Hello everyone. It’s Phil Hodgen, and welcome to Expatriation Only, the email newsletter that I send out every other Tuesday.
If you want to unsubscribe from this list, just click the “unsubscribe” link at the bottom of the email.
This week, let’s look at the dual citizen exception to covered expatriate status.
When you renounce your U.S. citizenship, you will be characterized as a “covered expatriate” — or not. It is better to not be a covered expatriate. Covered expatriates will probably pay some tax for the privilege of leaving the U.S. tax system behind them.
There are three reasons why you would be characterized as a “covered expatriate”.... continue reading
Hey there fellow expatriation aficionados. Phil here with the every-other-Tuesday Expatriation Only newsletter.
You can unsubscribe by clicking the “unsubscribe” link at the bottom of this email.
This week is not a strictly an expatriation topic. The person who wrote to me is a newly-minted green card holder who intends to abandon his permanent resident status after 2.5 months in the USA.
He will not be a “long-term resident” and therefore the expatriation rules will not apply to him. What WILL apply to him, however, are the tax return filing rules. In a nutshell, someone with a fleeting presence in the United States faces a requirement to file U.S.... continue reading
The U.S. government publishes a quarterly list of expatriates (by name), presumably for reasons derived from this country’s Puritan roots. (I kid, I kid!)
People often wonder if the list is complete. Well, who knows. We can all doff our tin-foil hats for a moment and debate whether the list is selectively curated by the bureaucrats who have the job.
What is undeniable, however, is that there is delay.
A report from the field, from someone I know (published with permission):
... continue reading
As a point of interest, as I am sure you know there are many blogs, etc on the net about just who gets published (quarterly) by the Gov after they expatriate.
Hello from Phil again, and welcome to this edition of the Expatration Only newsletter.
If you want to stop getting this newsletter (it comes every other Tuesday at 6 am Pacific Standard/Daylight Time), click the Unsubscribe button at the bottom of this newsletter.
Many people have Individual Retirement Accounts when they expatriate. This time, I will talk about how to handle IRA distributions after expatriation – for noncovered expatriates. The prompt came from reader LC, who emailed me a question. Lightly edited (to hide personally-identifiable facts), this is what LC sent me:
... continue reading
I currently live in [country with no income tax and no income tax treaty with the USA].
Hi and welcome again from Phil. This is the every-other-Tuesday Expatriation newsletter. You can stop getting it by clicking the unsubscribe link at the bottom of this email.
James Simango emailed me to follow up on the email I did about gifts by green card holders domiciled outside the United States. (Spoiler alert: they aren’t taxable “gifts” and this makes possible all sorts of pre-expatriation tax planning). He mentioned Section 1041 and specifically the situation of gifts to noncitizen spouses mentioned in Section 1041(d).
James is right. Just because a transfer is not subject to gift tax does not mean you are out of the woods.... continue reading