I have a question regarding my tax return. Last year I worked in the US with a J-1 visa. Besides my wage I received rental reimbursement for bringing my own laptop and a housing allowance. My employer documented both amounts as "equipment" under reimbursements on my payslips. Taxes were withheld only from my wage, not from the reimbursements.
The W2 I received states the amount I received as wage, while the 1099 miscellaneous form states the reimbursements’ amount under “rentals”.
I sent all documentation to an online company that files tax returns for people who have worked abroad. They claim that I’m not entitled to a tax refund but that I actually owe tax.
I understand the housing allowance wasn’t documented properly by my employer, but either way aren’t reimbursements supposed to be tax free? I don’t understand why I now have a tax debt.
I hope someone can give me some clarification before I pay the supposed debt. Thank you very much in advance.