How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit...

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How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return

Transcript of How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit...

Page 1: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

How To Claim A Tax Treaty Benefit

When Filing A Resident Tax Return

Page 2: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

Before beginning your tax return please check your GLACIER record to ensure that you are correctly filing as a resident.

Page 3: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

If you have received a form 1042-2, please

have it with you.

You can claim the tax treaty benefit without

the 1042-S only if you did not claim any of

the treaty benefit during the year.

If you’ve already claimed the treaty through

your employer, you must have the 1042-S.

Page 4: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

Tax Preparation

Complete your resident return using

whatever method you choose…

Resident Tax Prep software do not

correctly handle tax treaties.

◦ You can use them but cannot file electronically.

◦ If you use tax prep software:

Print your Tax Forms

Make the Treaty Adjustments

Mail the forms to the IRS

Page 5: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

Enter any income that was reported on your W-2, 1042-S or 1099 on the correct line of your

Form 1040.

◦ Example: line 7 for wages, salaries scholarships & fellowships.

◦ http://www.irs.gov/pub/irs-pdf/p519.pdf

Page 6: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

Enter the amount of claimed treaty benefits in

(parentheses) on 1040, line 21.

Write “Exempt Income,” country name and treaty article.

Treaty articles are found at: http://www.irs.gov/pub/irs-

pdf/p4011.pdf

Page 7: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

On Form 1040, subtract this amount from your income to

arrive at total income on Form 1040, line 22.

You will then make the subsequent calculations as instructed

on the form 1040.

Page 8: How To Claim A Tax Treaty Benefit When Filing A Resident ... · How To Claim A Tax Treaty Benefit When Filing A Resident Tax Return. ... On Form 1040, ... How To Claim A Tax Treaty

Include a copy of your 1042-S (if applicable) with

your tax return when you mail it to the IRS.