Taxpayer asks:
Just curious, are the foreign taxpayers who are not American citizens also going to get the stimulus rebate checks? I’ve heard people from all over the world have been filing tax forms for the stimulus payment. (And apparently, these are non-American citizens who have social security numbers).
Taxgirl says:
Permanent residents overseas who are American citizens (and otherwise qualify) will receive a rebate. You can see my prior answer to this question here.
Generally, overseas taxpayers who are not American citizens would not have a legally obtained Social Security number. Social Security numbers are assigned only to American citizens and others who qualify due to their immigration status (usually, green card holders). Non-American citizens who live abroad but are subject to US taxation file taxes using an ITIN; ITIN holders do not qualify for the rebates.
Additionally, nonresident aliens do not qualify for the rebate nor do taxpayers who file form 1040NR or Form 1040NR-EZ, Form 1040PR or Form 1040SS.
For more information about taxpayers who are ineligible for a rebate, see my prior post.
As for fraudulently obtaining a rebate, I don’t mean to sound patronizing but the rebate is, in most cases, not a lot of money for a single taxpayer under those circumstances. It seems like a lot of work to illegally obtain a Social Security Number overseas, file a tax return (and likely owe tax as an overseas taxpayer) simply to garner up to $600.
Even if you somehow legally obtained a Social Security number and file a regular 1040 while overseas – and not a US citizen – you would have to incur a tax liability to qualify for the rebate. And you’d be on the IRS’ radar moving forward, which would be a deterrent for first time filers simply to get the rebate. I just don’t see it.
So, I’m inclined to believe that it’s not happening as much as rumors would have folks believe.
Like any good lawyer, I need to add a disclaimer: Unfortunately, it is impossible to give comprehensive tax advice over the internet, no matter how well researched or written. Before relying on any information given on this site, contact a tax professional to discuss your particular situation.
Have a question? Ask the taxgirl!
I have a sister who voluntarily moved to Europe more than 35 years ago, with no intention to ever return to the US. She and her children are entitled to vote here forever (all of her descendants are entitled to vote here as long as they keep getting US passports)–regardless of whether they can even speak English), but they pay no taxes here (do not even file US returns), own no property here, vote and pay taxes in their home country abroad, and have no intention of ever living in the US. Why should they be permitted to vote in the US elections? The outcome here does not impact their life in any way. It is just not fair.
I am concsidering moving and living outside the US on a Permanent basis. What are the conditions concerning income taxes after a period of time?
As for the Family mentioned above I agree they should be allowed to vote, and be considered US citizens living abroad.