Newsletter for March 2009
The U.S. Embassy is transmitting the following newsletter via its warden system as a public service to U.S. citizens in the People's Republic of China. Please feel free to disseminate this message to U.S. citizens in your organizations or to other Americans you know.
If there are any particular topics you are interested in, please contact ACS at amcitbeijing@state.gov. We welcome your suggestions and your feedback.
In this issue, the following topics are addressed:
- Upcoming Holidays
- Travel to Western China
- Federal Tax information for U.S. Taxpayers Living Abroad
- Foreign Bank Account Reporting Requirement
- Criminal Record Check/Certificate of Good Conduct
- Helpful IRS Information
- Recent Travel Alerts and Warnings
- Embassy Contact Information
1. Upcoming Holidays:
The U.S. Embassy will be closed on the following dates:
April 6 Tomb Sweeping Day
May 1 International Labor Day
Please be advised that the days just before and after a holiday are usually exceptionally busy in the American Citizen Services Unit of the Embassy. Please be sure to schedule appointments on-line at http://beijing.usembassy-china.org.cn/service.html
A complete list of all of our holiday closings for 2009 is available at: http://beijing.usembassy-china.org.cn/holidays.html
In case of emergencies, please call the Embassy's emergency number at 86-10-8531-4000 from the United States or 010-8531-4000 within China.
2. Travel to Western China:
March 9, 2009
The United States Embassy in Beijing informs American citizens of an increased security presence in many Tibetan areas of China, including the Tibetan Autonomous Region (TAR), Tibetan communities in urban centers outside the TAR, and areas near universities established for ethnic minorities. According to the Sichuan Foreign Affairs Office, Ganzi Prefecture, Muli Tibetan Autonomous County in Liang Shan Prefecture, and Aba, Hong Yuan, Ruo Er Gai, Ma Er Kang and Rang Tang Counties in Aba Prefecture have been closed to foreigners. According to the Sichuan Foreign Affairs Office, Jiuzhaigou County of Aba Prefecture will stay open to foreigners.
For the latest security information, Americans living and traveling abroad should regularly monitor the Department’s Bureau of Consular Affairs web site at http://travel.state.gov, where the current Worldwide Caution, Travel Alerts, and Travel Warnings can be found. Up-to-date information on security can also be obtained by calling 1-888-407-4747 toll free in the U.S. or Canada, or, for callers outside the U.S. and Canada, a regular toll line at 1-317-472-2328. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).
The U.S. Embassy can be reached 24 hours per day at 86-10-8531-4000. The addresses and telephone contact information for the U.S. Embassy and Consulates in China are at the bottom of this announcement.
U.S. citizens residing or traveling in China are reminded to register with the U.S. Embassy or closest U.S. Consulate by entering your travel itinerary and contact information at: https://travelregistration.state.gov/ibrs. In case of difficulties registering online, please contact the closest U.S. Embassy or Consulate.
U.S. Embassy Beijing: Tian Ze Road intersection of An Jia Lou Road, Chaoyang District. Telephone number during regular business hours and for after hours emergencies: 86-10-8531-4000, Email: amcitbeijing@state.gov. Embassy’s website: beijing.usembassy-china.org.cn.
U.S. Consulate General Chengdu: Number 4, Lingshiguan Road, Section 4, Renmin Nanlu, Chengdu 610041, tel. 86-28-8558-3992, Email: consularchengdu@state.gov. For after hours emergencies, please call 86-1370-800-1422.
U.S. Consulate General Guangzhou: The Consular Section is located at 5th Floor, Tianyu Garden (II phase), 136-146 Lin He Zhong Lu, Tianhe District, Guangzhou 510133, tel. (86-20) 8518-7605, Email: GuangzhouACS@state.gov. Guangzhou adoptions Email: GuangzhouA@state.gov. For after hours emergencies, please call 86-20-8121-8000.
U.S. Consulate General Shanghai: The Consular Section is located in the Westgate Mall, 8th Floor, 1038 Nanjing Xi Lu, Shanghai 200041; tel. (86-21) 3217-4650, Email: Shanghaiacs@state.gov. For after hours emergencies, please call 86-21-6433-3936.
U.S. Consulate General Shenyang: No. 52, 14th Wei Road, Heping District, Shenyang 110003; tel. (86-24) 2322-1198, Email: ShenyangACS@state.gov. For after hours emergencies, please call 86-137-0988-9307.
3. Federal Tax Information for U.S. Taxpayers Living Abroad
American Citizen Services is happy to announce that the Internal Revenue Service has recently published a new IRS brochure to assist taxpayers abroad.
Publication 4732, Federal Tax Information for U.S. Taxpayers Living Abroad was developed as a resource to assist taxpayers in locating useful tax information to help in the preparation of their tax returns and/or in resolving tax account problems.
