Expert US Expat Tax Preparation
Boost your income and achieve financial stability with our professional tax-saving advice. Our team of experts will take care of everything for you so that you can focus on what you do best: Generating more Income.
We offer a wide range of Expat tax preparation services depending on your needs.
Lakeline Tax Professionals offers an extensive selection of services for American expats, with secure, personalized attention and fast returns.
We offer a wide range of services depending on your needs. Whether you are an American living abroad and need a federal tax return, or whether you own a foreign company and need a Form 5471, we are able to help.
We have extensive experience in handling every type of expat tax matter, including:
- Individual Taxes
- Corporate Taxes
- US Foreign Owned Corporations
- FATCA Reporting
- State Tax Reporting
- Non-Resident Tax Reporting
US Expat Tax preparation demands a high level of knowledge and precision. At Lakeline Tax, we recognize that US expat Tax preparation is not just about numbers; it’s about strategy and financial success. With a combined experience of over 20 years as IRS Certified Enrolled Agents, we offer unparalleled Expertise in guiding businesses through the intricate landscape of tax compliance serving the Austin, Cedar park, Leander, Liberty Hill and surrounding Texas cities. We utilize QuickBooks and are certified QuickBooks ProAdvisors. Get more done with us..
We also help US visa holders living in the United States with their US taxes.
Foreign Earned Income Exclusion (FEIE)
FEIE is a US provision that allows eligible taxpayers to exclude a certain amount of their foreign-earned income from US taxation. For tax year 2022, the exclusion limit was $112,000 per qualifying individual. Utilizing the FEIE can significantly reduce or even eliminate U.S. tax liability for many expatriates
Foreign Tax Credit (FTC)
To the extent that ex-pats have not already had their foreign earned income excluded via the FEIE, they may be able to reduce their US tax liability further by claiming a credit for their foreign taxes paid or accrued on certain types of income, including earned income and passive income.
Take a look through our services and select one to find out more information. If you aren’t sure whether we are able to help, send us an email or give us a call and tell us more about your situation. We will let you know how we can help.
Tax Planning and Strategies: Craft a tax strategy that not only reduces current liabilities but also sets the foundation for future financial growth. We provide strategic tax planning that considers your industry, financial goals, and potential risks.
IRS Audit Representation: In times of IRS audits, our Enrolled Agents stand by your side, providing expert representation and guidance. We handle communication with the IRS, ensuring compliance and minimizing disruptions to your business.
Audit Defense Services: Protect your business with our audit defense services, ensuring you have a knowledgeable ally during audits. Our Enrolled Agents have successfully defended businesses against IRS scrutiny, saving them from costly penalties.
Unlock the Benefits of Professional US Expat Tax preparation Services:
Maximized Savings: Benefit from deductible expenses, retirement account contributions, tax credits, and tax-efficient business structures. Lakeline Tax helps you retain more of your hard-earned money.
IRS Audit Shield: The IRS is vigilant, but with Lakeline Tax, you have a shield against audits through our Peace of Mind program. We have saved clients from costly penalties and fines.
Don’t navigate the complexities of Expat tax alone. Schedule a consultation with our IRS Certified Enrolled Agents and set your business on a path to financial success.
Experienced Tax and Accounting Professionals You Can Trust – To find out how our team of experienced tax professionals can help with your US Expat tax preparation, Schedule an appointment today.
We constantly update our knowledge and keep ourselves current with the latest tax laws and develop new techniques to save our clients the most money on taxes. Click here to check the Credentials and Qualifications for Tax preparation experts.
Click here to learn more about the benefits of having an Enrolled agents prepare your US Expat tax returns…
If you ever find yourself behind on US taxes, Universal Tax Professionals can help you catch up. Our team of international tax professionals possesses the expertise needed to assist you in reducing or even eradicating your tax liabilities, while also maximizing the available credits and deductions. Additionally, if you have other filing obligations, we offer an extensive array of US expat tax services tailored to serve US citizens residing worldwide.
Lakeline Tax provides tax preparation services for everyone including Individual Tax preparation, Business Tax Preparation, Partnership & Corporate Taxes, Book Keeping, Tax Planning, Tax Resolution. No matter where in the world you are, what your needs require, we are ready to handle all of your US filing obligations and help minimize your worldwide tax burden, you’ll benefit from our experience, expertise, and Friendly customer services.
FATCA stands for the Foreign Account Tax Compliance Act. It is a United States federal law that was enacted in 2010 as part of the Hiring Incentives to Restore Employment (HIRE) Act.
The primary purpose of FATCA is to combat tax evasion by U.S. citizens and residents who hold financial assets and accounts outside of the United States. Under the FATCA provisions, all US citizens must report foreign financial accounts and assets. While FATCA is not aimed directly at cracking down on US expats, it impacts many expats, as they may have an additional reporting requirement to ensure compliance with FATCA.
