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Question for the Money Doctors

Question submitted on Feb 4, 2013.

Question

I was working for an American company in Miami on a H1B employment visa as I am not an American citizen or resident. I left Miami on Jan 26 2012 and continue to work for the same company from overseas. For 2012, I spent less than 30 days in the USA yet I paid full taxes on each of my paychecks which was direct deposit to my Bank of America account. On my w2 I have income of 135k and have paid full federal, social security and medicare while living overseas. Can I get these refunded given that I was not living in the USA? Do I need to pay full taxes?

Answer

Please take a look a Publication 519 (US Tax Guide for Aliens) from the IRS. http://www.irs.gov/pub/irs-pdf/p519.pdf

You will need to pay US tax on the income you earned when you were in the US. You can claim a refund for the income taxes that were withheld since it sounds like you were withheld for the full year.

For 2013, please make sure your employer is aware you are not in the US so there should be no withholding.

Please find a CPA/PFS at www.findacpapfs.org who is familiar with these type of tax issues since they can be complex.


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