GILTI is a new term many expat taxpayers are getting familiar with. The year 2019 has brought many tax reforms, including the Tax Cut and the Jobs Act. The changes include tax rates modifications and other reforms. There are also changes in child tax credits, standard deduction, deductions for medical, charity, and state and local […]
The purpose of the IRS for the Foreign Tax Credit is to help taxpayers offset the adverse effects of double taxation. The FTC is a money-saving credit. If you want to claim this credit, you need to fill out Form 1116. This two-page form has a 24-page set of instructions from the IRS. The following […]
A group of Americans in France, known as the “accidental Americans,” is taking legal action. The lawsuit is filed against foreign banks which uphold FATCA. The expat subset argues that supporting FATCA is a form of discrimination. Many expats around the world disagree with the citizenship-based American taxes need. Who are the Accidental Americans? Accidental […]
Children may bring us a bright future, but there are expenses related to raising kids. As a consideration to the parents, taxpayers who have children and other dependents, can have several tax benefits. This is part of helping them with the related expenses of child-rearing. The tax reform bill gives several changes which can either […]
As an expat, FinCEN Form 114 or FBAR is one important form when it comes to tax filing. This form is where you report all of your non-US financial accounts including the highest balance for each of your financial accounts during the year. The complexity of this process occurs once you transfer funds between accounts. […]
These are the questions expats usually ask regarding Social Security. Read through and discover the answers to these questions. For those who worked abroad or retired abroad, what are the important Social Security considerations? Check first if the country where you work or retire has a Social Security Totalization Agreement with the US. If […]
Depending on how long you had your Green Card, IRS may surprise you with additional requirements when you decide to give up on your US citizenship. Being a green card holder means you have the same tax requirements as any other citizens of the USA. Even if you have surrendered your Green Card with the […]
President Trump signed the Tax Reform Act into law last December 22, 2017. Several changes for the rental properties occur. Some of these changes affected tax payers who own real estate. Especially those intended for rental business. Effective January 1, 2018, these changes are already in effect. These changes impact real estate properties in the […]
The H.R. 1 or “Tax Cuts and Jobs Act” has brought great changes in tax rates, policies, credits, and deductions. It will affect all individuals and citizens, both in the US and overseas. Here are some concerns, especially by foreign-based US citizens and companies. Who will be affected? The law states that all US […]
For foreign-based US citizens and residents, returning to their home country in the middle of the year seems like the best option. Aside from avoiding holiday rush, there will be more room for adjustment and relocation. But, does it make a difference when it comes taxes? These are tips to consider while planning to go […]
