignty of the United Nations or a government other than that of the United States, The territorial waters of the foreign country (determined under U. 1040nr turbotax S. 1040nr turbotax law), The seabed and subsoil of those submarine areas which are adjacent to the territorial waters of the foreign country and over which the foreign country has exclusive rights under international law to explore and exploit natural resources, and Possessions and territories of the United States. 1040nr turbotax Establishing a closer connection. 1040nr turbotax   You will be considered to have a closer connection to a foreign country than the United States if you or the IRS establishes that you have maintained more significant contacts with the foreign country than with the United States. 1040nr turbotax In determining whether you have maintained more significant contacts with the foreign country than with the United States, the facts and circumstances to be considered include, but are not limited to, the following. 1040nr turbotax The country of residence you designate on forms and documents. 1040nr turbotax The types of official forms and documents you file, such as Form W-9, Form W-8BEN, or Form W-8ECI. 1040nr turbotax The location of: Your permanent home, Your family, Your personal belongings, such as cars, furniture, clothing, and jewelry, Your current social, political, cultural, professional, or religious affiliations, Your business activities (other than those that constitute your tax home), The jurisdiction in which you hold a driver's license, The jurisdiction in which you vote, and Charitable organizations to which you contribute. 1040nr turbotax It does not matter whether your permanent home is a house, an apartment, or a furnished room. 1040nr turbotax It also does not matter whether you rent or own it. 1040nr turbotax It is important, however, that your home be available at all times, continuously, and not solely for short stays. 1040nr turbotax When you cannot have a closer connection. 1040nr turbotax   You cannot claim you have a closer connection to a foreign country if either of the following applies: You personally applied, or took other steps during the year, to change your status to that of a permanent resident, or You had an application pending for adjustment of status during the current year. 1040nr turbotax Steps to change your status to that of a permanent resident include, but are not limited to, the filing of the following forms. 1040nr turbotax Form I-508, Waiver of Rights, Privileges, Exemptions and Immunities Form I-485, Application to Register Permanent Residence or Adjust Status Form I-130, Petition for Alien Relative, on your behalf Form I-140, Immigrant Petition for Alien Worker, on your behalf Form ETA-750, Application for Alien Employment Certification, on your behalf Form DS-230, Application for Immigrant Visa and Alien Registration Form 8840. 1040nr turbotax   You must attach a fully completed Form 8840 to your income tax return to claim you have a closer connection to a foreign country or countries. 1040nr turbotax   If you do not have to file a return, send the form to the Department of the Treasury, Internal Revenue Service Center, Austin, TX 73301-0215, by the due date for filing Form 1040NR or Form 1040NR-EZ. 1040nr turbotax The due date for filing is discussed later in chapter 7. 1040nr turbotax   If you do not timely file Form 8840, you cannot claim a closer connection to a foreign country or countries. 1040nr turbotax This does not apply if you can show by clear and convincing evidence that you took reasonable actions to become aware of the filing requirements and significant steps to comply with those requirements. 1040nr turbotax Effect of Tax Treaties The rules given here to determine if you are a U. 1040nr turbotax S. 1040nr turbotax resident do not override tax treaty definitions of residency. 1040nr turbotax If you are a dual-resident taxpayer, you can still claim the benefits under an income tax treaty. 1040nr turbotax A dual-resident taxpayer is one who is a resident of both the United States and another country under each country's tax laws. 1040nr turbotax The income tax treaty between the two countries must contain a provision that provides for resolution of conflicting claims of residence (tie-breaker rule). 1040nr turbotax If you are treated as a resident of a foreign country under a tax treaty, you are treated as a nonresident alien in figuring your U. 1040nr turbotax S. 1040nr turbotax income tax. 1040nr turbotax For purposes other than figuring your tax, you will be treated as a U. 1040nr turbotax S. 1040nr turbotax resident. 1040nr turbotax For example, the rules discussed here do not affect your residency time periods as discussed later under Dual-Status Aliens . 1040nr turbotax Information to be reported. 1040nr turbotax   If you are a dual-resident taxpayer and you claim treaty benefits, you must file a return by the due date (including extensions) using Form 1040NR or Form 1040NR-EZ, and compute your tax as a nonresident alien. 