02/03/2023
For Americans living abroad, US taxes may feel like an “out of sight, out of mind” type of situation. However, the US’s citizen-based taxation system means that all citizens and permanent residents must file a tax return, regardless of where they live. To make matters more complicated, living abroad often triggers additional tax requirements and […]
10/21/2022
FATCA, or the Foreign Account Tax Compliance Act, is a set of rules intended to enhance tax compliance by American taxpayers who hold financial assets outside the United States. If you’re like many taxpayers with accounts or other financial activities abroad, you’d want to know whether FATCA applies to you so you can file the […]
10/13/2022
Enacted in 2010 by Congress to ensure U.S. taxpayers don’t hide money in foreign accounts to avoid paying taxes, the Foreign Account Tax Compliance Act (FATCA) is regrettably still a cause of confusion and misunderstanding. In this article, we reveal eight crucial things you need to know about FATCA. Let’s dive in. 1. FATCA is […]
10/10/2022
Moving to a new country (though rewarding!) comes with many challenges. Beyond finding a new place to live, the move may involve adapting to a new culture, building a new social or professional network, and in some instances, opening a foreign bank account to manage your finances while abroad. Opening a foreign bank account isn’t […]
04/22/2022
Americans have worked within a citizenship-based taxation system for well over 100 years. In other words, US citizens (as well as permanent residents) must report their worldwide income and file a federal tax return annually. Only in the last decade has this had any real impact on Americans living abroad. The Foreign Account Tax Compliance […]
09/30/2021
FATCA is an acronym for the Foreign Account Tax Compliance Act, a law passed by Congress in 2010 to help address offshore tax evasion. The law came into effect on July 1st, 2014. FATCA has two aspects that affect expats. First, it requires individuals with financial assets abroad to report them when they file their […]
09/02/2021
Wells Fargo’s US expat clients have until the end of September 2021 to move their brokerage accounts to another provider or face closure. Wells Fargo isn’t the first bank to turn away expats though. In this article we look at why banks and brokerage firms are denying services to Americans living abroad, and what options […]
02/22/2021
All Americans have to file US taxes, reporting their global income, including Americans living abroad. Many Americans who live abroad (as well as many living in the US) own foreign real estate, and they often wonder whether it needs reporting on their American tax return, and if so how. All Americans who have certain foreign […]
01/30/2020
All Americans have to file US taxes, reporting their global income. Expat Americans also often have to file additional reporting forms. Many expats aren’t aware though what exactly these additional reporting requirements involve, and in particular the difference between FBAR and FATCA reporting, or Form 114 vs 8938. In this article we’ll attempt to alleviate […]
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 […]