Article XXV 1040NR - hit with AMT

craudiu · Post by **craudiu** » Mon Apr 16, 2012 9:04 pm

Hi!

I filed my 1040NR with the article XXV 1040 pro forma this year and just got a letter from IRS reassessing my taxes and applying AMT to my 1040NR, which resulted in taxes even higher than they would be if I filed 1040NR directly, effectively eliminating all my deductions (spouse and children) and any advantages from the Treaty.
I saw some topics in and outside of this forum that claim that, if my 1040 didn't trigger any AMT (and it didn't) then there is no AMT on my 1040NR. Is that correct? (I assume so, or the treaty would render useless).
Note that I'm not a Canadian citizen (only resident) so I cannot file 1040 directly.
Any tips on how to communicate that back to the IRS?

Thanks!

nelsona · Post by **nelsona** » Tue Apr 17, 2012 7:29 am

Did you include an 8833 with your return? The treaty is quite clear that your 1040 determines your rate. Period. If you did your 1040 using software, and amt was not triggered, then there should be no AMT. Even if there was AMT, that would have figured into your taxrate, and you would have used this on your 1040NR.
use the contact on your assessment.

craudiu · Post by **craudiu** » Tue Apr 17, 2012 9:48 am

Yes I did file 8833, just like I did last year with no problems. And there is no AMT in my 1040. Not even close.
I wonder if this can easily be clarified by phone with them.... I think I'd better try argumenting in writing.

Thanks, nelsona!