Passive Foreign Investment Company
What is a Passive Foreign Investment Company (PFIC)? A PFIC is a Passive Foreign Investment Company, which is where a company decides to make a foreign (non-US) investment. A relevant and common example of a PFIC is when a company invests in a non-American mutual fund, however, the term encompasses a far wider range of […]
Foreign Earned Income Exclusion in Dubai
How can I claim the Foreign Earned Income Exclusion as an American expat in Dubai?We spoke with Emmanuel, who has over 9 years of U.S. expat tax experience. What is the Foreign Earned Income Exclusion (FEIE)? The foreign earned income exclusion (FEIE) allows qualifying U.S. expats to exclude a certain amount of their foreign earned […]
Foreign Housing Exclusion
What expenses are covered by foreign housing exclusion? In addition to the foreign earned income exclusion, US expats can also claim foreign housing exclusion. FHE can cover expenses such as rent, utilities, internet, residential parking, brokerage, taxes to secure a leasehold, and rented furniture, as well as any other reasonable expenses incurred from working in […]
Global Intangible Low-Tax Income
What is GILTI Tax? GILTI stands for Global Intangible Low-Tax Income. It is a tax that was introduced in 2018 by the IRS on a foreign company’s net profits, when the company is based outside of the US, but owned by a US citizen. It was put in place in order to dissuade companies from […]
Foreign Earn Income Exclusion qualification after repatriation to the US
Where can I start if I want to undergo repatriation? Repatriation is a fairly simple process, however, without the right knowledge and understanding of different tax laws, you stand to lose a lot of money. In times of uncertainty, being back in your home country can be a welcome piece of stability in your life. […]
Adjusted Gross Income (AGI) Affects Stimulus Payments?
We hear from Tanveer – a highly experienced EA for 13 years – and provide clarity on AGI, who can receive Stimulus Payments, and what the process is. Many Americans living abroad assumed they wouldn’t be eligible, but they are, and a lot more people can receive the stimulus payments than many think.
Exit Tax for American expats
What is exit tax? Exit Tax is a tax paid on a percentage of the assets that someone who is renouncing their US citizenship holds at the time that they renounce them. Exit tax applies to United States expatriates, a term describing people who have renounced their US citizenship and those who have renounced a […]
Why Americans living in Australia must file tax returns in both countries?
Are there any serious mistakes that Americans make when they initially move to Australia? Most assume that they never have to file a U.S. tax return once they move offshore to work because they are also paying taxes in their new place of abode. We find that by the time expats in Australia approach us, […]
Australian Superannuation Fund Reporting Explained
How the Australian superannuation fund impacts tax returns Superannuation is the Australian version of a pension or retirement plan, wherein your employer puts at least 9.5% of your salary annually into a superannuation account, which you can then access upon your retirement. These superannuation accounts that are available for American expats living in Australia can […]
Do I need to file a tax return if I live in UAE?
AM I ELIGIBLE FOR FOREIGN EARNED INCOME EXCLUSION? Learn from Tanveer Mannan, a highly experienced IRS Enrolled Agent based in Dubai. Having worked at EY and PWC before joining EXPAT US TAX, Tanveer has 15 years’ experience of helping Americans get the correct advice when they come to work in UAE. Getting the correct tax […]