2011 Taxes

My advice to you is not to pay taxes as a part year resident unless you have W-2 income in the USVI. If at all possible pay taxes in the US for 2011 and then starting January 1st 2012 paying taxes in the USVI. I am still arguing with the BIR about my part year return for 2006

Remember that regardless of what year you begin paying taxes here you need to file a Form 8898 with the IRS. If you have any self employment income in the USVI beside filing a 1040 you will also have to file a 1040-SS and send your self employment taxes to the IRS in Texas even if you pay your income taxes here.

Jim

Yes, sunny95 should be careful. Maybe find an accountant. Oh wait, that was why he/she started this thread!

Kathy Gibson 776-0640

Thank you for the advice, I will be giving Kathy a call.

I wouldnt pay anything to USVI. They are criminals. They are so inundated with work from years past they will not get to your return until 2020 probably. And then USVI won't be US so who cares.

I will try to keep this story brief, although it plagued me for about 10 years. The first year we were in the VI, we arrived Jan. 26, 1996. All money I made in 1995 was made in FL. I called IRS, and they told me to file in Philadelphia. I did so, and used my St. Thomas address as my current address. WHAT a MISTAKE! Filing in PA was fine, but since I used a VI address, then the VI was entitled to part of my taxes for the year (apparently when you pay your taxes for the previous year, it is to pay for services for the coming (current) year.

IRB (VI) was supposed to file a request for their share of my taxes, after being notified by IRS. They never did. Several years later, when applying for a mortgage, it came to light that I had an IRB tax lien against me. They readily admitted it was their fault, said they would immediately remove the lien and life goes on. NOT....I have actually forgotten how many times I went round and round with the IRB, and the complete incompetence. The same lady that told me it would be cleared up called me the following year to ask when I was going to pay off my tax lien. When I reminded her of my situation, she hung up on me.

I was in touch with IRB just a few months ago, in preparation for applying for another mortgage, and they told me yes it had been released, but it STILL had not been recorded. Over the years, banks and mortgage companies have been willing to work around it, but I know one of these days it will be there haunting me.

I am sharing this to emphasize how very important it is to cross your t's and dot your i's, at every turn. I just filed on my own, with no guidance, other than the IRS saying file in PA. For anyone filing for the first time in the VI, with income from the states, get professional help!

Continuing on my previous post I just had to hire an attorney to sue the VI before they start filing liens on my property for 2006 Income taxes. My attorney told me the situation is really bad at the BIR as many employees took the buy out leaving them short handed.

Many of the people at the BIR are not competent. Last year I got a notice from the BIR claiming that they couldn't match the SS#s on our return with the names. They had totally messed up transcribing our names when they copied them from the return to their data base and our return was typed using Turbo Tax. No QC or the common sense to look at the return again to see if they perhaps made a data entry error.

Refund Story/Warning...

Two weeks ago I had to go to the Stx VI IRB office to get a licensing form stamped (unrelated to my return). At the same time I asked them "did my return refund get processed and did I somehow miss the check?" They looked it up on their computer and said, "Oh, we are holding your return because we have a question about it." I said, "When were you going to tell me that?"

Last year when this happened, they both called AND sent me a letter requesting more information. This year, NOTHING

When I asked to speak to someone, they called back into an office. I was then asked if I had my copy of my return on me. I did not because I had not come there for that reason. Made me wonder if they had LOST my tax return. (And yes, I have a stamped copy, and I'm in their system).

So.... if you have not yet received your refund, I would strongly suggest you go into their office and ask if there is a problem with your return. I am probably not the only person they failed to notify that they needed more info.