When families leave their country of origin to move the USA, they must grapple not just with the adjustment to a new country and culture, but also with the US tax system, one of the most complex in the world.
For many cross-border families, it is not unusual to maintain assets and economic ties to the country or countries of origin, which creates additional layers of complexity and increased the risk of double taxation. Careful planning can mitigate many of these risks and can also provide unique opportunities to minimize current and future overall taxes, and to simplify tax reporting and compliance.
These are some of the questions we generally help answer for professionals and families moving to the US with:
– I’m coming to the US on a ……. (insert visa type). How will my US income and foreign income be taxed?
– I own a business in country X. What are the US tax implications?
– I have a pension or retirement account in country Y. What are the US tax implications?
– Do I have to report my foreign accounts, property and their income to the IRS?
– Do I need to do anything with my foreign country assets (home, insurance policies, investments accounts and properties, business interests, etc) before moving to the USA?
– What are the tax implications of applying for a green card? What if I become a US citizen?
– My country has a treaty with the USA. Does this mean that I don’t have to pay US taxes?
– Do I have to sell my foreign investment funds if I move to the USA?
– I received an offer for a job in the USA. Can you help me evaluate it and understand what it means? How much cash can I expect to receive after paying all my taxes?
– What do I need to consider if I move to the USA with my young children?
– Should I open a retirement account in the USA?
– Should I buy a home in the USA or should I rent?
– Will I have to pay state income taxes?