I am a Dutch citizen and I recently got married to an American citizen in November 2011 and I didn't file a tax return. My husband filed married but separately. I receive disability income from the Netherlands, where I pay all my taxes for my income and house. I don't receive any income in the US. What tax form do I have to file since I have been in the US for almost the whole year. I know there is a treaty, but how do I use this to avoid double taxation?

ANSWER

The BIDaWIZ Team's Answer:

You are considered a resident alien for tax purposes. This means that you are generally subject to tax in the same manner as a US citizen. If you are a resident alien, you must report all interest, dividends, wages, or other compensation for services, income from rental property or royalties, and other types of income on your US tax return even if the source is overseas. You may claim a tax credit via form 1116 with your 1040.