Employees of US employers become subject to many complex tax issues when they relocate or place their employees abroad. We can provide solutions to employers and employees with tax issues involved in domestic relocations, foreign expatriates, and foreign nationals working in the US. Some of our
· US Tax Return Preparation (and US states if necessary)
· Foreign Tax Return Preparation & Consulting
· Extensions and Estimated Federal Tax Payments
· Tax Equalization Calculations and Consulting
· Tax planning, exit and entrance assistance.
US Tax Return Preparation
We have over 30 years experience preparing tax returns for US expatriates including (if necessary) the preparation of state returns. Our staff includes attorneys, CPAs and other tax professionals.
We will assist the expatriate executive or worker with:
· Tax return extension requests and estimated taxes
· Preparing all required US returns (including one or more states if necessary)
· Calculating and preparation of quarterly estimated tax forms is required.
Our rates for an expatriate tax return begins at $300. We will give you a firm quote when we learn the details of what is included in the return. We also give group discounts for more than one employee.
Your US tax return can be coordinated with your foreign tax return for your country of residence. We provide foreign tax return preparation through our network of foreign tax firms, CPAs and experts. Our network of tax advisors throughout the world have years of experience dealing with the concerns of US expatriate taxpayers.
Our foreign tax consultants and preparers can provide the following services:
· Foreign tax return preparation utilizing the foreign earned income exclusion and foreign tax credit to the maximum extent allowed by US tax law.
· Foreign tax planning
· Entrance and exit planning for the foreign domicile country.
· Payroll services
The cost of the foreign tax services varies with the country involved and the complexity of the US taxpayers return and required tax services.
Extension of Time to File Requests and Estimated Federal and State Tax Payments
US taxpayers residing overseas on April 15th receive an automatic extension of time to file their US return for the previous calendar year until June 15th. Thereafter additional extension request forms can be filed extending their return until August 15th and thereafter an additional extension until October 15th . All taxes should be paid on April 15th to avoid having to pay interest regardless of the automatic extension. Any taxes not paid by June 15th will also be subject to penalties, regardless of if an additional extension request is filed.
If an expatriate needs additional time to qualify for the foreign earned income exclusion beyond the October 15th extension date, an additional extension can be secured.
We prepare these extensions for our clients and calculate any taxes due to help them avoid having to pay interest and penalties.
Estimated Federal and Tax Payment Forms
If you have no US taxes withheld from your wages or do not have enough withheld, you are usually required to pay quarterly estimated taxes which are usually based on the total taxes due in the prior year. This also applies to any state returns you must file if you still have income taxable in a US state such as rental income, or if you have continued to maintain your tax domicile in a US state. We prepare your estimated tax vouchers and help you determine that tax which must be paid with each.
Calculation and Consulting
Many US employers have tax equalization policies which attempt to adjust your net take home pay so that the amount you receive overseas, is the same as that you would receive if you worked in the US. These policies use formulas which take into account the US tax, US state tax if any, and the foreign tax, with adjustments for the foreign tax credit and foreign earned income exclusion, and sometimes adjust for housing reimbursements and differences in the cost of living between the US and the expatriates country of residence. We can explain that policy to you, perform the calculation for your employer or check it for the expatriate to determine if the employer’s calculation is correct.
A large number of US Citizens living overseas have failed to file returns for one or more years because they were not aware of the filing requirements or the necessity. Expatriates do not automatically get credit for foreign taxes, foreign earned income and housing exclusions or other tax benefits without first filing a timely tax return. The statute of limitations never runs on tax years for which a taxpayer fails to file their tax return.
We can assist you with filing returns that have not yet been filed for past years. If many returns are involved, we will give you a “bulk” discount. If you will ever return to live in the US, the IRS will eventually notice your return and inquire about missing returns.
Tax Planning and Foreign Assignment Consultation
We can assist you with any Federal or State tax planning or question including income taxes, estate taxes and the taxation of your ownership interest in foreign corporations, partnerships, and trusts.
Structuring your compensation and other income can minimize your US and foreign taxes. It is best done prior to your departure to live abroad. Subject to your individual circumstances, significant savings can be secure with respect to your state tax obligation, foreign tax obligation and social security taxes. The US has tax treaties with many countries which may also give you benefits that might not be available to taxpayers residing in other foreign countries.
Our services include:
· Tax analysis of your employment agreement and your employers tax equalization policy.
· Designing the most tax efficient payroll structure and compensation package.
· Review of applicable tax treaties
· Determining resident and nonresident status with respect to the foreign country and if your tax domicile is still in a US state.
· Tax cost projections for your foreign assignment
Our fees for these services will vary depending on the complexity of the situation and the services required.
We have over 25 year successful experience representing our clients in IRS and state tax audits. We can also help you respond to any notices from tax authorities you may receive and resolving any problems. If necessary, we can represent you as an attorney which will result in your communications with us being protected by “attorney-client” privilege.
If you retain the Firm to provide you with professional tax services, we can send you tax questionnaires and other information by email and you can provide us with all of your tax data by email. We can also communicate via phone or fax or in person if you are ever in our neighborhood.
Nelson’s US Expatriate Income Tax Services has over 30 years of
cutting edge experience and world class skills in tax consulting and tax
return preparation services for US Expatriates .
Call or email us now with the specifics of your relocation program.
Our principal in the past has been a tax and legal consultant with
PricewaterhouseCoopers LLP and Ernst & Young.
TAX SERVICES FOR NON-RESIDENTS AND FOREIGN NATIONALS WORKING AND LIVING
IN THE U.S.
If you do not live in the US, but own all or part of a US corporation, partnership or trust, we can assist you with filing the proper tax returns and complying with all US federal and state tax laws. If you are an individual and receive income which is subject to US tax (usually something other than certain types of interest and capital gains) we can prepare a 1040NR nonresident tax return for you.
If you live in the US or maintain your tax domicile here, you must file a US tax return. With planning, those US taxes can be reduced or structure to keep more money in your pocket. We have the expertise and experience to prepare your returns both for the IRS and the state in which you live.
Please email or phone us for a further information and fee quotes.
D. Nelson, Attorney at Law, C.P.A.
Nelson's US Expatriate Tax and Financial Services
34145 Pacific Coast Highway #401
Dana Point, California 92629 USA
481-4094 Fax (949) 218-6483
Toll free: (866) 712-0320
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