Hi All,
Hope holidays are going well thus far for all.
A question regarding a client just picked up, and since I am a little under the weather, need some clarification.
The question: client and family immigrates from Afghanistan - around April 2010. Started work in Afghanistan for some sort of non-profit, relief agency, based out of Afghanistan as a manager. He came to me for help regarding filing of his 2011 return with a foreign US dollar income of $12,000. It appears that he spends about 2 months back in US with family and then works in Afghanistan for the rest of time. I will be telling him that he has no filing requirement for MFJ and 4 kids with this income level. He also appears to receive some support from community services, I believe.
I am presuming that he wants to apply for EIC, but I do not think that his kids may be EIC eligible. I am finding out though. Two kids are 19 and over - part time "adult school" students and not sure about the 17 and 12 year old, whether they are legitimate students or not at this point.
Main thing for my concern is the filing requirement - less than $19,000 anyway; tax home in Afghanistan in relation to family residing here in California; and the adherence to the EIC rules if qualified. I know the rules for EIC but want to be sure about overseas money, tax home and the EIC implications if there are any issues I am not thinking of. I just want to know if I am missing something or if anyone can tell me of something I need to watch for.
Thanks.
rfk
Hope holidays are going well thus far for all.
A question regarding a client just picked up, and since I am a little under the weather, need some clarification.
The question: client and family immigrates from Afghanistan - around April 2010. Started work in Afghanistan for some sort of non-profit, relief agency, based out of Afghanistan as a manager. He came to me for help regarding filing of his 2011 return with a foreign US dollar income of $12,000. It appears that he spends about 2 months back in US with family and then works in Afghanistan for the rest of time. I will be telling him that he has no filing requirement for MFJ and 4 kids with this income level. He also appears to receive some support from community services, I believe.
I am presuming that he wants to apply for EIC, but I do not think that his kids may be EIC eligible. I am finding out though. Two kids are 19 and over - part time "adult school" students and not sure about the 17 and 12 year old, whether they are legitimate students or not at this point.
Main thing for my concern is the filing requirement - less than $19,000 anyway; tax home in Afghanistan in relation to family residing here in California; and the adherence to the EIC rules if qualified. I know the rules for EIC but want to be sure about overseas money, tax home and the EIC implications if there are any issues I am not thinking of. I just want to know if I am missing something or if anyone can tell me of something I need to watch for.
Thanks.
rfk
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