Hello All,

Can you all please answer the following..

1) I have NRE/NRO/FCNR/CD/MF/Stocks account in India. I am on L1 visa and no other income in India. Do I need to show all details during US tax file. What will happen if I do not show as those income is not USA source income?

2)Indian Bank already deduct tax in India on the above account as per India tax rules. Do I need to show them?

3) My relative who stays in gulf and they deposit money in my NRE account which is not taxable in both country (GULF & India). Do I need to show that amount as well?

Please suggest me... thanks in advance!

Regards,
GG

1. If you are filing resident tax return, you must report worldwide income that includes from accounts in India. You must report bank interest and stock sales (gain or loss).
2. If you paid taxes in the foreign country, you will claim credit for taxes paid in the foreign country by filing Form 1116
Another filing requirement is Form TD F 90-22.1. Your U.S. Tax Return: U.S. Citizen or Resident with Foreign Income (http://taxipay.blogspot.com/2008/03/us-citizen-or-resident-with-foreign.html)
3. Why did your relative deposit money in your NRE account? Is it a gift? If it is a gift, it is not taxable to you.

Sometime I work for his company in night... and he pay for that... so where I have to file tax? I do not bring that money to USA... and I am filing tax in india on that income.

Please shed your input...

Did you work in the U.S. in 2009? Your arrival and departure dates in the U.S.

Yes... I was in USA during 2009 calender . As I said I work from home from USA to foreign company sometime and they wire money to my NRE account. As per IRS if you are working for Foreign company who do not associate any business with US then IRS does not count that income. Moreover I pay tax on interest of that money in home country.

Please confirm...