Originally Posted by domp
#1;I've held two F-1 visas (undergrad + masters) for a total of five years, so I guess I'm not exempt from the SPT. Just wanted to find out if I have to file the 1099-misc for the second half of 2013 if I lived and worked from Poland.
#2;Also, do you know if I will be able to deduct any business expenses incurred in Poland (internet, phone bills etc.) while working for a U.S. employer?
#3;Finally, I did not have U.S. health insurance in the second half of 2013. Can I get penalized for that?
#1; as mentioned previously, any part of or fewer calendar years, u are exempt from the SPT and automatically a non--US resident for tax purposes.However, if you can claim yourself as being a US resident for tax purposes, then you need to report your US source and world wide income that you earned in poland to the IRS/ your state.
I guess yoiu do not get a 1099 from a Polish ER. If you reciev 1099 from US ER, then you may need to pay quarterly estimated taxes to IRS and state aslong as you are filing as a sole proprietor and/or a self-employed individual, you generally have to make estimated tax payments if you expect to owe tax of $1K or more when you file your return.HOWEVER,You do not have to pay estimated tax for the current year if you had no tax liability for the prior year 2012 i mean and You were a U.S. citizen or resident for the whole year andYour prior tax year covered a 12 month period.
#2; I guess you can dedcut your biz related expenses incurred in poland while working for your ER in US on your Polish tax return; you can not directly dedcut them on your US return, but you can claim foreign tax credit by filoing form 1116 on Sch A of 1040 or 1040 line 47 to claim your tax(es) paid to Poland on your US return.
#3;I guess it ids not for a US resident for yax purposes;Starting in 2014 all U.S. citizens and legal residents, green card holders, will have to have health insurance, or what is known as qualifying health coverage, which includes coverage through your job, a government plan (such as Medicaid, Medicare, VA, and the Armed Services), or a health plan you have purchased on your own.
If you don’t have health insurance, you will pay a tax penalty that will be phased in starting in 2014 with a fine of $95. In 2015, the penalty will increase to $325, and in 2016 to $695 or a percentage of your taxable income. After 2016, your penalty will be increased every year according to the changes in the cost of living.
You may be eligible for an exemption or you may be able to get help paying for health insurance it if your income is low.Exemptions will be granted for the following:
you have a financial hardship ;you have a genuine religious objection ;you are an American Indians
you have been without health coverage for less than three months ;you are an undocumented immigrant
you are in prison
the lowest cost health plan available in your area exceeds 8% of your income .
you can contact for sure by calling at (800) 453-8648 or e-mail to [email protected]