Filing US tax return as a US citizen student with foreign parents - dependent or independent status?
Title: Filing US tax return as a US citizen student with foreign parents - dependent or independent status? 1 I'm a US citizen attending university full-time and trying to figure out my tax filing status. My situation is a bit complicated because my parents are both French citizens who live and work in Paris. They've never lived in the US, don't have US citizenship, and file all their taxes in France. They do claim me as a dependent on their French tax returns. Since my parents don't file US tax returns at all, nobody is claiming me as a dependent on a US tax return. I'm confused about whether I should file as dependent or independent for my US taxes. I receive some financial support from my parents for tuition and living expenses, but they're not US taxpayers. I've been looking at the IRS website trying to figure this out, but the rules seem to assume your parents are filing US tax returns. Does anyone know what the correct filing status is for someone in my situation? I don't want to make a mistake that could cause problems later.
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Giovanni Martello
8 This is actually a pretty straightforward situation. For US tax purposes, you would file as independent (not as a dependent of another taxpayer). The key factor is that your parents don't file US tax returns - they can't claim you as a dependent on a return that doesn't exist. The IRS only recognizes dependents who are claimed on US tax returns. Your parents claiming you on French taxes has no bearing on your US tax filing status. Since no one is claiming you as a dependent on a US tax return, you would file your US taxes as independent. This means you can claim your own personal exemption and potentially qualify for certain credits like the American Opportunity Credit for education expenses if you meet the other requirements.
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Giovanni Martello
•12 Thanks for the response. I'm still a bit confused though - doesn't the IRS have rules about being claimed as a dependent based on financial support rather than whether someone actually claims you? My parents do provide over half my support, so even though they don't file US taxes, I thought that might still make me technically a "dependent" by IRS definitions?
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Giovanni Martello
•8 You're asking a good question about the distinction between qualifying as a dependent versus being claimed as one. You're right that there are support tests for dependency status, but for someone to claim you as their dependent, they must file a US tax return where they list you as their dependent. Since your parents don't file US returns, they can't claim you as a dependent for US tax purposes regardless of how much they support you. The fact that they claim you on French returns doesn't affect your US filing status. For your US return, you'll file as independent and can claim your own exemption.
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Giovanni Martello
5 Just wanted to share something that might help you! I had a pretty similar situation last year with my parents living in Canada (though they're US citizens who file both ways). I was super confused about all the international tax stuff and ended up using this service called taxr.ai (https://taxr.ai) that really helped clarify my situation. I uploaded my documents and explained my unique circumstances, and they analyzed everything and gave me a clear explanation of my filing status. They confirmed exactly what the previous commenter said - that since no one is claiming you on a US return, you file as independent. They also highlighted some education credits I qualified for that I had no idea about! Might be worth checking out if you want confirmation on your specific situation.
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Giovanni Martello
•14 How exactly does this taxr.ai thing work? Does it just give advice or does it actually help with filing? I've got a somewhat similar situation (parents in Mexico) and wondering if it's worth checking out.
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Giovanni Martello
•22 I'm a bit skeptical about using AI for tax stuff. How do you know the advice is accurate? Can they handle unusual international situations like this reliably?
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Giovanni Martello
•5 It's actually a hybrid system - you upload your documents and explain your situation, and they use AI to analyze it but then tax professionals review everything to ensure accuracy. It doesn't file for you but gives you detailed guidance on how to file correctly. For international situations, that's actually where I found it most helpful. The regular tax software I tried didn't know how to handle my cross-border situation, but taxr.ai was able to break down exactly how to handle it. They cited specific IRS publications and rules for my case which gave me confidence in their recommendations.
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Giovanni Martello
14 I wanted to follow up after trying taxr.ai that was mentioned earlier. I was honestly impressed with how they handled my situation with my parents in Mexico. They confirmed that I should file as independent since my parents don't file US returns, even though they claim me in Mexico. What really helped was they explained exactly which forms I needed and pointed out the Foreign Earned Income Exclusion rules that affected my scholarship from my Mexican relatives. They even found a education credit I qualified for that I would have completely missed! Definitely worth checking out if you're in an international situation that regular tax software doesn't seem designed to handle.
