# IRS taxes



## confusion (Feb 4, 2013)

After leaving the States and moving back to South Africa we did not realize until last year that we had to file in America even though we are paying our taxes in South Africa. We have dual citizenship.
Not being an accountant, we had to send our financials from SA to USA to another accountant there. He in turn submitted our taxes from 2003 till 2010. With penalties and interest we supposedly now owe $34,000.00. We set up a payment plan of $500.00 but when the Rand got so weak we called the IRS to change that for now to $250.00. the IRS lady failed to tell me I had to fill in a new form for this change. She told me it would be fine. We are now in collections at the IRS . with us paying taxes here in SA and now having to pay that in the USA this is killing us. Can this be correct. they say it is not taxes but social security. As we are 64 years old not sure if we will ever get this paid off to where we can actually claim from Social security. Really need some good advice here as we are so confused.:


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## BBCWatcher (Dec 28, 2012)

If you have at least 10 years of contributions to U.S. Social Security you qualify for retirement benefits. You can begin collecting those benefits now if you wish, or you can delay to as late as age 70. The more you delay, the higher your monthly benefit. You can visit the Social Security Web site to view your contribution history, calculate your retirement benefits, etc.

However, if you have unpaid U.S. tax obligations the U.S. can garnish your Social Security retirement benefits if necessary to pay the tax. It would be preferable if you pay the tax voluntarily out of a portion of your Social Security benefits so that you have more control, but one way or another the IRS will try to collect the back taxes owed.


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## Bevdeforges (Nov 16, 2007)

How long had you been living in the US, and when did you return from the US to South Africa? I find it kind of hard to believe that you would owe social security contributions for the time after you returned to South Africa (though there are some specific circumstances where that might be the case).
Cheers,
Bev


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## confusion (Feb 4, 2013)

Thanks for your input. I finally spoke to an IRS person that knew what he was talking about. i owe nothing. I just have to fill in forms 1040X and add 1116 to it. So for anyone not knowing being out the country and paying tax in another country that is the form you need. Now to tell my accountant who should have known better.


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## confusion (Feb 4, 2013)

thanks for your response. I have spoken to the IRS and owe nothing. Hard to find one person at the IRS that is helpful this guy was very nice. the accountant I have should have known better.


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