You are a dual-status taxpayer if you are a foreign national who meets both of the following conditions in the same calendar year:
You are a resident alien of the United States for part of the year.
You are a nonresident alien of the United States for another part of the year.
To determine whether you are a resident alien of the United States, the IRS uses a test called the substantial presence test. Under the substantial presence test, you are a resident alien if you are physically present in the United States for 31 days or more during the current calendar year and 183 days or more during the current calendar year and the two preceding calendar years, combined.
If you meet the substantial presence test for part of the year and are a nonresident alien for the rest of the year, you are a dual-status taxpayer.
Here are some examples of common situations where individuals may be dual-status taxpayers:
A foreign national who comes to the United States to work and obtains a green card midway through the year.
A foreign national who leaves the United States to return to their home country midway through the year.
A foreign national who is married to a U.S. citizen or resident alien and chooses to file a joint income tax return with their spouse.
If you are unsure whether you are a dual-status taxpayer, you should consult with a tax professional.
How to file as a dual-status taxpayer
To file as a dual-status taxpayer, you must file Form 1040, U.S. Individual Income Tax Return. You will also need to attach a statement to your return to show the income for the part of the year you were a nonresident. You can use Form 1040-NR, U.S. Nonresident Alien Income Tax Return as the statement, but be sure to write “Dual-Status Statement” across the top.
Here are the steps on how to file as a dual-status taxpayer:
Gather all of your income and expense information for the year, including both U.S. and foreign-sourced income.
Complete Form 1040, U.S. Individual Income Tax Return.
Attach a statement to your return to show the income for the part of the year you were a nonresident. You can use Form 1040-NR, U.S. Nonresident Alien Income Tax Return as the statement, but be sure to write “Dual-Status Statement” across the top.
Calculate your tax liability and pay any taxes owed.
If you are a dual-status taxpayer who became a U.S. resident during the year and who is a resident of the U.S. on the last day of the tax year:
Write “Dual-Status Return” across the top of Form 1040.
Attach a statement to your return to show the income for the part of the year you were a nonresident. You can use Form 1040-NR, U.S. Nonresident Alien Income Tax Return as the statement, but be sure to write “Dual-Status Statement” across the top.
If you are a dual-status taxpayer who gave up residence in the United States during the year and who is not a U.S. resident on the last day of the tax year:
Write “Dual-Status Return” across the top of Form 1040-NR.
Attach a statement to your return to show the income for the part of the year you were a resident. You can use Form 1040, U.S. Individual Income Tax Return as the statement, but be sure to write “Dual-Status Statement” across the top.
It is important to note that filing a dual-status tax return can be complex. If you are unsure about how to file, you should consult with a American Taxpayers Living Abroad.
For more information, please see the IRS’s Publication 519, U.S. Tax Guide for Aliens.
Dual-status taxpayers must file a Form 1040 to report their income and taxes. On the Form 1040, dual-status taxpayers must prorate their income, deductions, and credits between the part of the year they were a resident alien and the part of the year they were a nonresident alien.
Dual-status taxpayers may also need to file additional forms, such as Form 1040NR and Form 8805. Form 1040NR is used to report income from U.S. sources for nonresident aliens. Form 8805 is used to claim the Foreign Earned Income Exclusion or the Foreign Tax Credit.
