Learn US Taxes with Tom Basey on TGD
U.S. taxes for new residents depend on residency status, and resident aliens are generally taxed on worldwide income, not just U.S.
U.S. taxes for new residents depend on residency status, and resident aliens are generally taxed on worldwide income, not just U.S. wages. The IRS uses the green card test or substantial presence test, plus filing and reporting rules like ITINs and FBARs.
Key Takeaways
- Resident aliens are generally taxed on worldwide income, while nonresident aliens are generally taxed only on U.S.-source income and certain effectively connected income.
- For 2025, the IRS says the substantial presence test requires at least 31 days in the United States and 183 weighted days across 2025, 2024, and 2023.
- New residents who cannot get a Social Security number may need an ITIN, which is a taxpayer ID used for federal tax purposes.
- Foreign financial accounts can trigger FBAR reporting when the aggregate value exceeds $10,000 at any time during the calendar year.
- Tom Basey's mini-course is a compact, beginner-friendly starting point for learning the core setup steps before your first filing season.
Table of Contents
- Understanding U.S. Taxes for New Residents
- Key Tax Concepts and Techniques
- Who Benefits from Learning U.S. Taxes?
- What Do Students Say?
- About the Creator
- Essential Tax Setup Concepts
- Watch Before You Enroll
- Frequently Asked Questions
- Conclusion
- Explore More on TGD
Understanding U.S. Taxes for New Residents
U.S. tax residency determines whether you are taxed on worldwide income or only U.S.-source income. According to the Internal Revenue Service, for calendar year 2025 you are a resident alien if you meet the green card test or the substantial presence test, which requires at least 31 days in the United States in 2025 and 183 weighted days across 2025, 2024, and 2023.
That distinction matters because resident aliens are generally taxed on worldwide income, while nonresident aliens are generally taxed only on U.S.-source income and effectively connected income. For new residents, the practical consequences show up fast. According to the IRS, an ITIN is a 9-digit taxpayer identification number for people who need one but cannot get a Social Security number, and foreign account reporting can also apply when the aggregate value of accounts exceeds $10,000 at any time during the year. The IRS expects about 164 million individual returns for tax year 2025, so clear setup and filing habits matter from the start.
Want to Learn U.S. Taxes Step by Step?
This mini-course on The Great Discovery turns residency rules, filing basics, and reporting triggers into a simple starting point.
Key Tax Concepts and Techniques
The basics of new-resident taxation come down to status, income scope, identification, and reporting. Once you understand those pieces, tax season becomes much more manageable.
Residency Tests
The green card test is the simplest path to resident alien status. If you do not have a green card, the substantial presence test looks at days in the United States across three years, so short trips can still matter.
Worldwide Income vs. U.S.-Source Income
Resident aliens usually report income from both inside and outside the United States. That makes first-year filing different from the tax systems many newcomers have used before.
ITINs and Taxpayer Identification
If you are not eligible for a Social Security number, the IRS may issue an ITIN. That number helps you file federal taxes and interact with the IRS when a taxpayer ID is required.
FBAR and Foreign Account Reporting
The FBAR threshold is not based on tax owed; it is based on account value. If your foreign accounts cross the $10,000 aggregate threshold at any time during the year, the reporting duty can apply.
Where to Get Help and How to Pay
New residents often need help with withholding, estimated payments, or the mechanics of filing. The safest move is to gather your income records early and use IRS guidance or a qualified tax professional when foreign income or accounts are involved.
Who Benefits from Learning U.S. Taxes?
This topic matters most for people who are new to the U.S. tax system and need a clean starting point. The listing's TGD Success and Nonprofit categories, plus its missing price and skill level fields, suggest a short beginner resource rather than a deep tax-prep program.
New Green Card Holders
If you just became a permanent resident, your tax status can change immediately. This is one of the clearest cases where the mini-course is a practical starting point, because the early questions are about status, not advanced deductions.
People Who May Meet the Substantial Presence Test
Workers, students, and long-term visitors can become resident aliens without expecting it. If your time in the U.S. is adding up across several years, a short overview helps you spot the change before filing season.
People with Foreign Income or Accounts
If you still have pay, savings, or investments abroad, you need to know how worldwide taxation and FBAR reporting work. That is where a compact course can save time before you hand the details to a preparer.
Volunteers, Advisors, and Community Helpers
Nonprofit staff, immigration helpers, and community volunteers often explain these rules to others. A structured introduction gives them a reliable base, especially when the questions are about residency, IDs, and reporting triggers.