As a US citizen or green card holder living abroad with foreign bank accounts, you may be required to file Form 8938: Statement of Specified Foreign Financial Assets, together with your US tax return, if the aggregate value of your accounts and assets exceeds a certain threshold (see below), depending on your filing status.
In addition to foreign bank accounts, foreign stock, mutual funds, precious metal holdings, partnerships and even foreign life insurance may be reportable on Form 8938. Please be aware that FATCA requires foreign financial institutions to provide information to the IRS about US citizens holding accounts. If you have substantial balances in foreign banks and own substantial foreign assets, you may be non-compliant if you have not filed Form 8938 to disclose your foreign holdings, even if you have continued to file US returns yearly.
The penalties for non-compliance with filing Form 8938 are very severe: $10,000 per violation, an additional penalty of up to $50,000 for continued failure to file after an IRS notification, and a 40% penalty on any understatement of tax attributable to non-disclosed assets.
No. While the FATCA Form 8938 is similar to the FBAR Form, FinCen 114, Report of Foreign Bank and Financial Accounts, the reporting requirements are somewhat different. Form 8938 is reported to the IRS, while the FBAR is reported to the US Department of the Treasury.
Foreign Bank Account Reports (FBAR)
FBARs are filed by US citizens, resident aliens, trusts, estates, and domestic entities with assets abroad to report foreign financial accounts, which aggregate a total of $10,000 at any time during the calendar year. If an FBAR is required to be filed, it gets filed electronically with the US Department of the Treasury and is due April 15 following the calendar year reported. An automatic extension to October 15 is permitted if a filer fails to meet the FBAR annual due date of April 15, and an extension does not need to be requested.
FATCA Reporting (Form 8938)
While FBARs are only meant for reporting foreign bank accounts, the FATCA reporting requirements on Form 8938 are more comprehensive, including other foreign assets in addition to bank accounts, and the reporting thresholds are much higher, as follows:
Single Taxpayers Living Abroad – $200,000 on the last day of the year, or $300,000 at any point during the year
Married Taxpayers Living Abroad – $400,000 on the last day of the year, or $600,000 at any point during the year
Lakeline Tax Professionals can prepare your complete Streamlined Filing Compliance Procedures package to the IRS on your behalf. There are additional charges if you owned a foreign corporation, had rental income, need state returns, or need additional FATCA forms.
The package includes:
Preparation of Form 14653, Certification by US Person Residing Outside of the United States for Streamlined Foreign Offshore Procedures.
Form 146543 certifies that you are eligible as a delinquent filer to qualify for the Streamlined Filing Compliance Procedures because your tax delinquency was non-willful, in that you were genuinely unaware of your filing obligation.
Preparation of the last three years of delinquent federal tax returns.
Preparation of the last six years of FBARs, Reports of Foreign Bank and Financial Accounts (up to 8 accounts per FBAR).
A person who is not either a US citizen or national and does not meet either of the IRS tests to be considered a US resident alien is regarded as a non-resident alien.
The two tests to be considered a US resident alien for US tax purposes are as follows:
- The Green Card Test – a non-US citizen or national who possesses a US Green Card, or
- The Substantial Presence Test – a non-US citizen or national who meets the Substantial Presence Test. The Substantial Presence Test is met if someone is physically present in the US for either at least 31 days during a tax year or 183 days during a three consecutive year period, counting –
- All the days they were present in the third year, and
- 1/3 of the days that they were present in the second year, and
- 1/6 of the days that they were present in the first year
There are a few exceptions to the non-resident classification—daily commuters from Mexico or Canada and some international students and teachers—to name a few.
Non-resident aliens file their US returns on Form 1040-NR, US Non-resident Alien Income Tax Return, and only report income earned or derived from US sources on the return. While wage income is usually taxed at the same graduated rates applicable to US citizens and resident aliens, portfolio income such as interest, dividends, and capital gains is generally taxed at a flat 30% rate. In some cases, a lower rate is applicable via an income tax treaty with the non-resident alien’s home country.
It is not uncommon for U.S. Taxpayers to have dual citizenship in a foreign country. In a common scenario, a foreign taxpayer who is a citizen of another country comes to the United States on a work visa, transfers to lawful permanent resident status, and then becomes a US citizen. Unfortunately, there are many IRS tax traps to consider when someone is a dual citizen. It is also important to note that there are two aspects of dual citizenship. There is the immigration issue of becoming a United States citizen and then there is the tax implication of being a dual citizen and there are also international reporting requirements as well (FBAR, FATCA, etc). Don’t allow dual citizenship tax-related burdens to dominate your life. Reach out to our Lakeline Tax experts today at 512-335-8037 or schedule a free consultation today.