U.S. Tax Services For Expats

  Greetings, non-U.S. entrepreneurs. If you’re looking to establish a business presence in the United States, a Limited Liability Corporation (LLC) might be the perfect entity for you. These entities are easy to form and inexpensive to maintain, making them a popular choice for non-U.S. persons. However, there is a critical issue that many are not aware of – the tax filing requirements that come with LLCs. So, what exactly is a U.S. LLC? Despite its name, an LLC is not taxed as a corporation. If an LLC has only one owner or member, it is treated as a disregarded entity, and any income generated is taxed on the owner’s individual income tax return, regardless of its source. This means that if the income generated by the LLC is deemed taxable in the United States to nonresidents, a non-U.S. owner would have to file a U.S. income tax return. But here’s where things can get a bit tricky. While a single-member U.S. LLC is treated as a disregarded entity for tax purposes, it is still con...

  As part of the recently-passed massive  Coronavirus Aid, Relief, and Economic Security (CARES) Act , taxpayers will receive a direct stimulus payment within the coming weeks. This one-time remittance is based on an individual’s 2019 adjusted gross income (line 8b of your 2019 Form 1040) and is considered an advance payment of a refundable credit. If the taxpayer has not yet filed their 2019 tax return, the IRS will use their 2018 adjusted gross income (line 7 of your 2018 Form 1040) to calculate their allowable credit. We’re answering some of the most common questions about the recovery rebate below, including who’s eligible, amounts and questions about dependents. Rebate amounts and qualifications Every United States resident or citizen who filed a tax return in 2018 or 2019 may be eligible to receive a recovery rebate under the CARES Act. Filers are eligible for a $1,200 rebate ($2,400 for married filing jointly) according to the following gross adjusted income parameters:...

  If you are a US person and own 10 percent or more stock in a Controlled Foreign Corporation (CFC), then you need to know about GILTI, or Global Intangible Low-Tax Income. This recent regulation requires that all your share of taxable income from these Foreign Companies be reported to the IRS and included as taxable income on your personal US Tax return. U.S. shareholders previously did not have to worry about the inclusion of their operating corporate profits on their individual U.S. tax return… But those days are gone.  The Tax Cuts and Jobs Act (TCJA) of 2017, ushered in a new era in taxations for US taxpayers, the GILTI era. Now, a separate calculation must be done for each Controlled Foreign Company that you are a US shareholder in.  Then, all these GILTI calculations are aggregated and applied to your US tax return.  To make it worse – as an individual U.S. shareholder, you could be subject to a higher tax rate than the foreign companies themselves. Our t...