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View Full Version : Should B1 stay be counted for Residency Status along with L1 ?


Ritz009
Nov 18, 2010, 01:13 PM
These are my travel records -
Visa Type Days Start Date End Date
Visa B1 32 16-Mar-10 17-Apr-10
Visa L1 166 18-Jul-10 31-Dec-10

Now my company is telling me that I have more than 183 days in US so I am US resident and liable to pay taxes.
Please confirm that B1 visa stay is also counted towards residency calculation.

Its going to cost me like 5grands if I don't get back tax refund :(

Thanks
Ritz

AtlantaTaxExpert
Nov 19, 2010, 08:13 AM
Ritz009:

You are NOT resident for the entire year, just for last half, which makes you a dual-status alien, thus requiring that you file a dual-status return.

The dual-status return is not for amateurs!! Get professional help filing such a return.

Now, if you are married, you have the option of filing jointly with your spouse and CHOOSING to be treated as resident alien for all of 2010. That will require you claim ALL world-wide income on your U.S. return, but you can claim the Foreign Tax Credit (Form 1116) to avoid double taxation of your income in your home country.

If you need professional help, contact me at [email protected].

Ritz009
Nov 19, 2010, 09:06 PM
In simple words, if I do what you say and how you say, will I get those 5k back ?

MukatA
Nov 19, 2010, 09:48 PM
If you are not married, you will file dual status tax return. You are nonresident up to March 15th and resident after that.
During resident period, you must report worldwide income.
On your L1 income you will pay Social Security tax, Medicare tax and income taxes. Income taxes depend upon your total income.

AtlantaTaxExpert
Nov 21, 2010, 05:30 PM
You have not provided any salary or withholding information, so I cannot tell how much you will get back.