Filing US taxes

1. As a Canadian student, file the Non Resident (NR) federal form, specifically 1040NR.

• need W2(s), T5 for foreign dividends (ordinary vs. qualified)
  • all dividends are ordinary, some are qualified which means you pay less tax?

Steps for 1040NR

• sum the state wages together from W2s, put on line 8 (wages)
• sum dividends from T5s, put on line 10b as qualified dividends
• looking at the 2106 form for expenses, doesn't apply to interns for flights (must pass time test, 39+ weeks of work). Communting is not a deductible expense. So this extra form doesn't apply.
• for line 42, look up tax table in instructions to determine how much tax to owe
  • number may need adjustment for qualified dividends, see qualified dividends and capital gain tax worksheet
• So now we need to calculate Alternative Minimum Tax (AMT). Basically if you take too many deductions, you still owe a certain minimum amount. To find this, fill in form 6251 if your total from line 39 (net income before exemptions) plus numbers from itemized deductions (line 1 and 13)
  • in instructions, each line number has specifics for filing 1040NR, follow those
  • if you filled out qualified dividends, fill out part 3

1. California

2. New York State, IT-203: Nonresident and Part-Year Resident Income Tax Return

• file as part time resident
• IT-360
• IT-2

1. New York City

2. Canadian

• in Canada, 1.38x dividends grosses up for public companies for your actual dividends, so you get a bigger credit later than can be subtracted off your taxes.
• T3 is usually from mutual funds, T5 is from general investing accounts