What Do Students Say?
"Great overview! This is a valuable resource!"— Latara Dragoo
"Great insight for people wanting to become new US citizens."— Leigh Kadooka
The reviews point to clarity and usefulness rather than jargon. That is what you want from a first-pass tax explainer: enough structure to get oriented without overwhelming detail.
About the Creator
Tom Basey creates practical courses on technology, finance, and related topics. His creator profile shows 4 courses, 23 total learners, and a 5.0 average rating.
His bio says, "Courses on technology, finance, other topics." That fits this mini-course well because the focus is on clear explanations and usable next steps.
View Tom Basey's creator page on The Great Discovery
Essential Tax Setup Concepts
These are the building blocks that new residents need before filing their first return. Use the table below as a quick reference when you are sorting out residency, records, and reporting.
| Concept | What It Means | Why It Matters |
|---|---|---|
| Residency status | Whether the IRS treats you as a resident alien or nonresident alien. | It determines whether worldwide income or only U.S.-source income is taxed. |
| Substantial presence test | A day-count test that uses the current year and two prior years. | It can make you a resident alien even if you do not have a green card. |
| Worldwide income | Income from both U.S. and foreign sources. | Resident aliens generally must include it on a U.S. return. |
| ITIN | A tax ID for people who need one but are not eligible for an SSN. | It helps you file federal taxes and meet IRS identification requirements. |
| FBAR | A separate foreign account report triggered by account value. | It can apply even if you do not owe extra tax. |
| Filing support | IRS help, tax preparers, and community assistance programs. | Useful when your situation involves foreign income or reporting questions. |
Tom Basey's mini-course aligns well with these fundamentals because it focuses on the exact questions new residents ask first. If you want the concepts in one short lesson, this is the right kind of starting point.
Master U.S. Taxes with Expert Guidance
Tom Basey's course covers residency, income scope, IDs, and reporting basics in a compact format you can work through at your own pace.
Enroll in New Resident: Mini-course -- US Taxes →
Watch Before You Enroll
Watch this short video overview to understand the main ideas behind New Resident: Mini-course -- US Taxes before you enroll.
This video introduces New Resident: Mini-course -- US Taxes and previews this is a mini-course.
Frequently Asked Questions
What makes someone a U.S. resident alien for tax purposes?
For 2025, you are generally a resident alien if you meet the green card test or the substantial presence test. According to the IRS, the substantial presence test requires at least 31 days in the United States in 2025 and 183 weighted days across 2025, 2024, and 2023.
Do resident aliens pay tax on foreign income?
Yes. According to the IRS, resident aliens are generally taxed on worldwide income, the same way U.S. citizens are. Nonresident aliens are generally taxed only on U.S.-source income and certain effectively connected income.
What is an ITIN?
An ITIN is a 9-digit number the IRS issues to people who need a U.S. taxpayer identification number for federal tax purposes but are not eligible for a Social Security number. It is often used when a taxpayer needs to file a federal return without an SSN.
When do foreign bank accounts trigger FBAR reporting?
A U.S. person, including a resident, must file an FBAR if the aggregate value of foreign financial accounts exceeded $10,000 at any time during the calendar year reported. The rule applies even if the accounts do not produce taxable income.
How do new residents usually pay U.S. taxes?
Most taxpayers pay through wage withholding, estimated tax payments, or a balance due when filing. The best method depends on income type, employer setup, and whether you have U.S. or foreign-source income.
Is the mini-course beginner-friendly and what does it cover?
The scraped listing does not publish a price or formal skill level, so treat it as a compact starter. The course description says it covers what income taxes are, who has to pay, how to pay, and how to seek assistance with taxes.
Ready to Go Deeper?
You've learned the core pieces of new-resident tax setup: residency status, income scope, identification, and reporting. Tom Basey's mini-course gives you a structured next step from understanding to action.
Start Learning U.S. Taxes on TGD →
Conclusion
New residents need to understand four things first: how the IRS defines residency, whether worldwide income applies, when an ITIN is needed, and when foreign accounts must be reported. Once those basics are clear, filing becomes much less confusing and much easier to organize. If you want a short, practical walkthrough of the essentials, Tom Basey's mini-course is a logical next step. Start Learning U.S. Taxes on TGD →
Explore More on TGD
If you want to keep learning, start with these internal TGD paths:
- Browse TGD Success courses
- Browse Nonprofit courses
- Visit The Great Discovery homepage
- Visit Tom Basey's creator page
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