# Streamlined Process Questions



## MickeyJ (May 30, 2016)

Hi Everyone,

First of all this forum is amazing, in a just world this would be the first Google result when searching Expat Taxes and it would save thousands of expats hours of research.

I am starting the Overseas Streamlined Procedure now and I haven't seen any posts with my specific circumstances, which I guess is about as simple as it gets (for the unfortunate reason I am poor...) but I am nervous I am missing something.

My situation:
Abroad since 2008
Never filed any taxes since moving abroad
Never had more than USD 10,000 in aggregate in overseas bank accounts 
Have no other assets (no stocks, bonds, interest payments, dividends, house, etc etc)
Have clearly been well below the FEIE threshold every year

I plan to go the Sreamlined route and below is a list of what I believe to be the documents I need to submit and for which years:

1. 2012, 2013, 2014 1040 forms. Can I file 1040A or am I required to do the normal 1040 when going through the Streamlined process?
2. Accompanying 2555EZ for 2012, 2013, 2014
3. No FBAR's are due as I never crossed the USD 10,000 limit
4. And I need to write a letter explaining myself to the IRS, which for me is a pretty simple 'I didn't know' which I then attach to every 1040 and 2555.

Just hoping to confirm I am not oversimplifying my admittedly simple tax situation as I understand this Streamlined Process is something you can only apply for one time and if it is rejected I no longer have the option of using this program.

Thanks for your help!

Cheers


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## BBCWatcher (Dec 28, 2012)

MickeyJ said:


> 1. 2012, 2013, 2014 1040 forms. Can I file 1040A or am I required to do the normal 1040 when going through the Streamlined process?


You must use IRS Form 1040 if you can exclude foreign earned income. That said, I recommend using tax preparation software to get the job done. If you have a Windows PC, TaxAct Deluxe is a relative bargain at $12.95 per previous year (to pick an example). A major part of the value of such software is that it figures out which forms you need.



> Just hoping to confirm I am not oversimplifying my admittedly simple tax situation as I understand this Streamlined Process is something you can only apply for one time and if it is rejected I no longer have the option of using this program.


You'll probably have a couple more pieces of paper to include, but that's where the value of tax preparation software comes into play. For example, IRS Form 8965 is quite common among U.S. persons living overseas (and others). That form was introduced in tax year 2014, so it won't apply to your 2012 and 2013 tax returns. Schedule B is quite common, even if you only had a tiny bit of bank interest. A trip through the Alternative Minimum Tax (AMT) is possible, and tax preparation software _really_ shines in that case.

If you don't want to pay for tax preparation software, no problem. Try using H&R Block's free online edition for 2015 to generate your current year return. It should work fine with any PC, Mac, tablet, or smartphone browser. Then use your 2015 form output to _inform_ how to handle your prior years. The prior years won't be exact copies of course -- that Form 8965 was new starting with tax year 2014, for example -- but you can see pretty well how it all works. If that proves too difficult then you can decide whether to spring for the $12.95 per year.


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## Bevdeforges (Nov 16, 2007)

If you've done your own tax forms in the past, you may not even need the tax prep software. (And for some, it can be more confusing to figure out how to work the software than to just fill in the forms yourself.) Take a look at IRS Publication 54 just to get an overview of what needs to be done.

As BBC says, if you're going for the FEIE (form 2555) then you must file a "long form" 1040. If your only or main source of income is your salary, I'd recommend filling out the form 2555 first. (The last lines of that form tell you where to put your figures on the 1040.) You'll have to file a Schedule B, if only to report whether or not you have foreign bank accounts, so you can use that to list any interest bearing accounts you have. (Not required, but no reason not to make use of the form as a "worksheet" of sorts.) 

Then, do the 1040, carrying over the amounts from the other forms to the lines indicated and simply follow the logic down the first page, turn over and do the same on the second page. Any line that doesn't apply to you, you leave blank.
Cheers,
Bev


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## MickeyJ (May 30, 2016)

Thanks so much for your quick responses!

I'll get started filling out the 2555 by hand with the related 1040 and Schedule B's, along with the form 8965 for 2014. Any updates I'll post back to this thread.

Cheers


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