[azzira]

Im not quiet sure if I had to declare my rental income for 2011. Would it affect me in anyway when I declare it for 2012? I also get child support income and centrelink. Would that affect my payments?

[ebaines]

If you have rental income in 2010 you should have reported it on your 2010 tax return. When you report your 2011 income and include this rental income on Schedule E and deduct depreciation as an expense you will have to complete form 4562, and from that the IRS will determine that you failed to properly report your income on last year's return.

My advice is to file an amended return for 2010 and declare the income correctly. If you had a profit from your rental in 2010 you will end up having to pay interest for late tax payment but that's preferable to waiting for the IRS to catch up with you.

This applies to US taxes you may owe - since you mention "centrelink" I wonder if in fact you are an Australian citizen with a US-based rental property?

[azzira]

Im not quiet sure what a US Based rental property is?

Im now separated, but I told my husband to declare it for 2011 tax return. But didn't find out until I've lodged my tax return that he could only declare half, so I didn't think it was a problem until I started thinking some more.
So dose that mean il be fined? Or dose that just mean il have to pay back a fee?

[ebaines]

Im not quiet sure what a US Based rental property is?

I meant propety that you own and rent out in the US - I stated it that way because I thought you might actually not be a US resident since you mentioned "centrelink." So first - please confirm that either (a) you are asking about rental property you own in the US, or (b) you are a US resident.

Im now seperated, but i told my husband to declare it for 2011 tax return. But didnt find out until iv lodged my tax return that he could only declare half, so i didnt think it was a problem until i started thinking some more.
So dose that mean il be fined? Or dose that just mean il have to pay back a fee?

Can you please clarify that you are talking about your 2010 tax return, not your 2011 return? After all 2011 isn't over yet and your 2011 return isn't due to be filed until April 2012.

On your 2010 return did you file as Married filing Separately? If so, and if you are a joint owner of the rental property together with your husband, then yes - you should report your share of rental income and expenses on your return. Again - file an amended return and you will have to pay a modest amount of interest for late payment of taxes.

[azzira]

Im talking about the 2011 tax returns. And yes I'm pretty sure my husband filed it as separate. Im gessing that's why he could only claim half.

I am not a US resident nor do I have a property in the US.
Im Australian and my property is in Perth.
Would your answer be any different?
Who should I talk to or how do I file for an amended return?

[AtlantaTaxExpert]

Azzira:

This forum addresses exclusively U.S. tax issues; the advice below does NOT include any Australian tax obligations.

That said, if you were once in the United States, but have separated from your husband and since returned to Australia, then you have NO OBLIGATION to file a U.S. tax return if you have NO U.S.-sourced income.

If you file jointly with your husband (an option since you are still married), then (and only then) would you be obligated to declare the rental income on the JOINT U.S. tax return.

If you file separately and spent part of the time in the U.S. and part of the time in Australia in 2011, you would file a dual-status return, in which case the rental income received while you were in the United States would be reportable on the resident portion of the dual-status.

Note that the dual-status return is NOT for amateurs; if you determine that a dual-status return is required, get professional help to file it.

If you need professional help filing your return, email me at [email protected].