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This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

Moderator: Mark T Serbinski CA CPA

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mikec2
Posts: 14
Joined: Thu May 03, 2007 10:15 am

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Post by mikec2 »

Hi,
I am a dual citizen living in canada and canada is my tax home.
I file my US return each year and the balance is 0 each time.
This year i received a refund cheque of about $189 with no explanation.
In canada we get an assessment indicating the results of the tax return filed. I have never seen such a thing in the US system. Also i see no way to look online at your tax return details, there is such a system in canada.
It appears i will need to mail a 4506T to request a transcript.
The automated telephone system (1-800-829-1040) just hangs up on me, i presume it does not allow people outside USA.

Is there a simpler way i can review what happened in the processing of my return to generate this refund?
nelsona
Posts: 18680
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

I don't know of fatter way than sending the form. The phoneline is merely to request the transcript, not access your return.

You probably could phone IRS non-automated and, with sufficient identification, find out what changed.

I suspect it was either the child credit or the work credit .

If you have kids, you should be getting $1000 per child free and clear.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
mikec2
Posts: 14
Joined: Thu May 03, 2007 10:15 am

Post by mikec2 »

Thank you. I believe you are correct. I received the transcript now. Indicating a credit on 1040 line 63 (schedule M). I have not cashed the cheque as yet and will be filling a 1040x form to correct the amount of my wages which should result in increasing my refund to the maximum for this credit of $400.

I am a bit confused about getting such a refund. I have filled out my US taxes and have ended up with net tax of 0 every year since 1989. My tax home is Canada and all taxes and refunds have come from Canada. It seems strange that the US would be giving me a refund in this case and I am hesitant to accept this money if it might in anyway cause me some liability down the road.

Any thoughts?
nelsona
Posts: 18680
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

It is a gift from IRS. If you had kids you would be getting $1000/kid every year, too.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
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