Nonresident (1040-NR) Tax Returns
Accounting services
Nonresident Tax Return Preparation (Form 1040-NR)
If you're not a U.S. citizen or resident but you have U.S. income, you may need to file a U.S. return. We prepare Form 1040-NR for nonresidents with rental income, business income, and U.S. real estate sales.
Who Files Form 1040-NR
Nonresident aliens generally file Form 1040-NR when they have U.S. income that isn't fully covered by withholding, or when they want to claim a refund or treaty benefit. Common situations include:
- Rental income from U.S. property
- Selling U.S. real estate, including recovering excess FIRPTA withholding
- Income from a U.S. business or partnership
- U.S. wages for part of the year
Resident or Nonresident?
Your filing status depends on U.S. residency rules, including the green card test and the substantial presence test, which counts days spent in the U.S. over three years. Treaties can also affect residency. We confirm your status first, because it determines which return you file and which income the U.S. can tax.
Rental Property Owners
Foreign owners of U.S. rental property can often elect to be taxed on net rental income instead of gross rents, which allows deductions for expenses and depreciation. The election has to be made correctly and early, so it's worth reviewing when you buy.
ITINs
If you don't have a Social Security number, you'll need an Individual Taxpayer Identification Number to file. Our subsidiary FIRPTA Solutions has Certified IRS Acceptance Agents who can help with ITIN applications.
Related Reading
- Selling Florida Property as a Foreign Owner: Tax Checklist
- Tax Treaties for Foreign Investors in U.S. Real Estate
Frequently Asked Questions
Do I need to file a 1040-NR if tax was already withheld?
Often yes, especially if the withholding doesn't match your actual tax, or if you want a refund of excess withholding after a property sale.
Can I deduct expenses on my U.S. rental property as a nonresident?
Usually, if you elect to treat the rental income as effectively connected with a U.S. trade or business. Without the election, tax is generally withheld on gross rents.
What if I don't have a Social Security number?
You'll need an ITIN. Our subsidiary FIRPTA Solutions can help with the application.