This publication is available at the Embassy in the American Citizen Services waiting room, but is also available on the Web at: http://www.irs.gov/pub/irs-pdf/p4732.pdf
4. Foreign Bank Account Reporting Requirement
American Citizens living abroad may be unaware of their obligation to report their foreign bank accounts to the Department of the Treasury. While there are many legitimate reasons to own foreign financial accounts, there are also responsibilities that go along with owning such accounts. Foreign account owners must remember that they may have to report their accounts to the government, even if the accounts do not generate any taxable income. American Citizens should contact the Internal Revenue Service directly with any further questions.
A foreign account of any amount must be reported on Form 1040, Schedule B. A foreign account that exceeds $10,000 at any time during the calendar year must be reported on Form TD 90-22.1
The Bank Secrecy Act requires U.S. persons who own a foreign bank account, brokerage account, mutual fund, unit trust, or other financial account to file a Form TD 90-22.1 Report of Foreign Bank and Financial Authority (FBAR), if:
The person has financial interest in, signature authority, or other authority over one or more accounts in a foreign country, and
The aggregate value of all foreign financial accounts exceeds $10,000 at any time during the calendar year.
The account must be reported, even if that account does not generate income.
A U.S. person is defined as:
A citizen or resident of the United States, or
Any domestic legal entity such as a partnership, corporation, estate or trust.
The FBAR is not an income tax return and should not be mailed with your income tax returns. The FBAR must be mailed on or before June 30 of the following year to:
U.S. Department of the Treasury, P.O. Box 32621, Detroit, MI 48232-0621.
Unlike with federal income tax returns, requests for an extension of time to file an FBAR are not granted.
Failure to file a FBAR can result in criminal and civil penalties, or both. If you learn you were required to file FBARs for earlier years, you should file the delinquent FBAR reports and attach a statement explaining why the reports are filed late. No penalty will be asserted if the IRS determines that the late filings were due to reasonable cause. Keep copies, for your records, of what you send.
Form TD 90-22.1, Report of Foreign Bank and Financial Authority, is available at www.irs.gov.
Schedule B of Form 1040
In addition to the reporting on Form TD 90-22.1, if an interest in or signature or other authority over a financial account in a foreign country (such as a bank account, securities account, or other financial account), you must report that interest on Schedule B of your Form 1040. Unlike interest earned from U.S. banks, there is no dollar threshold for this reporting requirement. For further information see Form 1040 Instructions, page B-2.
In sum, remember that you must report the existence of any and all foreign bank account(s) of any amount on Form 1040, Schedule B. For foreign accounts of $10,000 more, you must also report on Form TD 90.22-1.
More information on FBAR filing can be obtained at www.irs.gov, the Money Services Businesses’ Web site at www.msb.gov and the Financial Crimes Enforcement Network’s Web site at www.fincen.gov. Help in completing Form TD F 90-22.1 is available at 1-800-800-2877, option 2. The form is available online at www.irs.gov and www.msb.gov or may be ordered by telephone at 1-800-829-3676.
More information on Form 1040, Schedule B can be obtained at www.irs.gov.
If you have questions regarding the FBAR requirement, contact IRS by emailing irs.beijing@irs.gov.
5. Criminal Record Checks or Certificates of Good Conduct
ACS has recently been contacted by many American Citizens who are being asked by authorities or employers to provide “certificates of good conduct” or “proof of no criminal record” from the United States.
The United States Department of State has a web page that lists with options on how to obtain proof of their lack of a criminal record, either from local police departments or from the Federal Bureau of Information.
Please note that U.S. Embassies do not generally provide fingerprint services.
Please visit http://travel.state.gov/travel/tips/emergencies/emergencies_1201.html for more information.
6. Helpful IRS Information
Frequently Asked Questions Question – Since I live overseas, I have until June 15th to file my return. But, do I have to request an extension to get this?
Answer – It is not always obvious to IRS by looking at your address that you live abroad. So, to get the “automatic” extension, and to avoid later having to deal with erroneously assessed late file penalty, you should attach a statement to your tax return explaining that on the normal due date of the tax return (April 15th) you lived and worked abroad. The granting of the extension is automatic.
Please note that the extension to FILE is NOT an extension to PAY. If you owe tax, there will be interest, computed from April 15th. Also, IRS determines the filing date by postmark but payment date by the actual date the check is received. So, if you are sending a check with your tax return, be sure to allow mailing time so that the check arrives timely.
Question – Can I deduct charitable contributions I made to local Chinese organizations?
Answer – Unfortunately, you cannot – but you could make a donation to an American charitable organization who in turn distributes funds to a Chinese organization. The U.S. does have agreements with Canada, Mexico, and Israel to allow donations made in those countries to be tax deductable. But, there is no such agreement with China – yet.
If you have a common tax issue that would be of interest to others in the community, please send to the CLO or submit directly to irs.beijing@irs.gov
Filing season for the 2008 income tax return is upon us. During this filing season, IRS will provide some tax time tips and Q&A common to international taxpayers. If you have a question that you believe may apply to other local U.S. taxpayers, please submit through CLO. We will publish answers for everyone’s information.
Question – Can I deduct my Ayi’s salary as child care expense since she has no social security number? She takes care of my two minor children as well as cooks and cleans.