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Giovanni Martello
17 I had a similar issue and eventually needed to speak with the IRS directly to get a definitive answer for my situation (German parents). Getting through to them was impossible until I found Claimyr (https://claimyr.com). There's a demo video here: https://youtu.be/_kiP6q8DX5c that shows how it works. Basically, they hold your place in the IRS phone queue and call you when an actual agent is on the line. I wasted hours trying to get through myself before using this. The IRS agent confirmed that I should file as independent since my parents don't file US taxes, and also explained some specific forms I needed to include because of money my parents transferred to me from abroad. Having that official clarification really put my mind at ease.
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Giovanni Martello
•3 Wait, how does that actually work? Does the service somehow bypass the IRS phone system? I've been trying to reach someone at the IRS for weeks about a similar international tax question.
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Giovanni Martello
•22 Sounds like a scam honestly. Why would I pay a service to call the IRS when I can just keep trying myself? And how do they magically get through when nobody else can?
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Giovanni Martello
•17 They don't bypass the system - they use an automated system that continuously redials and navigates the IRS phone tree, basically waiting on hold so you don't have to. When they finally reach a human agent, they call you and connect you directly to that agent. It's basically just saving you from the hours of hold time. I was skeptical too, but after spending multiple days trying to get through myself and always hitting the "call volume too high" message, I decided to try it. It took about 2 hours for them to get through (while I went about my day), then I got a call and was speaking to an actual IRS agent within seconds. For me, it was worth it to get definitive answers about my international situation rather than just guessing.
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Giovanni Martello
22 Just wanted to update after trying that Claimyr service someone mentioned. I was really skeptical (as you could probably tell from my comments), but I was desperate after trying to reach the IRS for three weeks with no luck. I'm honestly shocked at how well it worked. They got me through to an IRS agent in about 90 minutes, while I was teaching a class. The agent cleared up my confusion about filing as independent with foreign parents and even helped me understand some reporting requirements for the money my parents send me from abroad that I had no idea about. Saved me from potentially serious filing errors. Sometimes it's worth admitting when you're wrong, and I was definitely wrong about this service!
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Giovanni Martello
9 In case it's relevant to your situation - if your parents are sending you money from France to support you, be aware there might be FBAR filing requirements if the total in foreign accounts you have signature authority over exceeds $10,000 at any point during the year. This is separate from your income tax return but still important.
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Giovanni Martello
•1 I hadn't even thought about FBAR requirements! My parents did transfer about €12,000 to my US bank account for tuition this year, but I don't have any foreign bank accounts myself. Would I still need to file an FBAR in this case? Or does that only apply if I actually have accounts outside the US?
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Giovanni Martello
•9 You only need to file an FBAR if you have foreign financial accounts that exceed $10,000 in aggregate at any time during the year. If your parents simply transferred money to your US bank account, that doesn't trigger FBAR requirements for you. FBAR would only be necessary if you yourself have accounts outside the US, like if you had a French bank account that your parents deposit money into. Transfers from foreign sources to your US accounts don't create FBAR obligations, though they might have other reporting requirements depending on the specifics of your situation.
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Giovanni Martello
2 As someone with Chinese parents living abroad, one other thing to consider: check if you qualify for education credits like the American Opportunity Credit. Filing as independent means you can claim these credits yourself rather than your parents claiming them (which they couldn't do anyway if they don't file US taxes).
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Giovanni Martello
•10 Is there an income requirement to claim the American Opportunity Credit? I'm a student with minimal income besides what my parents send me. Would I still qualify?
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Emma Taylor
•Yes, you can still qualify for the American Opportunity Credit even with minimal income! The credit is actually partially refundable, which means you can get money back even if you don't owe any taxes. The income limits are quite generous - for 2023, the credit phases out between $80,000-$90,000 for single filers, so as a student you're almost certainly well below that threshold. You'll need Form 1098-T from your school showing qualified education expenses, and you can claim up to $2,500 per year for the first four years of post-secondary education. Since you're filing as independent, you claim it directly on your return rather than your parents claiming it.
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Katherine Harris
I'm in a very similar situation with my parents living in the UK - they're British citizens who don't file US taxes but support me financially while I'm in college here. Based on what everyone's saying, it sounds like I should also file as independent since they can't claim me on a US return that doesn't exist. One thing I'd add is to make sure you keep good records of any money transfers from your parents. I learned this the hard way when I got a letter from the IRS asking about a large deposit in my account. Even though it was just my parents sending tuition money, having documentation showing it was a gift/support payment (not income) was really important. A simple letter from your parents explaining the transfers can save you headaches later. Also, definitely look into those education credits that were mentioned - as an independent filer, you can claim them yourself and they can be substantial!
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