1040nr turbotax You must also attach a fully completed Form 8833 if you determine your residency under a tax treaty and receive payments or income items totaling more than $100,000. 1040nr turbotax You may also have to attach Form 8938 (discussed in chapter 7). 1040nr turbotax See Reporting Treaty Benefits Claimed in chapter 9 for more information on reporting treaty benefits. 1040nr turbotax Dual-Status Aliens You can be both a nonresident alien and a resident alien during the same tax year. 1040nr turbotax This usually occurs in the year you arrive in or depart from the United States. 1040nr turbotax Aliens who have dual status should see chapter 6 for information on filing a return for a dual-status tax year. 1040nr turbotax First Year of Residency If you are a U. 1040nr turbotax S. 1040nr turbotax resident for the calendar year, but you were not a U. 1040nr turbotax S. 1040nr turbotax resident at any time during the preceding calendar year, you are a U. 1040nr turbotax S. 1040nr turbotax resident only for the part of the calendar year that begins on the residency starting date. 1040nr turbotax You are a nonresident alien for the part of the year before that date. 1040nr turbotax Residency starting date under substantial presence test. 1040nr turbotax   If you meet the substantial presence test for a calendar year, your residency starting date is generally the first day you are present in the United States during that calendar year. 1040nr turbotax However, you do not have to count up to 10 days of actual presence in the United States if on those days you establish that: You had a closer connection to a foreign country than to the United States, and Your tax home was in that foreign country. 1040nr turbotax See Closer Connection to a Foreign Country , earlier. 1040nr turbotax   In determining whether you can exclude up to 10 days, the following rules apply. 1040nr turbotax You can exclude days from more than one period of presence as long as the total days in all periods are not more than 10. 1040nr turbotax You cannot exclude any days in a period of consecutive days of presence if all the days in that period cannot be excluded. 1040nr turbotax Although you can exclude up to 10 days of presence in determining your residency starting date, you must include those days when determining whether you meet the substantial presence test. 1040nr turbotax Example. 1040nr turbotax Ivan Ivanovich is a citizen of Russia. 1040nr turbotax He came to the United States for the first time on January 6, 2013, to attend a business meeting and returned to Russia on January 10, 2013. 1040nr turbotax His tax home remained in Russia. 1040nr turbotax On March 1, 2013, he moved to the United States and resided here for the rest of the year. 1040nr turbotax Ivan is able to establish a closer connection to Russia for the period January 6–10. 1040nr turbotax Thus, his residency starting date is March 1. 1040nr turbotax Statement required to exclude up to 10 days of presence. 1040nr turbotax   You must file a statement with the IRS if you are excluding up to 10 days of presence in the United States for purposes of your residency starting date. 1040nr turbotax You must sign and date this statement and include a declaration that it is made under penalties of perjury. 1040nr turbotax The statement must contain the following information (as applicable). 1040nr turbotax Your name, address, U. 1040nr turbotax S. 1040nr turbotax taxpayer identification number (if any), and U. 1040nr turbotax S. 1040nr turbotax visa number (if any). 1040nr turbotax Your passport number and the name of the country that issued your passport. 1040nr turbotax The tax year for which the statement applies. 1040nr turbotax The first day that you were present in the United States during the year. 1040nr turbotax The dates of the days you are excluding in figuring your first day of residency. 1040nr turbotax Sufficient facts to establish that you have maintained your tax home in and a closer connection to a foreign country during the period you are excluding. 1040nr turbotax   Attach the required statement to your income tax return. 1040nr turbotax If you are not required to file a return, send the statement to the Department of the Treasury, Internal Revenue Service Center, Austin, TX 73301-0215, on or before the due date for filing Form 1040NR or Form 1040NR-EZ. 1040nr turbotax The due date for filing is discussed in chapter 7. 1040nr turbotax   If you do not file the required statement as explained above, you cannot claim that you have a closer connection to a foreign country or countries. 1040nr turbotax Therefore, your first day of residency will be the first day you are present in the United States. 1040nr turbotax This does not apply if you can show by clear and convincing evidence that you took reasonable actions to become aware of the requirements for filing the statement and significant steps to comply with those requirements. 