{"id":3661,"date":"2024-01-18T05:46:00","date_gmt":"2024-01-18T05:46:00","guid":{"rendered":"https:\/\/www.irstaxapp.com\/?p=3661"},"modified":"2024-01-18T10:15:39","modified_gmt":"2024-01-18T10:15:39","slug":"what-are-closer-connection-exceptions-for-substantial-presence-test","status":"publish","type":"post","link":"https:\/\/www.irstaxapp.com\/what-are-closer-connection-exceptions-for-substantial-presence-test\/","title":{"rendered":"What are Closer Connection Exceptions for Substantial Presence Test?"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><picture><source srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-1024x576.webp 1024w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-300x169.webp 300w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-768x432.webp 768w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-150x84.webp 150w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-750x422.webp 750w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-1140x641.webp 1140w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px.webp 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" type=\"image\/webp\"><img src=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-1024x576.png\" height=\"576\" width=\"1024\" srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-1024x576.png 1024w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-300x169.png 300w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-768x432.png 768w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-150x84.png 150w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-750x422.png 750w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px-1140x641.png 1140w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2020\/07\/Non-Resident-Alien-1200-x-675-px.png 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" class=\"wp-image-7514 sp-no-webp\" alt=\"closer connection exceptions\" decoding=\"async\" loading=\"lazy\"  > <\/picture><\/figure>\n\n\n\n<p>The answer is yes as the rule of <em>Closer Connection Exceptions<\/em> provides a relief to a person <strong>who fulfils three years presence condition as provided under the substantial presence test , but was not present in USA for 183 days .<\/strong> In such case, on account of Closer Connection Exception, he can claim to be non-resident alien in current year. in other words, even if one passes the <a href=\"https:\/\/www.irstaxapp.com\/use-substantial-presence-test-calculator\/\">substantial presence test<\/a> , one can still be treated as a nonresident alien<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_62 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6629143f2a1da\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6629143f2a1da\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.irstaxapp.com\/what-are-closer-connection-exceptions-for-substantial-presence-test\/#What_are_conditions_for_claiming_closer_connection_exception_to_SPT\" title=\"What are conditions for claiming closer connection exception to SPT?\">What are conditions for claiming closer connection exception to SPT?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.irstaxapp.com\/what-are-closer-connection-exceptions-for-substantial-presence-test\/#How_to_demonstrate_a_closer_connection_to_two_countries\" title=\"How to demonstrate a closer connection to two countries?\">How to demonstrate a closer connection to two countries?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.irstaxapp.com\/what-are-closer-connection-exceptions-for-substantial-presence-test\/#How_to_prove_a_closer_connection\" title=\"How to prove a closer connection?\">How to prove a closer connection?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.irstaxapp.com\/what-are-closer-connection-exceptions-for-substantial-presence-test\/#When_are_you_not_be_eligible_for_the_Closer_Connection_exception\" title=\"When are you not be eligible for the Closer Connection exception?\">When are you not be eligible for the Closer Connection exception?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.irstaxapp.com\/what-are-closer-connection-exceptions-for-substantial-presence-test\/#How_to_apply_for_the_Closer_Connection_exception\" title=\"How to apply for the Closer Connection exception?\">How to apply for the Closer Connection exception?<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_conditions_for_claiming_closer_connection_exception_to_SPT\"><\/span>What are conditions for claiming closer connection exception to SPT?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Closer Connection Exception to the Substantial Presence Test applies , if following conditions are fulfilled:<\/p>\n\n\n\n<ul>\n<li>The individual must be present in the United States for less than 183 days during the year<\/li>\n\n\n\n<li>he \/she has a tax home in a foreign country during the year.<\/li>\n\n\n\n<li>Have a closer connection during the year to one foreign country in which he\/she has a tax home than to the United States. <\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_demonstrate_a_closer_connection_to_two_countries\"><\/span>How to demonstrate a closer connection to two countries?