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Expatriate Tax Returns

Globalization

Number of Expatriates is Growing at Steady Rate

An article on the CNBC website, which appeared this past summer, shows that a steady stream of American citizens have chosen to live and work outside of the United States as expatriates. Some of these Americans have renounced their U.S. citizenship because of the implementation of stricter tax rules. However, most expats do not renounce their citizenship. The tax issues that American expats face are significant and can include facing higher tax bills, difficulty in obtaining and keeping financial accounts and complex retirement savings rules.

At Expatriate Tax Returns, we are happy to see such a notable rise in the rate of expatriates. We think it’s a wonderful experience for professionals to spend a few years abroad, but we also caution our clients that there are several important tax considerations to keep in mind as an American expat. Remember that Americans who reside in another country must file a Report of Foreign Bank and Financial Accounts, or FBAR. That form should disclose any accounts Americans have that hold an aggregate of more than $10,000. There are stiff penalties if you fail to file an FBAR. Additionally, the Foreign Account Tax Compliance Act (FATCA) requires foreign institutions to disclose the holdings U.S. citizens have. Americans also need to disclose any foreign mutual funds and insurance or pension products that they own. Those holdings may be viewed as passive foreign investment companies, or PFICs, by the IRS. There are also certain rules that can offset the tax bills that Americans living abroad face.

Many of these tax rules and policies could change in the coming years. It’s a lot to consider for expatriates and staying abreast of IRS changes is even more difficult to do. That’s where we come in. The experienced tax professionals at Expatriate Tax Returns have made it our mission to help expatriates like you and to follow all of the changes in the tax code for expats. Leave it to us to handle your tax returns and ensure that your experience as an expat is a stress-free one. All of us at Expatriate Tax Returns wish you and your family a happy new year. We hope 2019 is a successful and great year for you!

The Importance of Tax Specialization

 

There are a lot of tax firms that are good at a lot of different areas when it comes to tax preparation. And then there is Expatriate Tax Returns. We’re very good at one area… expat taxes. That is what we focus on. Nothing else.

With so many tax preparers out there, you need to be sure of the type of firm you are hiring. Many tax firms are not accustomed to dealing with the complexities of expatriate tax returns for Americans living abroad and that may mean less money refunded on your tax return, or more tax you will have to pay that you actually should not.

 

 

We specialize in expat taxes and we have the years of experience that give us a considerable edge in this category of tax preparation. You can see from the client testimonials on our website that our clients recognize we are in our own category when it comes to preparing tax returns for American expatriates. We truly understand all of the deductions and credits that you, our expat client, may be eligible for. We will not allow you to pay one cent more than you owe.

At Expatriate Tax Returns, we are efficient, quick and honest. We will work with you either via video chat, email or the phone. This high level of communication allows you the flexibility and convenience of filing your taxes securely from anywhere in the world. Contact us today to see why we’re the #1 expat tax firm.

How the Trump Tax Cuts and Jobs Act Will Affect American Expats

Just before Christmas, President Donald Trump signed the 1,100-page Tax Cuts and Jobs Act, or TCJA, into law. This reform of the tax code won’t affect your 2017 expatriate filings, but it will have an effect on your 2018 tax returns. This is meant as a general guide; you should always consult with a professional at Expatriate Tax Returns before filing.

Expatriate Tax Returns

Let’s start with some acronyms:

CBT – Citizenship-Based Taxation – a country, like the United States, taxes you based on the citizenship you hold.

RBT – Residence-Based Taxation – a practice employed by many other countries, taxing you based on where you live.

FEIE – Foreign Earned Income Exclusion – This is a dollar for dollar deduction on foreign-earned money that you’ve already paid foreign taxes on, currently limited at $104,100 annually. This is calculated every year but will no longer increase as quickly. Going forward, it will no longer be calculated on the Consumer Price Index (CPI), but rather on the slower moving Chained Consumer Price Index.

FATCA – Foreign Account Tax Compliance Act – This law was enacted in 2010 and increased the US government’s authority to come after expatriate taxes.

NIIT – Net Investment Income Tax – This is a 3.8% tax that is exempt from the FEIE and often results in double taxation.

The Tax Cuts and Jobs Act won’t necessarily have a large impact on American expatriates, but you can always contact us at Expatriate Tax Returns for detailed information and consultation. In conclusion, the Tax Cuts and Jobs Act won’t have significant impacts on American expats working overseas, but expatriate owners of small businesses will definitely feel the pinch.

