Does Form 8802 affect filing Form 2555

I have a client in Korea. She was asked to file out Form 8802 Application for US residency Certificate. This will allow her to avoid paying Korean taxes. The question came up if this will negatively affect filing Form 2555?


2 people found this helpful

Form 8802 does not actually change your status as a US resident for tax purposes, it only gets a letter from the IRS confirming the TP's status as a resident.  So I'm going to assume that TP is already a citizen or permanent resident.  If TP has been filing 1040NRs then their 8802 will be rejected.

If TP is qualifying for 2555 exclusion based on physical presence then there's no impact.  However if TP is qualifying under bona fide residence test then you may have an issue.  From the instructions to form 2555.

"If you submitted a statement of nonresidence to the authorities of a foreign country in which you earned income and the authorities hold that you are not subject to their income tax laws by reason of nonresidency in the foreign country, you are not considered a bona fide resident of that country."

I can't know for sure what your client is saying or not saying to the Korean government, but my guess is that sending them the US residency certificate would disqualify her from being a bona fide residence under the above rule.


Was this answer helpful? Yes No
2 additional answers

No answers have been posted

More Actions

People come to Accountants Community for help and answers—we want to let them know that we're here to listen and share our knowledge. We do that with the style and format of our responses. Here are five guidelines:

  1. Keep it conversational. When answering questions, write like you speak. Imagine you're explaining something to a trusted friend, using simple, everyday language. Avoid jargon and technical terms when possible. When no other word will do, explain technical terms in plain English.
  2. Be clear and state the answer right up front. Ask yourself what specific information the person really needs and then provide it. Stick to the topic and avoid unnecessary details. Break information down into a numbered or bulleted list and highlight the most important details in bold.
  3. Be concise. Aim for no more than two short sentences in a paragraph, and try to keep paragraphs to two lines. A wall of text can look intimidating and many won't read it, so break it up. It's okay to link to other resources for more details, but avoid giving answers that contain little more than a link.
  4. Be a good listener. When people post very general questions, take a second to try to understand what they're really looking for. Then, provide a response that guides them to the best possible outcome.
  5. Be encouraging and positive. Look for ways to eliminate uncertainty by anticipating people's concerns. Make it apparent that we really like helping them achieve positive outcomes.

Select a file to attach: