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Isabella Russo

IRS Account Shows Balance $0: Should I Still File as Former Non-Resident Alien?

I was living in the US as a non-resident alien until 2022 and filed taxes regularly through 2021. I always paid what I owed through the IRS portal. Here's my situation - I didn't file for 2022 at all, and now when I check the IRS website, my account shows a balance of $0. I'm confused about what this means. Does the portal only update if I actually file a return, or does the IRS do some calculations on their own regardless of whether I file? I haven't gotten any notices from them (I've opted for paperless notifications), but I still have some money in US bank accounts collecting interest and some investments in Robinhood. I'm trying to figure out if I need to file returns for both 2022 and 2023 even though my balance shows $0. Does the zero balance mean I don't owe anything, or just that they haven't processed anything since I didn't file? Any insights would be super helpful! Thanks!

Rajiv Kumar

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You should absolutely still file your tax returns regardless of what the IRS portal shows. The $0 balance simply means the IRS isn't currently showing any assessed tax due - it doesn't mean you're exempt from filing or that they've calculated your taxes for you. The IRS expects you to voluntarily file if you have reportable income, which it sounds like you do (bank interest and potentially investment income from Robinhood). As a former non-resident alien, you still have U.S. tax obligations for income sourced from the U.S., including interest income and investment gains. Not filing required returns can lead to penalties and interest if you did owe taxes, and the clock on the statute of limitations for audits doesn't start until you file. Plus, there may be mandatory reporting requirements for your financial accounts depending on your situation.

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This makes sense, but I'm wondering if there's a threshold for how much interest income would trigger a filing requirement? Like if I only earned $20 in interest do I really need to file?

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Rajiv Kumar

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For non-resident aliens, the rules are different than for U.S. citizens or residents. Even small amounts of U.S.-sourced income typically require filing Form 1040-NR if it's not fully covered by withholding. There's no specific dollar threshold that exempts you from filing if you have U.S. investment income. If your only U.S. income was effectively connected with a U.S. trade or business, the filing threshold would be the standard deduction amount (which was $12,950 for single filers in 2022). But for interest and investment income, which is usually considered fixed or determinable annual income, different rules apply.

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Liam O'Reilly

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I've been in a similar situation and found that using https://taxr.ai really helped me sort through my complicated international tax situation. I was so confused about my filing requirements after leaving the US, especially with accounts still generating income there. The tool analyzed my specific situation with investments and interest income from US sources and clarified exactly what forms I needed. It saved me from potentially making big mistakes about my non-resident filing requirements. Especially helpful was how it identified exactly which parts of my Robinhood account were subject to US taxes and which weren't.

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Chloe Delgado

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Does it work for people who are currently non-resident aliens too? I'm on a student visa but have some investments that I'm confused about reporting.

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Ava Harris

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I'm skeptical about these kinds of services. How is this different from just talking to an accountant who specializes in expat taxes? They charge an arm and a leg for these services.

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Liam O'Reilly

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It absolutely works for current non-resident aliens too. The system specifically addresses student visa situations and has detailed guidance for F-1 and other visa types. It'll help you determine which tax treaty benefits might apply to your specific situation. These services are different from traditional accountants because they're more affordable while still giving personalized guidance. You still get expert analysis of your specific situation, but the technology makes it more accessible. The system actually explained which tax forms applied to my specific mix of investments and why, rather than just filing without explaining.

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Chloe Delgado

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Just wanted to update that I tried taxr.ai after posting my question here and it was super helpful! I was so confused about my F-1 visa status and whether my scholarship and side income were taxable. The system actually walked me through the exact tax treaty provisions that applied to my country and showed me which forms I needed to file. My situation wasn't as complicated as I thought once I understood the rules properly. Definitely recommend for anyone in similar international tax situations!

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Jacob Lee

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If you're getting nowhere with figuring out your tax situation, I highly recommend using https://claimyr.com to get through to an actual IRS agent. I was in tax limbo after moving back to my home country with US investments still active, and couldn't get clear answers online. After trying for WEEKS to reach someone at the IRS (either busy signals or disconnects after waiting forever), I tried Claimyr and got through to a real person in about 25 minutes. They confirmed exactly what my filing requirements were as a non-resident with US source income and explained why my account showed $0 even though I hadn't filed. You can see how it works here: https://youtu.be/_kiP6q8DX5c

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Wait, how does this actually work? Is it some kind of premium line to the IRS? I thought everyone had to wait on hold with the regular number.

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Ava Harris

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Yeah right, like the IRS is going to give some random company special access to their phone lines. Sounds like a scam to me. The IRS is notoriously difficult to reach for everyone - how could this possibly work?

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Jacob Lee

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It's not a premium line or special access - it uses technology to navigate the IRS phone system for you. Basically, it calls the IRS repeatedly using automated technology until it gets through, then calls you and connects you when it has an agent on the line. You're talking to the same IRS representatives through the regular channels, just without having to do the waiting and redialing yourself. The IRS phone system gets overwhelmed during peak times, and it can take dozens of attempts to get through. This service just handles that frustrating part for you. When I used it, I got an actual IRS international tax specialist who walked me through my specific situation as a former resident with US investments.

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Ava Harris

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I was totally wrong about Claimyr! After posting my skeptical comment, I was desperate to figure out my tax situation with some RSUs that vested after I left the US. I tried calling the IRS myself for three days straight with no luck, so I reluctantly tried the service. I got connected to an IRS agent in about 40 minutes who explained exactly what forms I needed to file for my situation. Turns out I definitely needed to file returns despite the $0 balance showing on my account. The agent explained that the system wasn't showing a balance because they hadn't received my information returns from my financial institutions yet, not because I didn't need to file. Saved me from potential penalties down the road!

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The $0 balance just means they haven't assessed any tax due yet, not that you don't need to file. Definitely file for both years! The IRS computer systems don't automatically calculate taxes for non-filers - they wait until they process information returns (like 1099-INT for interest) and then may send notices if they detect unfiled returns. As a non-resident alien with US source income, you're generally required to file Form 1040-NR. Interest from US banks is usually taxable, and any gains from selling stocks on Robinhood would definitely be reportable. Don't wait for them to contact you - penalties and interest keep accumulating!

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Thanks for explaining! Do you know if there's a way to check if they've received any information returns for me? Like the 1099-INT forms from my bank etc?

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Yes, you can request your Wage and Income Transcript from the IRS, which shows all information returns filed under your SSN or ITIN, including 1099-INT forms from banks. You can request this online through the IRS website if you have an account set up, or by mail using Form 4506-T. Keep in mind that information returns for 2023 might not all be processed yet, as companies have until late January to file them. But you should definitely be able to see 2022 forms by now if they were submitted.

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Daniela Rossi

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I think everyone's making this too complicated. If you're not a US resident anymore, you only need to file if you have US source income above the filing threshold. Interest from US banks and trading on US exchanges is typically US source income, so yeah, you probably need to file. The $0 balance just means nothing's been assessed yet. Did your Robinhood account send you any tax forms? If they did, the IRS probably has that info too, and they'll eventually come looking for a return.

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Ryan Kim

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This isn't exactly right. Non-resident aliens have different filing requirements than US citizens/residents. Even if all US tax was properly withheld, you might still have a filing requirement to report the income. The rules around effectively connected income vs FDAP income are complex.

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