Hello,

I cannot tell you how grateful I would be if anyone had any insight into my situation as I am desperate to do everything above board and this will be my first year filing my US taxes from the UK.

I am a USC living in the UK on a spousal settlement visa (arrived August 2011). Since relocating to the UK, I have continued my employment with my US-based company doing part time digital marketing remotely from my home here. I earn USD into my US bank account.

Also since relocating, I have taken up a small amount of work since September 2011 as support staff for a local nursery. I have varied amounts of hours, but it is really a very small amount (the most I have had on one monthly paycheck has been about 260 GBP, often much less).

OK, so I know I will be filing my 1040 Married Filing Separately using my US W-2, but what else do I need to do? We don't have any bank accounts with large amounts of cash here in the UK, so that isn't an issue here. I guess my main confusion is if I should/how I should declare my UK earnings since I don't have a P60 or anything which shows my earnings from Sept '11-Dec 31st '11.

Any other concerns?

Thank You!!!
Tawn

I'm trying to pull together an information post for those US taxpayers filing for the first time from overseas, but it's taking a bit longer than I had hoped.

For your US taxes, you may well want to put off filing until you pass your 1st anniversary living abroad. You won't be able to apply your FEIE (to exclude your earnings while living in the UK) until then. Regardless of whether you're being paid in US dollars, Sterling or zlotnies, the fact that you are doing the work while resident in the UK means that your earned income from it is eligible for the FEIE (and you can probably get back any taxes withheld since September).

Just remember that on your US taxes, you have to declare your worldwide income from all sources (including the work you've done in the UK), NOT just your W-2 wages. You do, however, get to exclude all "earned income" since your arrival in the UK. ("Exclude" means taking the exclusion on form 2555.) It's up to you to tally up what you've earned over that time period, as the UK tax year is not a calendar year.

On the UK side, I can only point you in the direction of HM Revenue service: HM Revenue & Customs: Income Tax
And try to flag down someone with some UK tax experience.
Cheers,
Bev

Thank you so much Bev for replying! This all can get so confusing and I want to make sure I navigate all of this correctly.

I am not sure I want to put off filing this year to wait out my 1-year abroad period to file for an exclusion since my wages in the UK will be so insubstantial that I can't imagine it would affect me much? Correct me if that is me being completely naive and silly about these sorts of things, but I will only be claiming about 500 pounds in foreign earned income.

Also, since I only work part time in the US I usually get a tax refund and I was hoping to use part of it to help fund a trip back home for my best friends wedding this year.

Any ideas of a site that will let you E-file while listing "NRA" in spouse's SSN box? Or am I going to have to go ahead and do it by hand?

Thanks again! You are a lifesaver!

Tawn

The IRS e-file site just opened up on Monday and it's possible that some of the e-filing sites aren't quite up and running just yet. Information for e-file is the IRS e-filing site. Check out the information in the box on the left of the page for free filing information. There are income limits and, in some cases age limits.

Last year the French consulate put out a list of those e-filing sites that could handle foreign addresses, but their list didn't come out until fairly late in the tax filing season. They haven't mentioned in the past the sites that will let you file "separately" without an ITIN for your husband, so you may have to try your luck with the free filing sites. Or you might try the Free File Fillable forms to see if they'll take a foreign address this year.

If you have any luck with the e-filing sites, please come back and let us know which one(s).
Cheers,
Bev

I would add to Bev's comment that you will automatically get a 2-month extension because you are out of the country, but that still won't help for your 1-year, so you need to apply for the usual 6- month extension, and do it before April 17 (because of Emancipation Day in DC).

__________________
Steve Odem, IRS Enrolled Agent, Australian Registered Tax Agent. steve@katax.com

Hi everyone,

I just finished my taxes and wanted to let you all know that TaxACT online allowed me to e-file with a foreign address and spouse.

In fact, they had a box to tick which said "My spouse is a non-resident alien and doesn't need a SSN or ITIN" which was the first I had seen on all of the sites I had used.

I literally just finished, so they haven't been officially accepted by the IRS yet, but I just thought I would let everyone know that this was an option of hot to e-file when living abroad and married to a NRA.

Tawn