International Tax Planning
The U.S. Tax laws impose filing and paying of taxes responsibility on a U.S. Person or non-U.S. person. All U.S. persons are subject to worldwide income reporting and compliances. The non-U.S. persons are obligated to report and file the forms as per the laws of the United States if they operate in the United States thru a Corporation or any investment vehicle. The tax law is complex and prospective, and taxpayers are often misguided by tax preparer over their responsibilities and obligations for reporting and compliance.
International Business or Investment Interests
Corporations and individuals owning business entities are subject to worldwide reporting of their income and assets. U.S. Person could own or have equity interest in a business or a corporation outside the U.S. and similarly and non- U.S. person could own and have equity interest in a corporation in the U.S. U.S. tax laws have tax treaties with several countries and often time the treaties mitigate the double taxation issues. Our professionals understand how each country treat affects the U.S. filing requirement and compliances. Taxpayer clients are provided up to date tax treaty position of the investments in business and corporations. The interest investment interest is another complex issue affecting U.S. expatriates and require guidance from professionals for reporting compliances. Tax treaties with foreign governments allow a U.S. or a non-U.S. business owner or stake holder guidance to tax planning and minimizing the tax liabilities.
Pension Income of U.S. Citizen or resident
Tax treaties of specific provisions for treating Pension income of U.S. Person or expatriate. A US citizen or resident drawing pension in India could have a favorable position in the U.S. tax filings under the tax treaty of U.S. and India. However, the pension income is not always fully exempt from States where the U.S. Citizen or person is a resident. Therefore, a careful tax planning is required for individuals receiving pensions and determining what portion was contributed by the employer and taxpayer.
Pensions, like other investments, are often tax favored in one jurisdiction but unfavorably taxed in another.