Hi everyone,

I am a French citizen and I entered the US in December 2008 as a Research Scholar (J-1). I have been exempted of federal tax withholding for a while, by claiming benefits granted to researchers under the France/USA tax treaty.

Then I got married to a US citizen in April 2009 and I was granted the status of permanent resident (green card holder) in August 2009. At that point my employer told me I could not claim tax treaty benefits anymore (the exception to the saving clause of the France/USA tax treaty doe not apply tp green card holders) and they started withholding federal taxes for my paycheck until the end of my appointment (October 2009).

I am still living in the US and I am getting prepared for filing my first tax returns, and I have a few concerns regarding the federal taxes I have not paid when I was holding a J-1 visa.

My questions are the following:
1/ Can I file my US tax returns as a dual-status alien, or does the France/USA tax treaty definition of residency make me a US resident for tax purposes for the entire year 2009?
2/ If I am allowed to file my tax return as a dual-status alien, do I need to attach a completed form 8843 in order to claim federal tax exemption for the part of the year was a non-resident alien (J-1 visa holder)?
3/ If I am considered as a US resident for tax purposes for the entire year 2009, will I be asked to pay for the taxes that where not withhold when I was a J-1 scholar? (hope not.. I really cannot afford it)

Thank you in advance for your help!

Joseph

1. You are resident from August 2009 so you do not complete substantial presence test in 2009. You should file nonresident tax return and Form 8843. You will get treaty benefit on your income during J-1 that is before getting green card. Income after getting green card is taxable.
2. Or you can file joint return as residents. You will still claim treaty deduction for J-1 period. Claim deduction as negative income on line 21 of Form 1040 and write "French & US treaty deduction section... ).

Bonjour Joseph,

Je suis également francais arrivé en novembre 2007. J'ai demandé l'exemption de taxes et mon statut a changé en cours d'année. du coup je suis passé de non résident qui ne paye pas à résident au mois de novembre 2009. Sais tu ce qu'il en est dans ce cas la? Merci de toutes les infos que tu pourras me donner. Je regrette ma petite feuille d'impôts pré-remplie.
Merci

@Mustapha,

Thank you for your response which lets me think that I will be able to claim treaty benefits for the period I was not holding a green card, whether I choose to file my returns jointly or separately.

However, I do not understand when you say that I do not complete the substantial presence test in 2009, as I have been physically present in the USA for the entire year.
Does the substantial presence test only refer to the period I was green card holder?



@Bannou
Il m'est difficile de repondre a ta question, mais il semble qu'on soit sensiblement dans la meme situation, c'est a dire qu'on peut beneficier d'un double statut fiscal aux US (non-resident puis resident pour l'annee 2009). Je te conseille de lire la 'publication 519' dispo sur le site IRS, et plus particulierement le chapitre 6.