Answer – Yes. You can deduct a portion of what you pay your Ayi as child care expense as long as you meet the tests in PUB 503 (see link below). The dependent children will need to have social security numbers, but the caregiver will not need one.
Here is an excerpt from Pub 503 and the link:
"U.S. citizens and resident aliens living abroad. If you are living abroad, your care provider may not have a U.S. taxpayer identification number (for example, an SSN or an EIN). If so, enter “LAFCP” (Living Abroad Foreign Care Provider) in the space for the care provider's identification number. "
http://www.irs.gov/publications/p503/ar02.html#en_US_publink100049002
Depending on what percentage of time she spends to care for your child, you should only deduct a portion of Ayi’s pay related to child care.
To have a tax question answered directly by IRS, you can go to www.irs.gov
Click on “Individuals”
Click on “International taxpayers”
Click on “Help with tax questions – International Taxpayers”
Select Tax Law category, type your question and email address
Click on “Submit Query”
It is good (and free) to have a written record of tax advice from the IRS, which you should print and keep with your tax records.
How to Correctly Claim the Recovery Rebate Credit on your 2008 Return
The IRS sent taxpayers nearly 119 million economic stimulus payments last year. When filing a 2008 federal tax return, taxpayers will need to know the amount of their stimulus payment to properly determine if they are eligible for a “recovery rebate credit”.
Here are some tips for finding how much you received and correctly claiming the credit on your return:
1. Get your notice. Check the amount listed on Notice 1378, which the IRS mailed last year to individuals who received the economic stimulus payment.
2. Visit IRS.gov to find the amount. If you don’t have your Notice 1378, go to the “How Much Was My 2008 Stimulus Payment?” tool that is available on the IRS Web site, www.irs.gov. This tool can provide the correct amount in a matter of a few seconds.
3. Call the IRS at 1-866-234-2942. If you don’t have Internet access, call the IRS. After a brief recorded announcement, select option one to find out the amount of your economic stimulus payment. You will need to provide your 2007 filing status, Social Security Number and the number of exemptions claimed on your tax return. (This number is not toll free if you are outside the US.)
4. Keep the amount handy. With the amount of last year’s economic stimulus payment in hand, you will be able to enter the figure on the recovery rebate credit worksheet or in the appropriate location when your tax preparation software requests it. This number will not appear on your actual tax return but is vital to ensure the accurate determination of the recovery rebate credit amount.
5. Trust the software or the worksheet to get it right. Tax preparation software will automatically and correctly calculate the amount of the rebate recovery credit for you. The software will also properly report the credit on your tax return. If you are filing a paper return, the worksheet will guide you in calculating the proper amount of the credit. The recovery rebate credit should be reported on Line 70 of Form 1040, Line 42 of Form 1040A or Line 9 of Form 1040EZ. In order to avoid an error, use extra care when responding to the software questions or when completing the worksheet. Do not enter the stimulus payment directly on your return.
7. Recent Travel Warnings and Alerts
The U.S. Department of State has recently issued travel warnings or travel alerts for the following countries and regions:
Recent Travel Warnings
Sudan 02/26/2009
Pakistan 02/25/2009
Eritrea 02/18/2009
Syria 02/12/2009
Congo, Democratic Republic of the 02/05/2009
Haiti 01/28/2009
Philippines 01/27/2009
Israel, the West Bank and Gaza 01/15/2009
Burundi 01/08/2009
Current Travel Alerts
Mexico 02/20/2009
French West Indies 02/13/2009
Arabian Peninsula and Persian Gulf 02/11/2009
Madagascar 01/28/2009
Mali 01/07/2009
For information on Avian Flu, please see the following Factsheet: http://travel.state.gov/travel/tips/health/health_1181.html
For additional information about these travel warnings and alerts, go to this site:
http://travel.state.gov/travel/cis_pa_tw/tw/tw_1764.html
8. Embassy Contact Information
American Citizen Services
U.S. Embassy, Beijing
No. 55 An Jia Lou Road ( 安家楼路 )
Beijing 100600
Telephone: (86-10) 8531-4000
FAX: (86-10) 8531-3300
Email: amcitbeijing@state.gov
American Citizens should enter the Consular Section at the Embassy's east gate. The east gate is located at the Tian Ze Road Intersection of An Jia Lou Road, close to Ladies’ Street (Nüren Jie) and Laitai Flower Market, opposite the Kempinski Hotel and Lufthansa Shopping Center. The nearest subway location is the Liangmaqiao stop on line #10.
Address in Chinese:
美国驻华大使馆
美国公民服务处
北京市朝阳区安家楼路55号
邮政编码：100600
For the most current information regarding services, scheduling appointments and operating hours, please visit the American Citizens Services (ACS) page on the U.S. Embassy website http://beijing.usembassy-china.org.cn/service.html
End of newsletter.
Important Notices
Country Specific Information, Travel Alert and Travel Warning
Appointment System for American Citizen Services