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You can demonstrate  closer connection to at most two foreign countries if you fulfill all the following conditions:<\/p>\n\n\n\n<ol>\n<li>You have a tax home beginning on the first day of the year in one foreign country,<\/li>\n\n\n\n<li>You changed your tax home during the year to a second foreign country,<\/li>\n\n\n\n<li>You continued to maintain your tax home in the second foreign country for the rest of the year,<\/li>\n\n\n\n<li>You had a closer connection to each of those foreign countries than to the United States for the period during which you maintained a tax home in that foreign country, and<\/li>\n\n\n\n<li>You&nbsp;were subject to tax as a resident under the tax laws of either foreign country for the entire year or subject to tax as a resident in both foreign countries for the period during which you maintained a tax home in each foreign country.<\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_prove_a_closer_connection\"><\/span>How to prove a closer connection?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You will have to satisfy the  IRS  that you actually have maintained more significant contacts with the foreign country than with the United States.This can be done by bring out  following the facts and circumstances <\/p>\n\n\n\n<ul>\n<li>Various forms and documents, you filed shows your foreign country as residence<\/li>\n\n\n\n<li>The types of official forms and documents you file, such as\u00a0<a href=\"https:\/\/www.irstaxapp.com\/w-9-form-10-most-important-things-you-must-know\/\">Form W-9<\/a>, Request for Taxpayer Identification Number and Certification,\u00a0W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding, or\u00a0W-8ECI, Certificate of Foreign Person\u2019s Claim That Income Is Effectively Connected With the Conduct of a Trade or Business in the United States.<\/li>\n\n\n\n<li>The evidence to support location of:\n<ul>\n<li>Your permanent home,<\/li>\n\n\n\n<li>Your family,<\/li>\n\n\n\n<li>Your personal belongings, such as cars, furniture, clothing, and jewelry,<\/li>\n\n\n\n<li>Your current social, political, cultural, or religious affiliations,<\/li>\n\n\n\n<li>Your business activities (other than those that constitute your tax home),<\/li>\n\n\n\n<li>The jurisdiction in which you hold a driver&#8217;s license,<\/li>\n\n\n\n<li>The jurisdiction in which you vote, and<\/li>\n\n\n\n<li>Charitable organizations to which you contribute.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"When_are_you_not_be_eligible_for_the_Closer_Connection_exception\"><\/span>When are you not be eligible for the Closer Connection exception?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You cannot claim you have a closer connection to a foreign country if you tried to change your status to that of a Lawful Permanent Resident. In other words , if you filed any of following documents or you had an application pending for adjustment of status to Lawful Permanent Resident during the year, then your intent to become a Lawful Permanent Resident of the United States is deemed proven. In such a case,you <em><strong><mark style=\"background-color:rgba(0, 0, 0, 0)\" class=\"has-inline-color has-luminous-vivid-orange-color\">may not be eligible <\/mark>for the Closer Connection Exception.<\/strong><\/em><\/p>\n\n\n\n<ul>\n<li>Form I-508, Waiver of Rights, Privileges, Exemptions and Immunities<\/li>\n\n\n\n<li>Form I-485, Application to Register Permanent Residence or Adjust Status<\/li>\n\n\n\n<li>Form I-130, Petition for Alien Relative<\/li>\n\n\n\n<li>Form I-140, Immigrant Petition for Alien Worker<\/li>\n\n\n\n<li>Form ETA-750, Application for Alien Employment Certification<\/li>\n\n\n\n<li>Form OF-230, Application for Immigrant Visa and Alien Registration<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_apply_for_the_Closer_Connection_exception\"><\/span>How to apply for the Closer Connection exception?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>IRS provides&nbsp;<a href=\"https:\/\/www.irs.gov\/forms-pubs\/about-form-8840\" target=\"_blank\" rel=\"noopener\">Form 8840, Closer Connection Exception Statement for Aliens<\/a>, that you must file  with your tax return ,if you are filing a U.S. federal income tax return. However,if you do not have to file a U.S. federal income tax return, send Form 8840&nbsp;to the Internal Revenue Service Center by the due date for filing&nbsp;the income tax return.<\/p>\n\n\n\n<p class=\"has-very-light-gray-background-color has-background\"><strong>Filing&nbsp;Form 8840 with IRS within due date is obligatory if you desire to claim a closer connection exception to the substantial presence test.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The answer is yes as the rule of Closer Connection Exceptions provides a relief to a person who fulfils three years presence condition as provided under the substantial presence test , but was not present in USA for 183 days . In such case, on account of Closer Connection Exception, he can claim to be [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7514,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[6],"tags":[1383,1386],"amp_enabled":false,"_links":{"self":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/3661"}],"collection":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/comments?post=3661"}],"version-history":[{"count":1,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/3661\/revisions"}],"predecessor-version":[{"id":7515,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/3661\/revisions\/7515"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/media\/7514"}],"wp:attachment":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/media?parent=3661"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/categories?post=3661"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/tags?post=3661"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}