A U.S. permanent resident card (i.e., a U.S. Green Card) allows a non-U.S. individual to live and work permanently in the United States.
To obtain a Green Card, the nonresident must meet certain eligibility criteria. The U.S. Citizenship and Immigration Services (USCIS) outlines the following categories of eligibility for nonresidents:
- Family Members Who are U.S. Citizens or Permanent Residents
- Employment in the U.S.
- Special Immigrant Status
- Refugee or Asylee Status
- Victims of Human Trafficking and Crime
- Victims of Abuse
U.S. Tax Residency and Filing Obligations
Under the Internal Revenue Code (IRC), a U.S. person is any person described in IRC Section 7701(b)(1)(A). Under that section, a resident alien includes an individual who is a lawful permanent resident of the United States at any time during the calendar year.1
Once an individual obtains their permanent residency card, the individual is a U.S. person for federal tax purposes. The individual must file Form 1040 (US Individual Income Tax Return) and comply with other disclosures, such as FinCEN FBAR reporting via Form 114 (Report of Foreign Bank Accounts).
A Green Card holder continues to have U.S. tax resident status, even if the person lives outside the United States. The person continues to have U.S. resident status unless:
- The individual voluntarily renounces and abandons their permanent resident card in writing to the USCIS
- The USCIS administratively terminates the individual’s immigrant status, or
- A U.S. federal court judicially terminates the individual’s immigrant status.
Additional Information
Nonresidents and permanent residents can find more information about Green Cards and the various U.S. tax issues by visiting the IRS website.