# Renunciation in January, filling tax return for 2013?



## pishoux007

Hi,

If one renounce in January, would one still need to file in 2014 a tax return for year 2013?

The closest infos I found:

Based on the "Taxation of Nonresident Aliens" 
and the "Substantial Presence Test"
(couldn't paste the urls, since I don't have posts on the forum ...) 

I would say NO. But this is not exactly the same thing.

Has anyone some insights about this?

Thank you.


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## Pacifica

Hi Pishoux,

You'd have to file a partial-year return, which covers from the 1st of the year until the day before you renounce, inclusive.

If you renounce, say, January 20th, 2013. 
You'd have to file a 2013 return (1040), which covers January 1st to January 19th, 2013. 

Also you'd have to file the exit tax return, 8854, which is also due June 15th, 2014.

And if you have US income, you'd have to file a 1040-NR for January 20th to December 31st, 2013, for your US income only, also due June 15th, 2014. (And, as far as I know, you'd have to file a 1040-NR any year in the future if you have US income that year, but it only covers US income. It's required of any non-resident alien with US income.)
If you don't have any US income, you file don't have to file this.


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## pishoux007

Hi Pacifica,

this is very interesting ...

so you're saying that one has to return the 8854 with the 2013 return in 2014?!!!

You would know what are your assets by the end of January 2013 in June 2013.
Why wait until 2014 to report these?

What would happen if one does it with the 2012 return due in June 2013?

I am surprised that someone being a citizen for less than 30 days during a year has to file, while someone being a resident for less than 31 days doesn't. But this is certainly not the only "surprise" in all these regualtions ...


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## Pacifica

Hi Pishoux,

You can’t file til 2014 because you have to use the 2013 forms.

I believe the reason IRS updates certain forms each year and requires them to be used is because laws and regulations can change from year to year. The forms usually go online in December. 

What happens if you use last year’s form? I’m not sure exactly – I don’t know this first hand -- but someone who did that in 2012 posted that they got a reply from IRS, basically saying, “No go, file this information again next year on the correct year’s form.” 

You could fill out a draft version on an old form – as the form probably won’t change much (maybe not at all, but you don’t know until it’s published), and use that to assist you in filling in the current form when it’s available.


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## pishoux007

Thank you Pacifica for all these good advices!


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## pishoux007

Thank you LesFant for your post.

A question about the FBAR (TD F 90-22.1) forms:

Do you need to report for each account the maximum value up to Dec 31st 2013 or up to the day before you expatriate?



LesFant said:


> Hi Pishoux. Generally, when one expatriates, he is obligated to file the following forms for himself:
> 1. a 1040 form referrable up to the day before expatriation for that tax year (2013)
> 2. an 8854 expatriation tax return form
> 3. a 1040 NR form from the day of expatriation until the end of the tax year (2013)
> Les Fant
> Expatriation Copesthesia Consultants


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## Pacifica

Hi Pishoux,

As with the tax forms, the FBAR covers up to and including the day before you expatriate.


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## pishoux007

Thank you again for your answer!

I couldn't find this answer in the IRS paper jungle!



Pacifica said:


> Hi Pishoux,
> 
> As with the tax forms, the FBAR covers up to and including the day before you expatriate.


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## WSquared

This is almost exactly my situation. I renounced on the 23rd of Jan last year (and of course filed my 2011 taxes last year). Importantly, I finally managed to renounce before I had any income in 2012. Even if I had been paid for the month, I would be below the threshold for having to file for the year. So, I am taking the view that once I file my 8854, which I am working on now, I have done all I need to do. (I have no US income or financial interests.)


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## WSquared

oh, and if I remember correctly (which I will need to double-check), if you don't need to file a tax return (eg below the income threshold), I don't think you need to file an FBAR either. I think there was an exception in the FBAR instructions somewhere. I'll have to go looking through them again. :-(


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## BBCWatcher

No, you have to file a FBAR (if ordinarily required) even if you aren't required to file a tax return. The FBAR is a U.S. Treasury requirement with a separate legal foundation.


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## WSquared

Sounds right. I'll file an FBAR for the 23 days of the year I was a citizen then.

(It must be some other exclusion that I am thinking of. But this mess is so confusing that it is difficult to remember all the details. I don't want to live my life having to think about all this rubbish every year.)


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## BBCWatcher

Since your FBAR will cover only a partial year (23 days), I would attach a statement to your FBAR to clarify that fact for the U.S. Treasury since the form says "calendar year." And I would add "See Statement" in block 1 on each FBAR page you submit.

Yes, that's pedantic, but these things often are.


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