Form 1040!!!

[ALETEIA]

Hello everyone, I have a question about tax filing for a client who receives income outside the US and already pays taxes in their country of origin. Additionally, they receive dividends from a company and transfer the money to the US via bank transfer.

The client submitted Form 1065, but there was no income movement, so no amounts are recorded. For Form 1040, do I need to include the transaction of money transferred from the country of origin to the US? What forms are necessary to report these international transfers?

I would appreciate it if someone could clarify how to proceed with this situation. Thank you!"

[sjrcpa]

If your client is a US citizen or Resident Alien they pay US tax on their worldwide income, whether or not they bring it into the US.

I'm not sure what "The client submitted Form 1065, but there was no income movement, so no amounts are recorded." means.

And their ownership in foreign entities may require filing of additional disclosure forms FBAR, 8938, 5471, 8865, etc. that carry hefty penalties. Also possible GILTI tax.