Opting to file full year 1040
Moderator: Mark T Serbinski CA CPA
Opting to file full year 1040
When opting to file a full year 1040 because it is more 'tax-advantageous' (after having actually ceased to be resident in the US in September), is it necessary to include any declaration to the effect that that is what I am doing? How would I do so? For example there is Form 8833, Treaty-Based Return Position Disclosure (although I am not sure whether the ability to file full year is based on a treaty or not).
No. For 2 reasons.
First, IRS regulations stipulate in the year you leave you must file full year unless elect to do otherwise, and show proof that you live elsewhere. So, the default is full year.
Second, by treaty, Cdns can ALWAYS file a 1040, just like US citizens, and a US citizen in your situation would not have to file a special statement to that effect.
So, file 1040, not 8833, since you are merely following IRS regs.
First, IRS regulations stipulate in the year you leave you must file full year unless elect to do otherwise, and show proof that you live elsewhere. So, the default is full year.
Second, by treaty, Cdns can ALWAYS file a 1040, just like US citizens, and a US citizen in your situation would not have to file a special statement to that effect.
So, file 1040, not 8833, since you are merely following IRS regs.
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