Tax questions
#16
Forum Regular
Thread Starter
Joined: Feb 2017
Posts: 64
Re: Tax questions
im going to be on an l2 visa, the pre immigration thoughts are abit late as we already rent our out uk property.
my husband is already out there working and we have an accountant so I guess ill just wait until we do tax returns and they can advise to us then.
my husband is already out there working and we have an accountant so I guess ill just wait until we do tax returns and they can advise to us then.
#17
BE Enthusiast
Joined: Nov 2012
Posts: 902
Re: Tax questions
That is bizarre. Why would you wait until 2018 if you need to do planning before 31 December 2017. Do mention that Sterling has collapsed; and ask about how s/he treats foreign currency mortgage gains.
#18
Re: Tax questions
Having over $10k in a UK bank account is not an issue as long as you file the informational forms ie FBAR with the US treasury. I had to do that recently when my mum's estate was in probate.
However, you need to realize that when you become a US tax resident you will be liable to US tax on your worldwide income. So that's going to include UK bank interest, UK rent, UK dividends and gains from S&S ISAs, don't forget to consider UK pensions and endowment mortgages and some insurance policies etc as well as US earned income. There will also be a UK tax liability on income and gains arising in the UK. You'll avoid double taxation by using foreign tax credits and treaty exclusions. So any accountant you use must understand all the cross border implications and just not concentrate on a single country,
However, you need to realize that when you become a US tax resident you will be liable to US tax on your worldwide income. So that's going to include UK bank interest, UK rent, UK dividends and gains from S&S ISAs, don't forget to consider UK pensions and endowment mortgages and some insurance policies etc as well as US earned income. There will also be a UK tax liability on income and gains arising in the UK. You'll avoid double taxation by using foreign tax credits and treaty exclusions. So any accountant you use must understand all the cross border implications and just not concentrate on a single country,