1040nr turbotax Residency starting date under green card test. 1040nr turbotax   If you meet the green card test at any time during a calendar year, but do not meet the substantial presence test for that year, your residency starting date is the first day in the calendar year on which you are present in the United States as a lawful permanent resident. 1040nr turbotax   If you meet both the substantial presence test and the green card test, your residency starting date is the earlier of the first day during the year you are present in the United States under the substantial presence test or as a lawful permanent resident. 1040nr turbotax Residency during the preceding year. 1040nr turbotax   If you were a U. 1040nr turbotax S. 1040nr turbotax resident during any part of the preceding calendar year and you are a U. 1040nr turbotax S. 1040nr turbotax resident for any part of the current year, you will be considered a U. 1040nr turbotax S. 1040nr turbotax resident at the beginning of the current year. 1040nr turbotax This applies whether you are a resident under the substantial presence test or green card test. 1040nr turbotax Example. 1040nr turbotax Robert Bach is a citizen of Switzerland. 1040nr turbotax He came to the United States as a U. 1040nr turbotax S. 1040nr turbotax resident for the first time on May 1, 2012, and remained until November 5, 2012, when he returned to Switzerland. 1040nr turbotax Robert came back to the United States on March 5, 2013, as a lawful permanent resident and still resides here. 1040nr turbotax In calendar year 2013, Robert's U. 1040nr turbotax S. 1040nr turbotax residency is deemed to begin on January 1, 2013, because he qualified as a resident in calendar year 2012. 1040nr turbotax First-Year Choice If you do not meet either the green card test or the substantial presence test for 2012 or 2013 and you did not choose to be treated as a resident for part of 2012, but you meet the substantial presence test for 2014, you can choose to be treated as a U. 1040nr turbotax S. 1040nr turbotax resident for part of 2013. 1040nr turbotax To make this choice, you must: Be present in the United States for at least 31 days in a row in 2013, and Be present in the United States for at least 75% of the number of days beginning with the first day of the 31-day period and ending with the last day of 2013. 1040nr turbotax For purposes of this 75% requirement, you can treat up to 5 days of absence from the United States as days of presence in the United States. 1040nr turbotax When counting the days of presence in (1) and (2) above, do not count the days you were in the United States under any of the exceptions discussed earlier under Days of Presence in the United States. 1040nr turbotax If you make the first-year choice, your residency starting date for 2013 is the first day of the earliest 31-day period (described in (1) above) that you use to qualify for the choice. 1040nr turbotax You are treated as a U. 1040nr turbotax S. 1040nr turbotax resident for the rest of the year. 1040nr turbotax If you are present for more than one 31-day period and you satisfy condition (2) above for each of those periods, your residency starting date is the first day of the first 31-day period. 1040nr turbotax If you are present for more than one 31-day period but you satisfy condition (2) above only for a later 31-day period, your residency starting date is the first day of the later 31-day period. 1040nr turbotax Note. 1040nr turbotax You do not have to be married to make this choice. 1040nr turbotax Example 1. 1040nr turbotax Juan DaSilva is a citizen of the Philippines. 1040nr turbotax He came to the United States for the first time on November 1, 2013, and was here on 31 consecutive days (from November 1 through December 1, 2013). 1040nr turbotax Juan returned to the Philippines on December 1 and came back to the United States on December 17, 2013. 1040nr turbotax He stayed in the United States for the rest of the year. 1040nr turbotax During 2014, Juan was a resident of the United States under the substantial presence test. 1040nr turbotax Juan can make the first-year choice for 2013 because he was in the United States in 2013 for a period of 31 days in a row (November 1 through December 1) and for at least 75% of the days following (and including) the first day of his 31-day period (46 total days of presence in the United States divided by 61 days in the period from November 1 through December 31 equals 75. 1040nr turbotax 4%). 1040nr turbotax If Juan makes the first-year choice, his residency starting date will be November 1, 2013. 1040nr turbotax Example 2. 1040nr turbotax The facts are the same as in Example 1, except that Juan was also absent from the United States on December 24, 25, 29, 30, and 31. 1040nr turbotax He can make the first-year choice for 2013 because up to 5 days of absence are considered days of presence for purposes of the 75% requirement. 1040nr turbotax Statement required to make the first-year choice for 2013. 1040nr turbotax   You must attach a statement to Form 1040 to make the first-year choice for 2013. 1040nr turbotax The statement must contain your name and address and specify the following. 