It is the law that every taxpayer must complete and submit a tax return to the IRS. In the USA, estimated taxes are withheld from a taxpayer's pay check. Tax returns provide documentation and proof that a taxpayer has paid the correct amount of taxes. If your return shows that you have overpaid your taxes over the year, you will receive a refund from the U.S. government. If your return shows that you have underpaid, you must send payment with your return by the deadline date. If your tax return does not correspond to your true earnings and entitled deductions, you will be penalized.
- Figure out if you are a resident alien, nonresident alien or an exempt individual for tax purposes.
Your tax status may not be the same as your immigration status.
- Determine which form(s) you should submit to the Internal Revenue Service.
Most IRS forms and publications are available online, in Adobe Acrobat format. Consult Publication 519, a tax guide the IRS publishes especially for aliens, if you have any questions about your tax status. Resident aliens should file Form 1040, while nonresident aliens should file Form 1040NR. Exempt individuals should file Form 8843.
- Get a copy of the forms and instructions at a library, post office or online. If you choose to prepare and file your taxes online, find a reputable online tax preparer.
Online filing is usually faster and cheaper than filing by hand, but only if you qualify as a resident alien for tax purposes. If you are a nonresident alien for tax purposes, you're better off sticking to the pencil-and-paper route.
- Gather the pertinent materials.
You will need:
- Your W-2 Forms. These forms should have arrived in the mail from your employer. The W-2 lists how much money you made at your job during the past tax year. If you had more than one job during the past year, you will get a W-2 for each job you held.
- Forms stating interest/dividend earnings. Your bank, investment company, or employer will send you a form listing how much income you have earned through interest-bearing accounts or other investments.
- Documentation of mortgage, student loan, or other qualifying debt payments. You may be allowed to deduct certain types of payments, such as interest on mortgage loans. Refer to Publication 519 to see which interest deductions, if any, you are allowed to take.
- Your visa and passport number. You may be required to include your visa type and number with your passport identification on the form you file.
- Your social security number/Tax ID (ITIN). These numbers are required, unless you qualify as an exempt individual.
- Read the instructions for the required forms, and fill them out accordingly
This can be the most confusing part of the process. If you need help, call the IRS automated tax help line at (800) 829-4477 or your local tax office at (800) 829-1040 for live help. Alternatively, you may choose to have your tax forms submitted by a professional preparer, such as H&R Block or Jackson Hewitt. In the most complex situations, you should call an accountant. If you file online, you will have to answer several questions, and the program will fill the forms out for you.
- Re-read your tax forms.
Check the math and make sure the form is legible. If you file online, the program will take care of this.
- Sign and date the form and make a photocopy for your records.
Online filers should print a hard copy of the forms and follow the program's instructions for submitting a signature to the IRS.
- Make arrangements for payment or receipt of your refund.
If you owe money, write a check to the "United States Treasury" or call (888) 272-9829 to pay by credit card. If you are expecting a return, enter your bank routing and account number on the appropriate blanks in the form. You can obtain these numbers by looking at the bottom of your personal checks or by calling your bank. The first nine-digit number at the bottom of the check is the routing number, and the second string of digits is your account number.
- Include appropriate required documentation when you send the forms.
Remember to send originals of official papers, such as the W-2 or interest earnings form. Normally, the forms come in triplicate: one for you to send with federal, one for state, and one for your personal records.
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