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Level 2
April 18, 2021
Question

If a taxpayer becomes resident during the tax year, but receives a 1042-S and 592-B based on prior non-resident status (1040NR reportable) how should this be dealt with?

  • April 18, 2021
  • 1 reply
  • 3 views
As I understand things, 1042-S income can only be filed on a 1040NR, but the taxpayer tells me they became a resident (substantial presence test) during the year. Any advice??
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1 reply

sjrcpa
Level 15
April 19, 2021

All of the income on a 1042-S can be reported on a 1040.

Your problem is going to be getting credit for any withholding shown on  the 1042-S.

The more I know the more I don’t know.
Level 2
April 20, 2021

Thanks

So it’s not possible to claim the credit at all in this situation?

 

sjrcpa
Level 15
April 20, 2021

If you're filing a 1040, I don't think you'll be able to efile. You can paper file and attach the 1042-S and expect an argument  exchange with the IRS.

The more I know the more I don’t know.