Foreign Income Disclosure and calculation methodology

[Guest]

Hi

I had earned US Income in one of my past years. I had paid the following taxes there

1. Federal Tax

2. State Tax

3. Social Security Tax

4. Medicare Tax

However, I was a Resident Indian in that year as I had stayed in India for 60+ days and I had returned to India. But unknowingly I had filed as a NRI, which I was actually not.

Question 1. In the context of the black money law how can I pay the differential tax (if any)

Question 2. What is the calculation methodology for the same.

a) Which Income should I include , Gross Income or Net Income

b) Do I get credit for both Federal and State Taxes

c) How to account for Social Security and Medicare Taxes.

Please help.

AI Summary

Resident Indian Seeks Guidance on Correcting NRI Tax Filing Error; Queries on Black Money Law and Tax Credits. An individual, who was a Resident Indian but mistakenly filed taxes as a Non-Resident Indian (NRI), seeks advice on rectifying this under the black money law. They had earned income in the U.S. and paid federal, state, social security, and Medicare taxes. The individual inquires about the methodology for calculating any differential tax owed, specifically questioning whether to use gross or net income, if credits for federal and state taxes are applicable, and how to account for social security and Medicare taxes. They request guidance on addressing these issues.