For U.S. citizens or resident aliens, the rules for filing income tax returns and paying estimated tax are generally the same whether taxpayers are in the U.S. or abroad. All worldwide income is potentially subject to U.S. income tax. For U.S. citizens living oversea, there are additional filing requirements/deadlines that need to be addressed. Please [...]
Having to file tax returns every year can be challenging and painful. But what’s worse? The IRS can penalize you for all sort of reasons and it can cost you a great deal of money and time to resolve. Here is a list of penalties that are most encountered by taxpayers. Penalty for Not Filing [...]
Introduction to a 529 Plan: A 529 plan is designed to encourage saving money for future education costs. The tax-advantaged savings plan has two types, including prepaid tuition plans and education savings plans. Prepaid tuition plans: A type of 529 plan that lets an account owner purchase units or credits at participating colleges or [...]
Do you need assistance with Hong Kong salaries tax? Here is an overview of the general individual taxation system in Hong Kong. In Hong Kong, Hong Kong adopts a territorial source principle of taxation. Individuals are taxed only on income that has been “earned in Hong Kong”. There is no capital gains tax, no interest/dividend tax and no inheritance [...]
For taxpayers living overseas who have not filed U.S. tax returns in the past, the IRS is providing options for resolving their tax and penalty obligations. The U.S. is one of only two countries (the other Eritrea) that taxes its citizens on their worldwide income regardless of their location. We know of taxpayers who have [...]
You can start checking on your refund 24 hours after e-filing or 4 weeks after you have mailed your return. Your refund status is available on https://www.irs.gov/refunds. You will need to provide your social security number or ITIN, filling status and exact refund amount when checking the refund status. All the data you need are [...]
A tax transcript is a tax record with key information from the federal US tax returns that you filed previously. If you lost your return and need to find out how much taxes you owe or verify payments you made which is more than 18 months ago, you can obtain free Form 1040-series transcript types [...]
If you were not able to attend our 2017 U.S. tax reform presentation with Tariq Dennison of GFM Asset Management and American Pacific Tax on January 22, 2018, here’s a brief summary of the main points we covered: - Individual income tax rate changes beginning in 2018. - Increase in standard deduction and elimination of [...]
Or see video here: Foreign Earned Income Exclusion for U.S. Taxpayers living abroad If you are a U.S. citizen or a U.S. resident alien living in a foreign country, you are subject to the same U.S. income tax laws that apply to citizens and resident aliens living in the United States. One potential benefit for [...]
Just a friendly reminder, if you need to pay US federal estimated taxes, 2017 4th quarter payment is due on or before January 15, 2018. To help you plan for 2018 and understand the tax law changes, here is a brief summary that will take effect beginning in 2018 under the major piece of tax [...]