01/20/2020
The US – Italy tax treaty was first signed in 1984, then replaced in 1999, although it was only fully ratified in 2009. It covers how dividends and certain other types of income are treated, and allows tax information sharing between the two countries. The purpose of the treaty is to prevent double taxation for Americans living […]
01/16/2020
When American expats who have moved abroad permanently discover that being an American citizen means still filing US taxes on their worldwide income from abroad, some consider renouncing their US citizenship. It’s a serious and irreversible step to take though. Furthermore, it’s rarely simple to achieve, and it can be very expensive. For example, you […]
01/13/2020
Two years after Donald Trump signed into law his Tax Reform, in the last few days of December 2019 he signed another law called the SECURE (Setting Every Community Up for Retirement Enhancement) Act. The law comes into immediate effect in 2020. It is designed to allow American taxpayers, including expats, to better plan and […]
01/09/2020
Americans living abroad are still required to file a US tax return, reporting their worldwide income. This is true for expats who file foreign taxes too, and regardless of whether there’s a Tax Treaty between the US and the country of residence. Filing a US tax return as an expat from abroad is more complex […]
01/06/2020
2019 was another year of innovation and expansion for Bright!Tax, as we continue to evolve to ensure that our clients find filing US taxes from overseas as easy and intuitive an experience as possible. So, what’s new with US taxes for expats in 2020? Deadlines and extensions IRS deadlines in 2020 are the same as […]
01/02/2020
There are several routes to American citizenship, but the main one is that if you’re born in the US then you automatically become an American Citizen. Some people are born in the US to foreign parents who may be there temporarily though, studying, on a temporary work assignment, or just on holiday. These families often […]
12/30/2019
American expats are required to file US taxes, reporting their global income, regardless of which currency they receive it in. When expats file, they can claim IRS exclusions (such as the Foreign Earned Income Exclusion) and credits (such as the Foreign Tax Credit) to reduce their US tax bill. Crucially though, they have to file […]
12/19/2019
FATCA is the Foreign Account Tax Compliance Act, a 2010 US law that aimed to help prevent offshore tax evasion. The law has had many unintended consequences though, particularly for American expats all around the world. US tax rules for expats The American tax system is unusual in that it requires American expats to file […]
12/16/2019
American expats are required to file US taxes, reporting their worldwide income, despite living abroad. When expats file, they can claim one (or in some cases multiple) IRS provisions to reduce their US tax bill, such as the Foreign Earned Income Exclusion and the Foreign Tax Credit. That also have to report their foreign business interests. […]
12/12/2019
American expats have to file US taxes the same as Americans who live in the states, reporting their worldwide income. This is because the US taxes based on citizenship, not on residence like most other countries. Many US expats assume that a tax treaty, paying foreign taxes, or only earning abroad prevent them from having […]