Border clarification

In the last edition of the All Point Bulletin, it was reported that “the U.S. Internal Revenue Service considers someone a U.S. resident for tax purposes if they meet the “substantial presence test,” which adds up a portion of the days spent in the U.S. over three years.

Exemptions to the “substantial presence test” include commuting to work in the U.S., trips less than 24 hours between two points outside the U.S. or if you were unable to leave for medical reasons.

Visitors can extend that period to 182 days if they file a “closer connection exemption,” IRS form 8840, which establishes closer ties to another country for taxation purposes.