Dec 14, 2014 | Business U.S. Expat Taxes
Not an update in that the rules didn’t change, just an update in my reasoning. After reading the private ruling letter #200752029, my opinions tilts even towards the idea that Canadian mutual funds are not corporations and as such the PFIC rules shouldn’t...
Dec 14, 2014 | FBAR and FATCA, Personal U.S. expat taxes
Until now, non-residents who didn’t meet the substantial presence test didn’t need to file form 8843. Or they used a closer connection exemption (form 8840) and didn’t have to file form 8938. The latter form is the FATCA version of the foreign asset...
Dec 7, 2014 | Personal U.S. expat taxes
I previously wrote about the filing obligation of dependents at Filing obligation of a 6-year-old, with the key points being that: A dependent would have to file with income as low as $1,000 due to a reduced standard deduction for dependents. It’s amount if all...
Nov 24, 2014 | Personal U.S. expat taxes
The US tax policy The US tax system is a Citizenship Based Taxation, meaning that US citizens (and permanent residents) are taxed on their worldwide income wherever they live. By default, income earned in an investment account would be taxed. Fortunately, income...
Nov 13, 2014 | Personal U.S. expat taxes
I tried to make this post as readable as I could. Please keep in mind that a large part of the interest of this post is to show that the Affordable Care Act as passed into law was unnecessarily complicated (regarding this issue at least). As such, please forgive me if...
Nov 8, 2014 | Personal U.S. expat taxes
I’ve seen much talk in the community of American abroad about the ability to of the IRS: To prevent the issuance of a passport to delinquent taxpayers (currently not true, but when applying for a passport, the Department of State will inform the IRS of the...
Nov 7, 2014 | Personal U.S. expat taxes
Would a company be subject to 1099-K & 1099-MISC dual reporting if it receives credit card payments (in excess of $20,000) and over $600 from a given client? Could I not issue a 1099-MISC if I paid a merchant/contractor by credit card? This post is more about US...
Nov 5, 2014 | Personal U.S. expat taxes
The taxpayer was a bona fide resident of the United Kingdom but was working on international waters (oil field). Question: How can he avoid dual taxation: Foreign Earned Income Exclusion, Foreign Tax Credit? Cool stuff. So, as discussed in Income earned...
Nov 3, 2014 | Personal U.S. expat taxes
All amounts in this article are in US dollars Canada-U.S. Tax Treaty Article XXIX B Taxes Imposed by Reason of Death A U.S. estate tax return must be filed if a deceased Canadian resident who is not an American citizen owned U.S.-situated assets exceeding $60,000 fair...
Nov 2, 2014 | Personal U.S. expat taxes
While not everything is good news, I think that the concerns found in this comment (similar to the ones voiced by Moodys Gartner here) are not always founded. The Rev. Proc. is a problematic for a multitude of reasons, including: 1. it substitutes a form for...
