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A Couple Of Basic Tax Questions

A Couple Of Basic Tax Questions

Old Aug 6th 2005, 5:54 pm
  #1  
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Default A Couple Of Basic Tax Questions

Hey All!

I am moving to the States in October (wife is American, lives in CA) and I have a couple of basic tax questions. Its all a bit new to me and I have been thrown in the deep end!

When I move I plan to open an American office of the company I work for. I will have 33% of the company and my boss, who resides in the UK, will have the other 66% (plan on having a C Corporation and an LLC for the profits).

What I have no clue on is the "average tax bill" that I would be paying. I will have a 45,000USD wage, so initially I have no idea how much I will be paying in tax. More than the UK?

Also the profits of the company, I have been told I would be paying 35% in tax on just the profits, this correct?

I need to get an accountant, I know, just want a few rough idea's what I will be paying

Thanks
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Old Aug 6th 2005, 6:27 pm
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Default Re: A Couple Of Basic Tax Questions

part of it will depend on where abouts you set the business up as different states will have different taxes on top of the federal taxes...so yeah, you really do need an accountant to help you out with this
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Old Aug 6th 2005, 6:37 pm
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Default Re: A Couple Of Basic Tax Questions

You definately need an accountant, preferably in the state where your business will be. One thing to watch, you will be a part year filer you first year, and you must itemize. If you don't you can get bitten when you go for tax clearance to leave the USA, even for a short trip.
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Old Aug 6th 2005, 9:15 pm
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Default Re: A Couple Of Basic Tax Questions

Originally Posted by scottiedog.com
Hey All!

I am moving to the States in October (wife is American, lives in CA) and I have a couple of basic tax questions. Its all a bit new to me and I have been thrown in the deep end!

When I move I plan to open an American office of the company I work for. I will have 33% of the company and my boss, who resides in the UK, will have the other 66% (plan on having a C Corporation and an LLC for the profits).

What I have no clue on is the "average tax bill" that I would be paying. I will have a 45,000USD wage, so initially I have no idea how much I will be paying in tax. More than the UK?

Also the profits of the company, I have been told I would be paying 35% in tax on just the profits, this correct?

I need to get an accountant, I know, just want a few rough idea's what I will be paying

Thanks
Really, just get a good accountant (one who knows about expat and overseas tax law, not one from the standard tax prep places).

I've had to learn far more than I want to about expat tax rules, but your questions are rather too vague to give a real answer.

The IRS website is really surprisingly good for Federal tax questions, and some of their FAQs are quite excellent.
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Old Aug 6th 2005, 11:08 pm
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Default Re: A Couple Of Basic Tax Questions

Originally Posted by scottiedog.com
Hey All!

I am moving to the States in October (wife is American, lives in CA) and I have a couple of basic tax questions. Its all a bit new to me and I have been thrown in the deep end!

When I move I plan to open an American office of the company I work for. I will have 33% of the company and my boss, who resides in the UK, will have the other 66% (plan on having a C Corporation and an LLC for the profits).

What I have no clue on is the "average tax bill" that I would be paying. I will have a 45,000USD wage, so initially I have no idea how much I will be paying in tax. More than the UK?

Also the profits of the company, I have been told I would be paying 35% in tax on just the profits, this correct?

I need to get an accountant, I know, just want a few rough idea's what I will be paying

Thanks
where are you gonna be in CA Scottie?
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Old Aug 7th 2005, 1:48 pm
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Default Re: A Couple Of Basic Tax Questions

Originally Posted by scottiedog.com
.... wife is American, lives in CA .... I will have a 45,000USD wage, .....
I hope that your wife has a good job, because, by all accounts, you aren't going to have much of a life in California on $45,000 a year.
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Old Aug 7th 2005, 4:20 pm
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Default Re: A Couple Of Basic Tax Questions

Originally Posted by Pulaski
I hope that your wife has a good job, because, by all accounts, you aren't going to have much of a life in California on $45,000 a year.
Ah, we can always count on you, Pulaski!

I edited out that exact same line from my reply, thinking that I'd sound a little too harsh on they bloke
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Old Aug 13th 2005, 2:31 am
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Default Re: A Couple Of Basic Tax Questions

Originally Posted by dbj1000
Ah, we can always count on you, Pulaski! ..... I [was] thinking that I'd sound a little too harsh on the bloke
Well, it didn't sound too harsh from the perspective of a Yorkshireman!
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Old Aug 13th 2005, 2:49 am
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Default Re: A Couple Of Basic Tax Questions

Originally Posted by Pulaski
I hope that your wife has a good job, because, by all accounts, you aren't going to have much of a life in California on $45,000 a year.
I was thinking it.....and thought about saying it, but I knew someone else would beat me to it.
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