Filing US taxes (1040 Form) with Thai tax documents

[garet]

Has anyone here had any issues filing US taxes with the 1040 form with Thai tax documents?

 

In 2023, I was in the USA for more than 31 days, so now I have to file the standard 1040 form (instead of Form 2555) and submit the Thai equivalent to the W2 form (I think it’s the 91 form) which is all in Thai.

 

It would be good to hear any of your experiences if you’ve had to do this. I know I also need to complete FBAR for my Thai bank account.

Do I need anything else?

[Smokin Joe]

To file a 2555 the number of days you can be in the US is 35, not 31. But assuming you were over 35 days in the US you would probably need to file Form 1116 to claim the foreign tax credit along with the 1040.

 

When I worked in Laos all I received at the end of the year was an annual pay statement from the company I worked for. It stated how much I was paid for the year and how much of my pay was deducted for Lao tax. My accountant used that to file my 1040, 1116, and 2555 forms. I had other US earned income so I had to file a 1040 every year regardless.

 

 

 

[Sheryl]

Form 2555 is submitted with, not instead of, a 1040.

 

As for number of days in the US; limit is only if you use physical presence test. If you qualify on grounds of  bona fide foreign residence there is no limit to number of days you could have been in the US.

 

Also note that for the physicsl presence test you yd not have to use the exact tax year. Any 12 month period can be used.

 

If I understand correctly your issue is what you submit in place of a W2. 

 

You complete a substitute W2 form yourself https://www.irs.gov/forms-pubs/about-form-4852#:~:text=Form 4852 serves as a,2 or Form 1099-R.

[garet]

4 hours ago, Sheryl said:

Form 2555 is submitted with, not instead of, a 1040.

 

As for number of days in the US; limit is only if you use physical presence test. If you qualify on grounds of  bona fide foreign residence there is no limit to number of days you could have been in the US.

 

Also note that for the physicsl presence test you yd not have to use the exact tax year. Any 12 month period can be used.

 

If I understand correctly your issue is what you submit in place of a W2. 

 

You complete a substitute W2 form yourself https://www.irs.gov/forms-pubs/about-form-4852#:~:text=Form 4852 serves as a,2 or Form 1099-R.

"Also note that for the physicsl presence test you'd not have to use the exact tax year. Any 12 month period can be used."

Any 12 month period starting when? In 2020 and 2021 I didn't go to the US at all, But I was there for 30 consecutive days in 2022, and in 2023 I was there for 30 days from mid April to mid May, and 15 more days in August.

 

I've been working in Thailand and staying on a non-immigrant B visa. In the past, I've always submitted Form 2555 with the 1040 as you mentioned, but in 2023 I was in the US for 45 days.

 

Yes, I need to submit a substitute W2 form. I will read the link you sent. Thank you

[garet]

6 hours ago, Smokin Joe said:

To file a 2555 the number of days you can be in the US is 35, not 31. But assuming you were over 35 days in the US you would probably need to file Form 1116 to claim the foreign tax credit along with the 1040.

 

When I worked in Laos all I received at the end of the year was an annual pay statement from the company I worked for. It stated how much I was paid for the year and how much of my pay was deducted for Lao tax. My accountant used that to file my 1040, 1116, and 2555 forms. I had other US earned income so I had to file a 1040 every year regardless.

 

 

 

Thanks for the info. It seems like I will have to do 1116 form, but I won't be able to do the 2555 form because I was in the US for 45 days in 2023.

 

When you submitted the form for your Lao tax, was it in Lao language? My tax form is all in Thai and if I submit that, I just want to know if it will be a problem where they'll require me to get it translated. I can convert the Thai Baht to USD, but the rest is all complicated official Thai language.

 

I don't have an accountant because I don't make enough to warrant it. Will file by myself.

[Smokin Joe]

6 hours ago, garet said:

Thanks for the info. It seems like I will have to do 1116 form, but I won't be able to do the 2555 form because I was in the US for 45 days in 2023.

 

When you submitted the form for your Lao tax, was it in Lao language? My tax form is all in Thai and if I submit that, I just want to know if it will be a problem where they'll require me to get it translated. I can convert the Thai Baht to USD, but the rest is all complicated official Thai language.

 

I don't have an accountant because I don't make enough to warrant it. Will file by myself.

 

When working in Laos my employer was an Australian company so my income/tax statement was in English. I reported it as income on the Line for wages as income and again as negative income on the "Other Income" line putting the 2555 as the source. I was paid in USD so no conversions to do either.

 

I never submitted my income statements with my return since they weren't US W-2's. There were never any issues with the IRS but Sheryl's info about using the form 4852 seems to be the correct way to do it. I had never heard about the 4852 Form until seeing Sheryl's post.

 

AFAIK there is no reason to submit your Thai documents with your return, just use the 4852 and 1116 and make sure to keep all Thai docs with your tax records for the next few years.

 

As far as the physical presence test to use the 2555 it looks like you could use the 12 month period of Mid-May 2023 - Mid-May 2024. That would be only the 15 day period you were in the US in August. There are no penalties for filing late if you don't owe any tax.

 

Tax professionals are not all expensive. I have used one in Florida the last two years. The return for 2023 was done for $100

[Sheryl]

On 4/3/2024 at 1:49 AM, garet said:

"Also note that for the physicsl presence test you'd not have to use the exact tax year. Any 12 month period can be used."

Any 12 month period starting when? In 2020 and 2021 I didn't go to the US at all, But I was there for 30 consecutive days in 2022, and in 2023 I was there for 30 days from mid April to mid May, and 15 more days in August

You could use August 2022 through August 2023 arranging dates so that just 35 days in US.

 

Or you could use  late April  2023 through April 2024.

 

The period you use does not have to be the exact  tax year.

 

I suggest you download  IRS Publication 54 which explains all this

[garet]

On 4/4/2024 at 9:21 AM, Sheryl said:

You could use August 2022 through August 2023 arranging dates so that just 35 days in US.

 

Or you could use  late April  2023 through April 2024.

 

The period you use does not have to be the exact  tax year.

 

I suggest you download  IRS Publication 54 which explains all this

Thank you for that. Part of the year has to be in 2023, but it can extend into 2022 or 2024 if my understanding is correct, eh? For example I couldn't do 2021-2022, eh? Thanks again.

[Sheryl]

13 hours ago, garet said:

Thank you for that. Part of the year has to be in 2023, but it can extend into 2022 or 2024 if my understanding is correct, eh? For example I couldn't do 2021-2022, eh? Thanks again.

I don't think so but please check Publication 54. Easily downloaded online and explains it all, with examples.