1040nr turbotax That you are making the first-year choice for 2013. 1040nr turbotax That you were not a resident in 2012. 1040nr turbotax That you are a resident under the substantial presence test in 2014. 1040nr turbotax The number of days of presence in the United States during 2014. 1040nr turbotax The date or dates of your 31-day period of presence and the period of continuous presence in the United States during 2013. 1040nr turbotax The date or dates of absence from the United States during 2013 that you are treating as days of presence. 1040nr turbotax You cannot file Form 1040 or the statement until you meet the substantial presence test for 2014. 1040nr turbotax If you have not met the test for 2014 as of April 15, 2014, you can request an extension of time for filing your 2013 Form 1040 until a reasonable period after you have met that test. 1040nr turbotax To request an extension to file until October 15, 2014, use Form 4868, Application for Automatic Extension of Time To File U. 1040nr turbotax S. 1040nr turbotax Individual Income Tax Return. 1040nr turbotax You can file the paper form or use one of the electronic filing options explained in the Form 4868 instructions. 1040nr turbotax You should pay with this extension the amount of tax you expect to owe for 2013 figured as if you were a nonresident alien the entire year. 1040nr turbotax You can use Form 1040NR or Form 1040NR-EZ to figure the tax. 1040nr turbotax Enter the tax on Form 4868. 1040nr turbotax If you do not pay the tax due, you will be charged interest on any tax not paid by the regular due date of your return, and you may be charged a penalty on the late payment. 1040nr turbotax   Once you make the first-year choice, you may not revoke it without the approval of the Internal Revenue Service. 1040nr turbotax   If you do not follow the procedures discussed here for making the first-year choice, you will be treated as a nonresident alien for all of 2013. 1040nr turbotax However, this does not apply if you can show by clear and convincing evidence that you took reasonable actions to become aware of the filing procedures and significant steps to comply with the procedures. 1040nr turbotax Choosing Resident Alien Status If you are a dual-status alien, you can choose to be treated as a U. 1040nr turbotax S. 1040nr turbotax resident for the entire year if all of the following apply. 1040nr turbotax You were a nonresident alien at the beginning of the year. 1040nr turbotax You are a resident alien or U. 1040nr turbotax S. 1040nr turbotax citizen at the end of the year. 1040nr turbotax You are married to a U. 1040nr turbotax S. 1040nr turbotax citizen or resident alien at the end of the year. 1040nr turbotax Your spouse joins you in making the choice. 1040nr turbotax This includes situations in which both you and your spouse were nonresident aliens at the beginning of the tax year and both of you are resident aliens at the end of the tax year. 1040nr turbotax Note. 1040nr turbotax If you are single at the end of the year, you cannot make this choice. 1040nr turbotax If you make this choice, the following rules apply. 1040nr turbotax You and your spouse are treated as U. 1040nr turbotax S. 1040nr turbotax residents for the entire year for income tax purposes. 1040nr turbotax You and your spouse are taxed on worldwide income. 1040nr turbotax You and your spouse must file a joint return for the year of the choice. 1040nr turbotax Neither you nor your spouse can make this choice for any later tax year, even if you are separated, divorced, or remarried. 1040nr turbotax The special instructions and restrictions for dual-status taxpayers in chapter 6 do not apply to you. 1040nr turbotax Note. 1040nr turbotax A similar choice is available if, at the end of the tax year, one spouse is a nonresident alien and the other spouse is a U. 1040nr turbotax S. 1040nr turbotax citizen or resident. 1040nr turbotax See Nonresident Spouse Treated as a Resident , later. 1040nr turbotax If you previously made that choice and it is still in effect, you do not need to make the choice explained here. 1040nr turbotax Making the choice. 1040nr turbotax   You should attach a statement signed by both spouses to your joint return for the year of the choice. 1040nr turbotax The statement must contain the following information. 1040nr turbotax A declaration that you both qualify to make the choice and that you choose to be treated as U. 1040nr turbotax S. 1040nr turbotax residents for the entire tax year. 1040nr turbotax The name, address, and taxpayer identification number (SSN or ITIN) of each spouse. 1040nr turbotax (If one spouse died, include the name and address of the person who makes the choice for the deceased spouse. 1040nr turbotax )   You generally make this choice when you file your joint return. 1040nr turbotax However, you also can make the choice by filing Form 1040X, Amended U. 1040nr turbotax S. 1040nr turbotax Individual Income Tax Return. 1040nr turbotax Attach Form 1040, Form 1040A, or Form 1040EZ and print “Amended” across the top of the corrected return. 