USC Spouse/Tax Question
Apr 7th 2006, 2:07 am
#1
A lion in your lap
Thread Starter
Joined: Jul 2003
Location: Sparta NJ
Posts: 7,605
USC Spouse/Tax Question
Earlier today the Mrs was doing some reading on the internet and came across something that suggested that after the death of a spouse there are complicated tax issues that arise in the transfer of assets from one spouse to another when the recipient is a non-US citizen. It seemed to suggest that upon her death I might have to pay exorbitant taxes on our house as if she was bequeathing it to me, even though the property is in both our names, and also on her life insurance policy, because I'm not a US citizen, something that doesn't arise when such transfers are between to USCs.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Last edited by elfman; Apr 7th 2006 at 2:11 am.
Apr 7th 2006, 2:19 am
#2
Powder Maggot
Joined: Nov 2004
Location: Nuevo Mexico
Posts: 4,452
Re: USC Spouse/Tax Question
It is true. This is one of the benefits of citizenship that everyone poo-poos. (Maybe I'm the only one on here who plans on dying at some point.)
Sorry, I don't know more details...
Sorry, I don't know more details...
Last edited by AdobePinon; Apr 7th 2006 at 2:22 am.
Apr 7th 2006, 2:25 am
#3
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Re: USC Spouse/Tax Question
Originally Posted by elfman
Earlier today the Mrs was doing some reading on the internet and came across something that suggested that after the death of a spouse there are complicated tax issues that arise in the transfer of assets from one spouse to another when the recipient is a non-US citizen. It seemed to suggest that upon her death I might have to pay exorbitant taxes on our house as if she was bequeathing it to me, even though the property is in both our names, and also on her life insurance policy, because I'm not a US citizen, something that doesn't arise when such transfers are between to USCs.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
AFAIK it is indeed true. Another reason why we are planning to get out before one of us pops his/her clogs..
Apr 7th 2006, 2:53 am
#4
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Joined: Dec 2002
Location: Ft Lauderdale, FL
Posts: 4,792
Re: USC Spouse/Tax Question
Originally Posted by elfman
Earlier today the Mrs was doing some reading on the internet and came across something that suggested that after the death of a spouse there are complicated tax issues that arise in the transfer of assets from one spouse to another when the recipient is a non-US citizen. It seemed to suggest that upon her death I might have to pay exorbitant taxes on our house as if she was bequeathing it to me, even though the property is in both our names, and also on her life insurance policy, because I'm not a US citizen, something that doesn't arise when such transfers are between to USCs.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Reg. Frank R.
Apr 7th 2006, 3:20 am
#5
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Posts: 88,022
Re: USC Spouse/Tax Question
Originally Posted by elfman
Earlier today the Mrs was doing some reading on the internet and came across something that suggested that after the death of a spouse there are complicated tax issues that arise in the transfer of assets from one spouse to another when the recipient is a non-US citizen. It seemed to suggest that upon her death I might have to pay exorbitant taxes on our house as if she was bequeathing it to me, even though the property is in both our names, and also on her life insurance policy, because I'm not a US citizen, something that doesn't arise when such transfers are between to USCs.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Apr 7th 2006, 3:25 am
#6
Not living a 9 to 5 life
Joined: Jun 2002
Location: North Carolina
Posts: 11,061
Re: USC Spouse/Tax Question
Originally Posted by AdobePinon
It is true. This is one of the benefits of citizenship that everyone poo-poos. (Maybe I'm the only one on here who plans on dying at some point.)
Sorry, I don't know more details...
Sorry, I don't know more details...
NC Penguin
Apr 7th 2006, 3:27 am
#7
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Re: USC Spouse/Tax Question
Originally Posted by elfman
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
No doubt the usual suspects would be worth a pm.
As I see it the rule is either a good reason to become a USC, or a good reason to move/retire to the UK - depends what mood you're in when you wake up in the morning I suppose
Apr 7th 2006, 3:28 am
#8
Joined: Jun 2005
Posts: 30,102
Re: USC Spouse/Tax Question
Originally Posted by elfman
Earlier today the Mrs was doing some reading on the internet and came across something that suggested that after the death of a spouse there are complicated tax issues that arise in the transfer of assets from one spouse to another when the recipient is a non-US citizen. It seemed to suggest that upon her death I might have to pay exorbitant taxes on our house as if she was bequeathing it to me, even though the property is in both our names, and also on her life insurance policy, because I'm not a US citizen, something that doesn't arise when such transfers are between to USCs.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Does anybody know anything about this? She also read that possibly the only way around this is for me to become a USC. Any help/advice will be greatly appreciated and karmaed as appropriate.
Apr 7th 2006, 3:30 am
#9
Not living a 9 to 5 life
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Re: USC Spouse/Tax Question
Originally Posted by gruffbrown
Hire a food taster
NC Penguin
Apr 7th 2006, 3:36 am
#10
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Re: USC Spouse/Tax Question
Originally Posted by gruffbrown
Hire a food taster
Reg. Frank R.
Apr 7th 2006, 2:07 pm
#11
@matthewb76
Joined: Jul 2003
Location: Missouri
Posts: 21,886
Re: USC Spouse/Tax Question
after 2009 it won''t be an issue.
estate / inheritance tax is being revoked for a more extortionate capital gains system.
*I think*
estate / inheritance tax is being revoked for a more extortionate capital gains system.
*I think*
