Six Months in Each Country?
Feb 20th 2014, 7:19 pm
#46
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Re: Six Months in Each Country?
Maybe I would have to give up my Texas DL, but then how would I be able to insure my car in the US?
Interesting challenges if I want to own a car in both countries
Feb 20th 2014, 7:42 pm
#48
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Re: Six Months in Each Country?
Spend 6 months in each, with a permanent place of residence in each country.
We actually plan to spend 7 months in the UK, and 5 in the US. We meet the rules for residency in both countries, and for tax purposes the country where one is "domiciled" becomes the principal taxing authority.
We actually plan to spend 7 months in the UK, and 5 in the US. We meet the rules for residency in both countries, and for tax purposes the country where one is "domiciled" becomes the principal taxing authority.
Feb 20th 2014, 7:49 pm
#50
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Re: Six Months in Each Country?
Ah, OK, sorry. As per the initial post.
If you are in UK/US 7/5, then would you still have to file taxes in the US if you were NOT a USC?
If you are in UK/US 7/5, then would you still have to file taxes in the US if you were NOT a USC?
Feb 20th 2014, 7:51 pm
#51
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Re: Six Months in Each Country?
I think I have seen resident mentioned in 4 different situations, whatever the exact definition, the one thing for certain is none will be the same.
Feb 20th 2014, 7:53 pm
#52
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Re: Six Months in Each Country?
The second sentence I have no idea what you're saying.
Plus my question of If you are in UK/US 7/5, then would you still have to file taxes in the US if you were NOT a USC?
Feb 20th 2014, 7:57 pm
#53
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Re: Six Months in Each Country?
Correct
Definition of residency
Yep
Definition of residency
Yep
Feb 20th 2014, 8:13 pm
#54
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Re: Six Months in Each Country?
Yes. USCs are required to file a US tax return and report worldwide income no matter where in the world they live.
He means different government agencies use the word "resident" or "residence" differently.
Yes. US PRs are required to file a US tax return and report worldwide income no matter where in the world they live. However, a US PR staying that long outside the USA each year runs the risk of abandoning US PR status at some point.
Filing a US tax return is not the same as owing any tax money to the USA.
Rene
The second sentence I have no idea what you're saying.
Plus my question of If you are in UK/US 7/5, then would you still have to file taxes in the US if you were NOT a USC?
Filing a US tax return is not the same as owing any tax money to the USA.
Rene
Feb 22nd 2014, 10:46 pm
#55
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Re: Six Months in Each Country?
Where does it say that? I will have a permanent residence in both countries and paying/filing taxes in both countries. How would I be breaking the law in the UK?
Maybe I would have to give up my Texas DL, but then how would I be able to insure my car in the US?
Interesting challenges if I want to own a car in both countries
Maybe I would have to give up my Texas DL, but then how would I be able to insure my car in the US?
Interesting challenges if I want to own a car in both countries
It's not an issue as far as having a car in two countries, you don't need a licence from that country to own and operate a car, but you do need a licence. I.e. the one from where you are actually resident. Perhaps you'll get charged a higher insurance rate using a Texas licence in the UK, you'd have to ask the insurer.
You do not want to have residential ties to two countries at the same time, because under the tax treaty you can only have one tax home. I quoted the relevant bit where they determine that. If they can't determine it, they send you out a very lengthy questionnaire followed by a tax bill from the relevant country, which is to be avoided if at all possible.
Another residential tie which is probably more relevant is whether you use the NHS, that is a specific question both the IRS and HMRC would ask in determining your tax home.
Feb 23rd 2014, 1:36 am
#56
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Re: Six Months in Each Country?
Having a residence in two countries doesn't mean you're a resident for the purposes of driving laws. Someone's already quoted the relevant EU directive above, I'm sure if you poke around on www.legislation.gov.uk you can find the regulations that implement it.
It's not an issue as far as having a car in two countries, you don't need a licence from that country to own and operate a car, but you do need a licence. I.e. the one from where you are actually resident. Perhaps you'll get charged a higher insurance rate using a Texas licence in the UK, you'd have to ask the insurer.
You do not want to have residential ties to two countries at the same time, because under the tax treaty you can only have one tax home. I quoted the relevant bit where they determine that. If they can't determine it, they send you out a very lengthy questionnaire followed by a tax bill from the relevant country, which is to be avoided if at all possible.
Another residential tie which is probably more relevant is whether you use the NHS, that is a specific question both the IRS and HMRC would ask in determining your tax home.
It's not an issue as far as having a car in two countries, you don't need a licence from that country to own and operate a car, but you do need a licence. I.e. the one from where you are actually resident. Perhaps you'll get charged a higher insurance rate using a Texas licence in the UK, you'd have to ask the insurer.
You do not want to have residential ties to two countries at the same time, because under the tax treaty you can only have one tax home. I quoted the relevant bit where they determine that. If they can't determine it, they send you out a very lengthy questionnaire followed by a tax bill from the relevant country, which is to be avoided if at all possible.
Another residential tie which is probably more relevant is whether you use the NHS, that is a specific question both the IRS and HMRC would ask in determining your tax home.
Feb 23rd 2014, 4:37 pm
#57
Joined: Dec 2001
Location: Dixie, ex UK
Posts: 52,474
Re: Six Months in Each Country?
Of course you can. I have US (state) and UK licenses. I wouldn't use my UK license in the US now I am a US citizen, nor my UK one unless I bought, taxed and insured a car in the UK, but I certainly have two and both are potentially valid.
Feb 23rd 2014, 4:43 pm
#58
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Re: Six Months in Each Country?
But then both places have access to one another's files, so they know another license exists when you apply.
Feb 23rd 2014, 5:12 pm
#59
Joined: Dec 2001
Location: Dixie, ex UK
Posts: 52,474
Re: Six Months in Each Country?
No. Like almost all US states, NY wouldn't let me swap a UK licence for a NY one, and I had to do drivers' ed and a road test from scratch. Therefore I have two licences, like almost all other UKCs who have a US drivers license. NJ is the only exception I know of.
Feb 23rd 2014, 5:33 pm
#60
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Re: Six Months in Each Country?
Gotcha. Here they yank your license away regardless if your from a reciprocal country or not. Not legal in BC to have license from 2 different places, figured states would do the same, but guess they don't care.