1040nr turbotax If you make the choice with an amended return, you and your spouse must also amend any returns that you may have filed after the year for which you made the choice. 1040nr turbotax   You generally must file the amended joint return within 3 years from the date you filed your original U. 1040nr turbotax S. 1040nr turbotax income tax return or 2 years from the date you paid your income tax for that year, whichever is later. 1040nr turbotax Last Year of Residency If you were a U. 1040nr turbotax S. 1040nr turbotax resident in 2013 but are not a U. 1040nr turbotax S. 1040nr turbotax resident during any part of 2014, you cease to be a U. 1040nr turbotax S. 1040nr turbotax resident on your residency termination date. 1040nr turbotax Your residency termination date is December 31, 2013, unless you qualify for an earlier date as discussed next. 1040nr turbotax Earlier residency termination date. 1040nr turbotax   You may qualify for a residency termination date that is earlier than December 31. 1040nr turbotax This date is: The last day in 2013 that you are physically present in the United States, if you met the substantial presence test, The first day in 2013 that you are no longer a lawful permanent resident of the United States, if you met the green card test, or The later of (1) or (2), if you met both tests. 1040nr turbotax You can use this date only if, for the remainder of 2013, your tax home was in a foreign country and you had a closer connection to that foreign country. 1040nr turbotax See Closer Connection to a Foreign Country , earlier. 1040nr turbotax    A long-term resident who ceases to be a lawful permanent resident may be subject to special reporting requirements and tax provisions. 1040nr turbotax See Expatriation Tax in chapter 4. 1040nr turbotax Termination of residency. 1040nr turbotax   For information on your residency termination date, see Former long-term resident under Expatriation After June 16, 2008, in chapter 4. 1040nr turbotax De minimis presence. 1040nr turbotax   If you are a U. 1040nr turbotax S. 1040nr turbotax resident because of the substantial presence test and you qualify to use the earlier residency termination date, you can exclude up to 10 days of actual presence in the United States in determining your residency termination date. 1040nr turbotax In determining whether you can exclude up to 10 days, the following rules apply. 1040nr turbotax You can exclude days from more than one period of presence as long as the total days in all periods are not more than 10. 1040nr turbotax You cannot exclude any days in a period of consecutive days of presence if all the days in that period cannot be excluded. 1040nr turbotax Although you can exclude up to 10 days of presence in determining your residency termination date, you must include those days when determining whether you meet the substantial presence test. 1040nr turbotax Example. 1040nr turbotax Lola Bovary is a citizen of Malta. 1040nr turbotax She came to the United States for the first time on March 1, 2013, and resided here until August 25, 2013. 1040nr turbotax On December 12, 2013, Lola came to the United States for vacation and stayed here until December 16, 2013, when she returned to Malta. 1040nr turbotax She is able to establish a closer connection to Malta for the period December 12–16. 1040nr turbotax Lola is not a U. 1040nr turbotax S. 1040nr turbotax resident for tax purposes during 2014 and can establish a closer connection to Malta for the rest of calendar year 2013. 1040nr turbotax Lola is a U. 1040nr turbotax S. 1040nr turbotax resident under the substantial presence test for 2013 because she was present in the United States for 183 days (178 days for the period March 1 to August 25 plus 5 days in December). 1040nr turbotax Lola's residency termination date is August 25, 2013. 1040nr turbotax Residency during the next year. 1040nr turbotax   If you are a U. 1040nr turbotax S. 1040nr turbotax resident during any part of 2014 and you are a resident during any part of 2013, you will be treated as a resident through the end of 2013. 1040nr turbotax This applies whether you have a closer connection to a foreign country than the United States during 2013, and whether you are a resident under the substantial presence test or green card test. 1040nr turbotax Statement required to establish your residency termination date. 1040nr turbotax   You must file a statement with the IRS to establish your residency termination date. 1040nr turbotax You must sign and date this statement and include a declaration that it is made under penalties of perjury. 1040nr turbotax The statement must contain the following information (as applicable). 1040nr turbotax Your name, address, U. 1040nr turbotax S. 1040nr turbotax taxpayer identification number (if any), and U. 1040nr turbotax S. 1040nr turbotax visa number (if any). 1040nr turbotax Your passport number and the name of the country that issued your passport. 1040nr turbotax The tax year for which the statement applies. 