October 2014

Be Careful in Your Choice of Tax Advisors

On September 12th, the Treasury Inspector General for Tax Administration (TIGTA) released its annual report on IRScompliance trends. Individual income tax return examinations conducted by the US Internal Revenue Service decreased in 2013 for the third year in a row, falling to USD1.4 million or one for every 104 tax returns.  Just over 80 per cent were done […]

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IRS Information Letter on Treatment of Green Card Holders (Noncitizen Lawful Residents) – Release Date: 9/26/2014

The IRS has released this Information Letter 2014-0033, with information about the U.S. tax regime for “green card” holders. The background is that non-citizen resident of the U.S. are subject to U.S. tax.  Key excerpts are: An alien individual is classified as a resident of the United States with respect to any calendar year if he

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American Expats and the Net Investment Income Tax

So a few clients have been asking about the Net Investment Income Tax (NIIT). The purpose of the NIIT is to ensure that individuals with high income levels earned from non-wage sources contribute to the expanded health care program in a similar manner as individuals subject to withholding tax on their wages. In other words,

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