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Archive for Antonio Rodriguez

U.S. Expatriates Object To U.S. Taxes While Living Abroad

Antonio Rodriguez, Expatriate Tax Advisor

A growing proportion of U.S. born expatriates do not feel they should be required to file taxes while they live abroad and about one-fifth of them are considering renouncing their U.S. citizenship, according to a new survey.

The survey, by Greenback Expat Tax Services, a firm that specializes in helping expatriates with their tax issues, noted that 9 million U.S. expats live and work abroad, but since they retain their U.S. citizenship, they also still have federal tax reporting requirements. Greenback polled more than 3,800 U.S. expats between March and May for its survey. It found that 66.8 percent of U.S. expats do not feel they should be required to file U.S. taxes while living abroad. That number has risen 1 percent since a similar survey by Greenback last year.

The tax reform law that Congress passed last December lowered overall tax rates for U.S. individual and business taxpayers but did not aim to provide relief for expat taxpayers, although their rates would also have dropped. But many expats still object to the increased reporting requirements that were ushered in by FATCA, the Foreign Account Tax Compliance Act, which Congress passed as part of the HIRE Act of 2010. That law required foreign financial institutions to report to the IRS on the assets they held from U.S. taxpayers, which led many banks abroad to close the accounts of U.S. expatriates in order to avoid the extra reporting burden.

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Expatriates Required To File U.S. Individual Tax Return – Automatic Filing Extension Until June 15, 2018

All Americans are required to file annually the U.S. Individual Tax Return, wherever in the world they live. Here’s what US expats need to know about filing US taxes from abroad.

Expats have an automatic filing extension until June 15th, with a further extension available until October 15th upon request.

All Americans who earn over $10,400 ($4,050 if married filing separately), or just $400 of self-employment income are required to file, regardless of where their income is earned, where in the world they live, whether the U.S. has a tax treaty with that country, or whether they also pay foreign taxes.

The good news is that there are some IRS exemptions just for expats that allow them to reduce or in most cases eliminate their U.S. tax liability completely, although they still must file a US return to claim these exemptions.

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Your Guide To College Tuition Tax Breaks For 2018

During the tax reform process, there were several proposals that called for modifying or eliminating certain education tax breaks. Fortunately for American college students and their families, most of the major tuition tax breaks are still in place for the 2018 tax year.

With that in mind, here’s a rundown of the three major college tuition tax breaks and their qualification requirements and one tuition tax break that can unfortunately no longer be used thanks to the Tax Cuts and Jobs Act. Read more