Tax returns are always a complicated endeavor for expats, and that will be true for this year’s returns, next year’s and beyond. Every individual situation is different, and our certified expatriate tax consultants are here for you. The 2017 tax filing deadline is June 15th – let us help you get started today!

The Big Move Means Big Decisions

Now is the time of year that many big corporations are discussing HR changes for the fall. If you’re involved in these discussions, you could soon be contemplating a big move overseas.

If you plan to move abroad this year, it will be an exciting and challenging time. There are many factors to consider like what your spouse will do overseas and where your kids will go to school. There are also a plethora of opportunities and experiences to look forward to as an American expatriate. After accepting a new job overseas or a job transfer to a country outside the United States, it’s important to create a long “To Do List” with critical items like finding a place to live, forwarding mail, and finding a physician in your new country. Selecting a trustworthy and dependable CPA firm with experience working with expats is also essential.

Expatriate Tax Returns has many years of tax planning and preparation experience, specifically for expats. We put that knowledge to work for you — our clients. It’s critical to inform the Internal Revenue Service (IRS) that you are moving abroad and to call our accounting team to make sure you’re prepared before you make the big move.

A few things to remember before you become an expat: update your contact information with the IRS so they can properly send your refund or any future correspondence. You can update your address with the IRS by completing Form 8822, Change of Address at any time during the year. Failure to notify the IRS of an address change can be costly. For example, it can keep you from contesting a lien for unpaid taxes. At Expatriate Tax Returns, we understand that planning for the big move abroad is challenging and there are already so many things to think about. We can help you alleviate the stress by walking you through this journey hand-in-hand. We’ve helped thousands of U.S. expatriates successfully transition to their new country and we’ll help you too.

No matter where you are in the process of your preparation for becoming an expat, call us for trusted, professional assistance. There are some many wonderful advantages to being an expatriate, but it’s also a time full of important decisions to make. Here’s an easy one: Call ExpatriateTaxReturns.com today at 877-382-9123 or fill out the form on our Website. We’ll be with you every step of the way.

Meghan Markle, World-Famous American Expatriate Now

The month of December brings with it reflections on the past year and thoughts about the year to come. This is certainly true for actress Meghan Markle, known for her role as Rachel Zane on the TV series “Suits.” Markle recently announced her engagement to Prince Harry and the news broke the Internet. The couple will be married next spring in London in front of Queen Elizabeth, Prince William, Kate Middleton, Prince Charles and the whole world.

meghan-markle

The Los Angeles-born Meghan Markle has spent time living in Toronto while filming her television show “Suits.” This means that she already has some experience as an American expat, but her move to London and into the British Royal Family will certainly be a much larger change. As the actress Markle has announced she’ll maintain dual citizenship, she must continue to pay expatriate taxes. This soon-to-be British Royal is facing many of the same questions you will as an American expatriate.

There are many factors to consider when moving to another country outside of the U.S. There are different cultural norms, different financial statutes and often a language barrier. You must also remain responsible for any U.S. taxes owed. Expatriate tax returns are a complicated, specialized field of tax preparation.

All aspects of our tax system are currently being debated by Congress in Washington and there are no guarantees what your tax forms will look like in 2018 and beyond. For this reason, our online company, Expatriate Tax Returns, exists. You may not be a future princess of the British Royal Family, but our team of dedicated and talented CPAs will treat you like you are royalty.

Our Company’s Reputation is Everything

Reputation is everything and at ExpatriateTaxReturns.com, we value our strong reputation as the #1 trusted expatriate tax prep firm in the world. We are well aware that we are in the business of helping Americans around the globe do something that would rather not be bothered with. Expat taxes are tricky, cumbersome and a hassle. We feel privileged to take care of expatriate tax returns because it gives our clients piece of mind and also frees them up to do other things — whether that is dedicating more time to their professional pursuits, spending time with family, or enjoying everything their country has to offer.

 

Expat Tax Returns Company With Best Reputation

 

Whether you’re an American expatriate in Singapore, Sydney, Dubai or London, there are so many exciting cultural opportunities to explore. Our team at Expatriate Tax Returns doesn’t want you to miss any opportunities because you’re bogged down trying to get your financial affairs in order to prepare your complicated expat tax returns. We want to remove that inconvenience from your life. Our top-to-bottom tax preparation for expatriates means you can enjoy doing the things you love while our dedicated tax professionals prepare your expat tax returns for you. It’s a small price to pay for being able to get the most out of your stay in an interesting country away from home.

 

Call us today toll free at 877-382-9123 to talk to one of our talented tax pros and begin freeing up your time while we prepare your expatriate tax returns.