May have been answered earlier, excuse if this is repeat.
Found the question been raised couple of times in other threads but could see any responses.
US Citizen, residing in India.
US Tax Year : Jan/15-Dec'15
India Tax Year : Apr'15-Mar'16
Showing Foreign income and tax paid from India to claim Foreign Tax Credit in US Tax Returns for year 2015. Two options -
1. Show the income and tax paid from India Tax Year (Apr'15-Mar'16).
2. Come up with calculation - income and tax paid from previous India Tax Year (Jan'15-Mar'15) + income and tax paid from current India Tax Year (Apr'15-Dec'15)
What option should be used?
Even though painful #2 seems to be the right thing to do, would like to hear opinion\thoughts\experiences.
Managing the tax year differences between US (Jan-Dec) and India (Mar-Apr)
Managing the tax year differences between US (Jan-Dec) and India (Mar-Apr)
Dear Hyd094,
As India and USA both have different tax years, Option two will be better. Indian Incomes and Taxes paid in India will be calculated for January 2015 to December 2015 and that Income should be reported in US Tax Return.
And further, due to applicability of FATCA Laws, It is better to show Indian Financial Assets also in US Return.
Regards,
pus
As India and USA both have different tax years, Option two will be better. Indian Incomes and Taxes paid in India will be calculated for January 2015 to December 2015 and that Income should be reported in US Tax Return.
And further, due to applicability of FATCA Laws, It is better to show Indian Financial Assets also in US Return.
Regards,
pus