International Tax Services
Most holders of foreign accounts know by now that the tax authority is carefully monitoring illegal tax shelters abroad; surveillance and penalties have grown significantly stiffer after 911. Dunham Associates CPAs advises American expatriates, foreign nationals with US income and non-citizen immigrants, or small corporations with international payroll and income tax issues how to comply with tax law while legally minimizing tax payments.
If you are considering a move abroad or a year abroad, or a year in the United States coming from abroad, we can advise you on the tax consequences of this move and help you compare US and foreign tax rates to optimize non-resident, dual status and full year residency tax options. We know income tax treaties (which may exempt income), taxation of foreign currency exchanges, and totalization agreements.
The IRS created a Foreign Bank and Financial Account Report (FBAR) report of foreign accounts with more than $10,000, and also a Form 8938 to restate similar items. Our firm prepares and reviews these forms, due June 30, to help taxpayers avoid Draconian $10,000 penalties. We also help taxpayers attain compliance through the “Offshore Voluntary Disclosure Program” and whittle away at the bewildering array of IRS reporting requirements:
- Preparation and review of fed and state tax returns for foreign nationals and Americans traveling abroad
- Foreign tax credit (FTC) calculation based on foreign earned and unearned incomes and FTC carryback analysis for potential tax refund
- Foreign income exclusion vs. foreign tax credit optimization to minimize tax liability/maximize tax refund
- Foreign bank and financial accounts compliance form reporting (Fincen 114)
- Specified Foreign Financial Assets compliance form reporting (Form 8938)