[sebastmorin]

Good morning,


We are French, I have a L1 Visa and my wife a L2 Visa. We arrived to United States on November, 08, 2006 and I must file a tax return because of my income between the 11/08/2006 and 12/31/2006. For information my wife didn't work and doesn't have SSN.

I went to the IRS web site and I read all the "Publication 519 (2006), U.S. Tax Guide for Aliens". Then I have some conclusion / question, and I will appreciate a lot if you could confirm me these informations :


1- US income Tax :

a- According to my situation in 2006 and this publication, my status is Non-Resident alien for U.S. 2006 tax purposes. But I agree, for the tax return 2007 that I will file in 2008, my status will be Resident Alien. (see page 5)

b- I could be treated as a U.S. Resident for part of 2006 according to the Dual-Status Aliens and more precisely the "First-Year Choice". I should write a statement with different specifications and demonstrate that I'm a resident under the substantial presence test in 2007. But I have not met the test for 2007 as of April 17, 2007, and I must request an extension of time for filing my 2006 Form 1040 --> Too difficult and complicate for me right now!! (for information see page 8 & 9)

c- It means that I must file a Form 1040-NR (U.S. Nonresident Alien Income tax Return) but I can not use a Form 1040-NR-EZ because I had interest income from my bank in 2006. Also, can I use this Form 1040-NR for my wife and me (together) according to the fact that she didn't work in 2006 and she doesn't have a social security number. (for information see page 39 & 40)



2- Social security and Medicare Taxes :

I read that "The United States has entered into social security agreements with foreign countries to coordinate social security coverage and taxation of workers employed for part or all of their working careers in on of the countries. These agreement are commonly referred to as totalization agreements. Under tese agreements, dual coverage and dual contributions (taxes) for the same work are eliminated. The agreements generally make sur that social security taxes are paid only to one country". Agreements are in effect with mine : France. (for information see page 48).

Should I or my company request a statement that my wages are not covered by the U.S. social security system. But my problem is that I don't know if French company continue to pay French Social Security Tax for me.

For information I don't pay any Social Security Tax and Medicare. Is it normal according to my Visa L1.


I know that there are lots of question but in advance, I would like to thank you.



Sébastien MORIN

[AtlantaTaxExpert]

Sebastian:

If you file as a non-resident alien, you CANNOT claim your wife as a dependent, nor can you file JOINTLY with her.

The totalization agreement means that only ONE country will withhold SS taxes, and the taxes withheld will be credited in the home country's Social Security System.