1040nr turbotax The last day that you were present in the United States during the year. 1040nr turbotax Sufficient facts to establish that you have maintained your tax home in, and that you have a closer connection to, a foreign country following your last day of presence in the United States during the year or following the abandonment or rescission of your status as a lawful permanent resident during the year. 1040nr turbotax The date that your status as a lawful permanent resident was abandoned or rescinded. 1040nr turbotax Sufficient facts (including copies of relevant documents) to establish that your status as a lawful permanent resident has been abandoned or rescinded. 1040nr turbotax If you can exclude days under the de minimis presence rule, discussed earlier, include the dates of the days you are excluding and sufficient facts to establish that you have maintained your tax home in and that you have a closer connection to a foreign country during the period you are excluding. 1040nr turbotax   Attach the required statement to your income tax return. 1040nr turbotax If you are not required to file a return, send the statement to the Department of the Treasury, Internal Revenue Service Center, Austin, TX 73301-0215, on or before the due date for filing Form 1040NR or Form 1040NR-EZ. 1040nr turbotax The due date for filing is discussed in chapter 7. 1040nr turbotax   If you do not file the required statement as explained above, you cannot claim that you have a closer connection to a foreign country or countries. 1040nr turbotax This does not apply if you can show by clear and convincing evidence that you took reasonable actions to become aware of the requirements for filing the statement and significant steps to comply with those requirements. 1040nr turbotax Nonresident Spouse Treated as a Resident If, at the end of your tax year, you are married and one spouse is a U. 1040nr turbotax S. 1040nr turbotax citizen or a resident alien and the other spouse is a nonresident alien, you can choose to treat the nonresident spouse as a U. 1040nr turbotax S. 1040nr turbotax resident. 1040nr turbotax This includes situations in which one spouse is a nonresident alien at the beginning of the tax year, but a resident alien at the end of the year, and the other spouse is a nonresident alien at the end of the year. 1040nr turbotax If you make this choice, you and your spouse are treated for income tax purposes as residents for your entire tax year. 1040nr turbotax Neither you nor your spouse can claim under any tax treaty not to be a U. 1040nr turbotax S. 1040nr turbotax resident. 1040nr turbotax You are both taxed on worldwide income. 1040nr turbotax You must file a joint income tax return for the year you make the choice, but you and your spouse can file joint or separate returns in later years. 1040nr turbotax If you file a joint return under this provision, the special instructions and restrictions for dual-status taxpayers in chapter 6 do not apply to you. 1040nr turbotax Example. 1040nr turbotax Bob and Sharon Williams are married and both are nonresident aliens at the beginning of the year. 1040nr turbotax In June, Bob became a resident alien and remained a resident for the rest of the year. 1040nr turbotax Bob and Sharon both choose to be treated as resident aliens by attaching a statement to their joint return. 1040nr turbotax Bob and Sharon must file a joint return for the year they make the choice, but they can file either joint or separate returns for later years. 1040nr turbotax How To Make the Choice Attach a statement, signed by both spouses, to your joint return for the first tax year for which the choice applies. 1040nr turbotax It should contain the following information. 1040nr turbotax A declaration that one spouse was a nonresident alien and the other spouse a U. 1040nr turbotax S. 1040nr turbotax citizen or resident alien on the last day of your tax year, and that you choose to be treated as U. 1040nr turbotax S. 1040nr turbotax residents for the entire tax year. 1040nr turbotax The name, address, and identification number of each spouse. 1040nr turbotax (If one spouse died, include the name and address of the person making the choice for the deceased spouse. 1040nr turbotax ) Amended return. 1040nr turbotax   You generally make this choice when you file your joint return. 1040nr turbotax However, you can also make the choice by filing a joint amended return on Form 1040X. 1040nr turbotax Attach Form 1040, Form 1040A, or Form 1040EZ and print “Amended” across the top of the corrected return. 1040nr turbotax If you make the choice with an amended return, you and your spouse must also amend any returns that you may have filed after the year for which you made the choice. 1040nr turbotax   You generally must file the amended joint return within 3 years from the date you filed your original U. 1040nr turbotax S. 1040nr turbotax income tax return or 2 years from the date you paid your income tax for that year, whichever is later. 