How to create and e-file Form 1040-NR

Beginning in tax year 2016, Form 1040-NR, Nonresident Alien Income Tax Return, can be created and e-filed through Drake Tax. The NR screens are found on the Foreign tab of data entry. 1040-NR data entry has been broken into 3 separate screens that serve the following purposes:

• NR - Nonresident Alien Income Tax Return - for entering personal and demographic information for the 1040-NR

• NR2 - Schedule NEC - used to complete Schedule NEC, Tax on Income Not Effectively Connected With a U.S. Trade or Business

• NR3 - Schedule OI - for completing Schedule OI, Other Income

By making an entry on any of the above mentioned screens, the return will automatically switch from a 1040 return to a 1040-NR return in View/Print mode. If the return should instead be filed as a 1040, delete all NR screens using the Ctrl +D hot key.

Amending the 1040-NR. Use Form 1040-X. See the Instructions for Form 1040-NR.

e-Filing:

Form 1040-NR can be e-filed starting with Drake16. All prior years will still have to be paper-filed.

Note: Drake Tax does not support the creation of Form 1040-NR for an estate or trust.