Does Sprintax handle regular 1040 filing too? I'm actually a resident for tax purposes this year (passed the substantial presence test), so I need to file a regular 1040, not a 1040NR. That's why I was trying to use TurboTax.

Yes, Sprintax can handle your transition from nonresident to resident status. They have a feature specifically for people who were nonresidents in previous years but are now residents. It's called Sprintax Federal and can prepare regular 1040 returns. They're particularly good at dealing with the complications that come with that transition, like handling income from before and after your status change, properly reporting state tax refunds from nonresident years, and applying the correct treaty benefits if you're still eligible for any. Their system is designed to understand international tax situations even after you become a resident.

No, the standard deduction for nonresidents on 1040NR is not the same as itemized deductions. As a nonresident on F-1 last year, you were only eligible for a limited standard deduction (around $12,950 for 2023 if you were single). If you took the standard deduction (which most students do), then your state tax refund is NOT taxable this year. State refunds are only taxable if you itemized AND claimed state taxes as part of those itemizations in the previous year.

Oh that makes sense! I definitely took the standard deduction then because I remember the software recommending it since I didn't have enough deductions to itemize. So I can just put $0 for the taxable portion of my state refund?

Thank you so much! This is exactly what I needed to know. I'll go back and look for that option. Do you remember if it asks for any specific information about the foreign contractor?

It will ask for their name and I believe their country, but not much else. You won't need their tax ID number or anything like that. Just make sure you have good records of the payments in case of an audit - invoice, proof of payment, contract, etc. The key is documenting that the work was legitimate and for your business.

Actually, it depends on the tax treaty status with the specific country. Some countries require withholding regardless of where the work is performed. India (where OP's contractor is located) has specific provisions in its tax treaty with the US.

This is super helpful, thanks! So it sounds like I definitely shouldn't try to write off my flights to Italy or back, but the specific expenses while I'm there for business purposes would be okay. Do you recommend any specific apps for tracking the expenses while I'm traveling? I'm worried about keeping all those foreign receipts organized.

I use Expensify for tracking business expenses abroad - it has receipt scanning that works well with foreign receipts and lets you categorize everything immediately. The automatic exchange rate conversion is also super helpful so you don't have to manually calculate everything back to USD. Take photos of ALL receipts immediately because some foreign receipt paper fades quickly. Also, create a simple daily log in Notes or Google Docs where you record the business activities for each day - who you met with, what you discussed, and the business purpose. I also drop a pin on Google Maps for each business meeting location as additional documentation. This level of detail has kept me audit-free for 7 international trips with business components.

Can you really claim those deductions without receipts though? I worked construction under the table last year and literally have zero documentation for any of my expenses.

You can estimate reasonable expenses even without perfect documentation, but you should have some supporting evidence if possible. For example, with mileage, start a log now documenting your typical work travel patterns, then use that to reasonably estimate your past travel. For tools, take photos of what you own and research purchase prices online. The IRS does allow for reasonable reconstruction of records that were lost or never kept. Just be honest and realistic - don't claim $10,000 in tool expenses for a $26,000 job. And definitely start keeping better records going forward! Even a simple notes app on your phone where you take pictures of receipts is better than nothing.

I used TurboTax to amend a return with unreported income last year. It was pretty straightforward for the basics but I found it didn't give great guidance on what documentation I should keep or how to explain the situation in the amendment. For only $9k it might be fine, but if you can afford a CPA consultation, even just a one-hour session, they might catch deductions you'd miss and give you better peace of mind.

This is solid advice! My employer uses UltiPro and I was able to log in and download my W2 even though I left the company in November. Totally forgot I had that access.

That's great to hear it worked for you! Many people don't realize these payroll portals often maintain your access for a period of time after employment ends, specifically for tax document purposes. If anyone else is trying this method, also check your email for any invitations to these portals when you were hired. Sometimes the login credentials or reset instructions are still valid. Even if your account appears inactive, customer service for these payroll providers can sometimes help former employees access just their tax documents.

Won't an extension delay my refund though? I'm counting on that money for some bills coming up in March.