1040nr turbotax Suspending the Choice The choice to be treated as a resident alien is suspended for any tax year (after the tax year you made the choice) if neither spouse is a U. 1040nr turbotax S. 1040nr turbotax citizen or resident alien at any time during the tax year. 1040nr turbotax This means each spouse must file a separate return as a nonresident alien for that year if either meets the filing requirements for nonresident aliens discussed in chapter 7. 1040nr turbotax Example. 1040nr turbotax Dick Brown was a resident alien on December 31, 2010, and married to Judy, a nonresident alien. 1040nr turbotax They chose to treat Judy as a resident alien and filed joint 2010 and 2011 income tax returns. 1040nr turbotax On January 10, 2012, Dick became a nonresident alien. 1040nr turbotax Judy had remained a nonresident alien throughout the period. 1040nr turbotax Dick and Judy could have filed joint or separate returns for 2012 because Dick was a resident alien for part of that year. 1040nr turbotax However, because neither Dick nor Judy is a resident alien at any time during 2013, their choice is suspended for that year. 1040nr turbotax If either meets the filing requirements for nonresident aliens discussed in chapter 7, they must file separate returns as nonresident aliens for 2013. 1040nr turbotax If Dick becomes a resident alien again in 2014, their choice is no longer suspended. 1040nr turbotax Ending the Choice Once made, the choice to be treated as a resident applies to all later years unless suspended (as explained earlier under Suspending the Choice ) or ended in one of the following ways. 1040nr turbotax If the choice is ended in one of the following ways, neither spouse can make this choice in any later tax year. 1040nr turbotax Revocation. 1040nr turbotax Either spouse can revoke the choice for any tax year, provided he or she makes the revocation by the due date for filing the tax return for that tax year. 1040nr turbotax The spouse who revokes the choice must attach a signed statement declaring that the choice is being revoked. 1040nr turbotax The statement must include the name, address, and identification number of each spouse. 1040nr turbotax (If one spouse dies, include the name and address of the person who is revoking the choice for the deceased spouse. 1040nr turbotax ) The statement also must include a list of any states, foreign countries, and possessions that have community property laws in which either spouse is domiciled or where real property is located from which either spouse receives income. 1040nr turbotax File the statement as follows. 1040nr turbotax If the spouse revoking the choice must file a return, attach the statement to the return for the first year the revocation applies. 1040nr turbotax If the spouse revoking the choice does not have to file a return, but does file a return (for example, to obtain a refund), attach the statement to the return. 1040nr turbotax If the spouse revoking the choice does not have to file a return and does not file a claim for refund, send the statement to the Internal Revenue Service Center where you filed the last joint return. 1040nr turbotax Death. 1040nr turbotax The death of either spouse ends the choice, beginning with the first tax year following the year the spouse died. 1040nr turbotax However, if the surviving spouse is a U. 1040nr turbotax S. 1040nr turbotax citizen or resident and is entitled to the joint tax rates as a surviving spouse, the choice will not end until the close of the last year for which these joint rates may be used. 1040nr turbotax If both spouses die in the same tax year, the choice ends on the first day after the close of the tax year in which the spouses died. 1040nr turbotax Legal separation. 1040nr turbotax A legal separation under a decree of divorce or separate maintenance ends the choice as of the beginning of the tax year in which the legal separation occurs. 1040nr turbotax Inadequate records. 1040nr turbotax The Internal Revenue Service can end the choice for any tax year that either spouse has failed to keep adequate books, records, and other information necessary to determine the correct income tax liability, or to provide adequate access to those records. 1040nr turbotax Aliens From American Samoa or Puerto Rico If you are a nonresident alien in the United States and a bona fide resident of American Samoa or Puerto Rico during the entire tax year, you are taxed, with certain exceptions, according to the rules for resident aliens of the United States. 1040nr turbotax For more information, see Bona Fide Residents of American Samoa or Puerto Rico in chapter 5. 1040nr turbotax If you are a nonresident alien from American Samoa or Puerto Rico who does not qualify as a bona fide resident of American Samoa or Puerto Rico for the entire tax year, you are taxed as a nonresident alien. 1040nr turbotax Resident aliens who formerly were bona fide residents of American Samoa or Puerto Rico are taxed according to the rules for resident aliens. 1040nr turbotax Prev  Up  Next   Home   More Online Publications