[srivatsann]

Hi

I am Green Card Holder. I got it in 2010. From 2012, I have been living outside the United States. So I don't qualify as a Long Term Resident.

I am thinking of abandoning my green card. Since I am not LTR, do I have to file Form 8854?

Regards
Sri

[AtlantaTaxExpert]

No; Form 8854 is NOT required.

All you would file is a final tax return with a Residency Termination Statement in the year you surrender the green card.

Note that until you DO surrender that green card, an annual tax return IS required irrespective of your physical location.

[srivatsann]

Thanks AtlantaTaxExpert.

1) Let us assume that I abandon green card but my wife does not. I think I can still file 1040 declaring myself as a "Non-resident spouse treated as resident" and declaring my global income. Am I right?

2) One of my friends green card was taken away in 2014 when he visited US as he has been residing outside US. He was non-LTR. He did not file Residency Termination statement along with his 2014 1040 return. Can he file an amendment and send the statement or is there a way to just send the statement without amendment 1040x?

Thanks in advance
Sri

[AtlantaTaxExpert]

1) Correct.

2) The Residency Termination Statement can be mailed by itself. In fact, most such statements ARE mailed by themselves.

[srivatsann]

Thanks again AtlantaTaxExpert.

Sri

[AtlantaTaxExpert]

Glad to help!

[srivatsann]

Hi ATE,

My friend had filed Termination of Residency statement since he had green card for less than 8 years before abandoning it. However, IRS has asked him to file 8854 as well. It is confusing as the instructions for 8854 clearly says otherwise. What do you think?

Regards
Sri

[AtlantaTaxExpert]

You probably got a standard computer-generated letter, which I would have to see to properly evaluate your requirements.

If you want to send me the letter, email it to me using the email address on my profile.

[srivatsann]

Thanks ATE. I have asked my friend to contact you.

Regards
Sri