I know this is a bit off-topic, but make sure you're also checking if you need to file an FBAR (FinCEN Form 114) if your US financial accounts exceeded $10,000 at any point during the year. That requirement is separate from income tax filing and applies to many non-residents with US accounts regardless of whether you owe any tax.

I went through this exact situation two years ago and can confirm what others have said about the 183-day rule. Since you had zero days of US presence, your capital gains from stock sales are not subject to US taxation as a non-resident alien. However, I'd strongly recommend keeping detailed records of your physical presence (or lack thereof) in the US. I maintained a simple spreadsheet with dates, locations, and even flight records showing I never entered the US that tax year. This documentation proved invaluable when I later had questions about my filing position. One thing to consider: if you had any taxes withheld at source on dividends or other income during the year, filing a 1040NR might actually get you a refund. But for pure capital gains with no US presence, you're correct that filing isn't required. Just make sure you understand the distinction between different types of income from your brokerage account.

One more thing - even if you don't get any form from your employer documenting the gift card, you're still legally required to report it as income. The IRS considers all prizes and awards as taxable income unless they're very specific exceptions (which a workplace raffle isn't).

Hey Micah! I went through something similar last year with a raffle prize at work. The key thing is to check your most recent paystub after you won the gift card - many employers will automatically include the value as taxable income and withhold taxes right away. If you see an extra $300 (or close to it after taxes) on your paystub labeled as "bonus," "other compensation," or something similar, then your employer already handled it and it will show up on your W-2. In that case, you're all set! If it's not on your paystub and you don't receive a 1099-MISC by early February, you'll need to report it as "Other Income" on Schedule 1, Line 8z. Just write something like "workplace raffle prize - $300" next to it. Either way, you'll pay regular income tax on it based on your tax bracket. So if you're in the 22% bracket, you'd owe about $66 in federal taxes on that $300. Good luck with your first solo tax filing!

Has anyone had the IRS actually correctly process Form 8960 for 2022 yet? I'm still waiting on my refund and have the same issue - filed with investment income tax but my transcript is showing they're not calculating it correctly.

I'm dealing with almost the exact same situation! Filed my 2022 return in February with Form 8960, and my transcript is showing the same weird discrepancies - negative investment income on their end while I reported positive amounts, and their system calculating zero NIIT when I clearly owe it. What's frustrating is that I've filed Form 8960 successfully for the past three years without any issues. This definitely seems to be a systematic problem with how the IRS updated their 2022 processing rules. I also have the code 570 on my transcript dated March 15th. Based on what others are saying here, it sounds like we just need to wait for manual review to fix their computer errors. I'm keeping detailed screenshots of everything in case they send the wrong refund amount and try to collect it back later. Has anyone gotten any timeline estimates from IRS representatives about when these Form 8960 reviews might be completed?

Anyone know if there's a threshold for how many board members can overlap before you're automatically considered related organizations? We have 2 people who serve on both our main nonprofit and our supporting foundation (out of 13 board members total on each).

This is such a helpful discussion! I'm dealing with a similar situation at our charter school network where we have a supporting foundation. One thing I wanted to add - make sure you're also checking the intermediate sanctions rules under section 4958. When you have overlapping board members between related organizations, any compensation arrangements could potentially be subject to excess benefit transaction penalties if they're not properly documented as reasonable. We learned this the hard way when the IRS questioned whether our executive director's compensation was reasonable given that she served on both boards and the foundation was paying part of her salary. We had to provide extensive documentation showing comparable salaries at similar organizations. It's worth having your compensation committee document their decision-making process and maintain records of any salary surveys or benchmarking studies used. Also, don't forget about the intermediate sanctions disclosure requirements on Schedule L - you need to report any loans, grants, or other financial transactions between the related entities, including that property lease arrangement mentioned in the original post.

Manager, please understand that what he's asking for isn't a "tax exempt week" in any official IRS sense. He's just trying to increase his take-home pay by reducing withholding. This doesn't reduce his actual tax liability at all - it just changes WHEN he pays it. If he makes $82k, he's going to owe taxes. Period. So if he gets more in his paycheck now, he'll either get less refund or owe more when he files. Make sure he understands this isn't free money!

As someone who works in payroll processing, I want to add a practical perspective here. When employees request withholding changes for temporary financial hardships, I always recommend they put a reminder in their calendar to submit a new W-4 to return to normal withholding within 1-2 months. The biggest mistake I see is people forgetting to change back, then getting hit with a big tax bill they weren't expecting. If your employee does adjust his withholding, maybe suggest he set up that reminder right away while it's fresh in his mind. Also, depending on your payroll system, some allow you to set an "end date" for withholding changes, which automatically reverts back to the previous settings. Worth asking your payroll department if that's an option - it removes the human error factor completely.