Our International Tax Advisors have been delivering tax advice to both individuals and entities doing business and investing in the United States and abroad for over 25 years. International taxation is one of the most complex areas of taxation and is often divided into two areas: “Inbound” and “Outbound.” Inbound taxation refers to foreign investors with U.S. income and/or activities. Outbound taxation refers to U.S investors with foreign income and/or activities.
Investors that engage in cross-border transactions must keep abreast of accounting and tax developments in multiple jurisdictions. It takes tax planning on an international scale to effectively minimize the global effective tax rate, while keeping in mind any long-term business goals. The following are typical international tax services provided by our firm:
Our multilingual international tax advisors will help foreign investors structure their U.S. investments or activities so they can minimize their taxes and assure a higher rate of return on their investment. We will help foreign investors choose the appropriate entity for their business by taking into consideration their worldwide situation and long-term goals. Additionally, we also provide pre-residency tax planning for foreign individuals who want to move to the United States and assist them in understanding and navigating the complexities of the U.S. tax system.
For U.S. persons investing overseas, the tax laws and regulations are very complex and extremely regulated. The form of entity in which a U.S. person does business or invests overseas will have dramatic tax consequences on the business or investment, as well as create certain additional reporting requirements in the United States. U.S. persons that own foreign profitable operating businesses through foreign corporations can generally defer paying U.S. taxes on income earned abroad until that income is repatriated to the United States. However, anti-deferral provisions exist that may eliminate the benefit of deferral for passive income. We provide a wide range of international tax consulting and compliance advice on foreign investments to help clients achieve their objectives.
In the broadest sense, a U.S. expatriate is a U.S. person living and working in a country other than the United States. Expatriates are subject to U.S. tax on their worldwide income and, as such, must file a U.S. tax return while living abroad. However, an expatriate may be able to reduce U.S. taxable income by claiming foreign earned income and housing exclusions. Expatriates can also reduce U.S. tax liability through the use of foreign tax credits. Our expatriate tax services include a range of income tax compliance and advisory services related to long-term assignments or permanent relocation outside the United States.