US Expat Tax Services
US citizens and greencard holders are in unique situation as the US is one of the only countries in the world with citizen-based taxation, i.e. one which continues to tax its citizens even after they have moved abroad. Although there are a number of credits and exclusions (including Foreign Earned Income Exclusion, the Foreign Housing Allowance, and the Foreign Tax Credit) to limit, or even eliminate, the US tax liability in most cases you are still required to file an annual tax return even if you do not owe anything.
Combined with the ever changing US tax laws, FBAR reporting (Foreign Bank Account Reporting) and FATCA reporting (Foreign Account Tax Compliance Act), ensuring full compliance with US tax obligations is one of the biggest challenges facing US expats today.
At Analie Tax we specialize in providing a complete package of US expat tax services, by understanding each of our clients' unique circumstances and ensuring that such circumstances are accurately reflected in their US tax return. Not only do we have the technical knowledge to get it right, but we also make the process simple and straightforward.
We offer the following services:
U.S. federal income tax return preparation
US citizens and green card holders are required to file a federal income tax return annually regardless of their country of residence and the source of their income. We can prepare your federal return for you while taking into account critical factors, such the foreign earned income exclusion and any foreign tax credit you may be entitled to.
State income tax return preparation
As a resident of a particular state, you are generally required to file a return in that state. Due to the fact that state residency rules are fairly broad, the mere fact that you are now living overseas does not automatically lead to the conclusion that you are no longer a resident of your former state for tax purposes. We can help you determine your residency status and file your state income tax return.
Foreign bank account reporting (FBAR) compliance
If you are a US citizen with a bank account in a foreign country (including signatory rights alone) with an aggregate balance at any point during the year of $10,000 or more, you are required to report this balance annually to the U.S. Treasury Department by filing Form FINCEN114. Failure to report an account meeting these criteria can result in significant penalties. We are able to assist you with your FBAR filing and can also help correct prior year delinquencies pursuant to the relevant offshore voluntary disclosure programs.
FATCA (Form 8938) compliance
Since 2011, certain U.S. persons, including U.S. expatriates, are required to report details of holdings in Foreign Financial Assets as part of their tax return. Those with such “specified foreign financial assets” must report, as part of the tax return, information on the accounts if the aggregate balance equals or exceeds a certain thresholds. We can guide you through your reporting requirements.
Form 5471 - Information Return of U.S. Persons With Respect To Certain Foreign Corporations
If you own at least 10% of a foreign corporation, or you an officer or director of a foreign corporation in which a US person owns or acquires at least 10% of the corporation, you may be required to file Form 5471 with your individual income tax return each year.
Failure to file Form 5471 can lead to a $10,000 penalty. Using our in-house expertise we can advise you on your filing requirements and can prepare the return if required.
Nonresident federal income tax return preparation
Nonresident aliens may also have an obligation to file a U.S. tax return. This typically occurs when a nonresident alien owns real estate (directly or indirectly via an LLC) in the U.S. or when a nonresident has recently left the U.S. and still has investment income from a stock portfolio in the U.S. We can assist you in determining whether you have a US tax filing obligation and can prepare all necessary returns and schedules related to your investments in the US.
Delinquent taxpayer package
Forgot to file prior year returns? Looking to start a clean slate with the IRS before you return home? Let us help. The IRS is currently offering delinquent taxpayers living overseas several offshore voluntary disclosure programs where penalties can be significantly reduced. For "low risk" taxpayers, the IRS offers a simple process known as "streamlined" pursuant to which a taxpayer may rectify their past by filing 6 years of FBARs and 3 years of tax returns.
Expatriation of Green Card or U.S. Citizenship
The decision to renounce one’s US citizenship or relinquish one’s green card can be difficult for some individuals. Additionally, the process to officially abandon one’s permanent residency status or U.S. passport can be long, complex, and costly, especially if it is not carefully planned. The process is two-fold as there is an immigration and a tax component that must be fully addressed in order to achieve tax expatriation. We have experience in working with individuals wishing to expatriate and can provide guidance and filing support in this area.