HTJ Podcast

Our podcast series features short interviews with those in our network whom we consider senior thought leaders addressing some of the most pressing issues and opportunities that we are facing in the modern business world.

New episodes will be added regularly and we welcome your ongoing input on topics to cover and leaders to interview, as well as your feedback on each episode, please email us at help@advancedamericantax.com


Livestream - Moving to the USA - Conversation with Mike Dye, Immigration Attorney

17 hours ago

[ HTJ Podcast ] American Expat with Australia Family Trust

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1.  We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2.  We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth?  We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

So, I'm a dual citizen, US, and Australia, and we have an Australian family trust, which is of course pretty popular tax planning tool in Australia, right? Should I report it to the US, in my US tax returns? What if I've never done so before? Well, the answer is undoubtedly, absolutely yes. It is reportable on your US tax return, absolutely it is and to the second part of your question, if you have not done so before, as I mentioned in response to the previous question, like two questions ago, you would want to consider it together with your chosen tax professional, of course, exploring the streamlined compliance procedures. Streamline is an amnesty and all but name, but it allows you to come forward to the IRS before they figure things out on their own. So, you correct the past three years of your tax returns and in this case, you would declare the existence of the family trust and any distributions you may have received from that family trust. And if that family trust has a bank account, which you may have signature authority over, then you may want to correct your prior FBARS or your foreign bank accounts as well. So, definitely, you would need to declare the bank accounts attached to that trust. The existence of that trust and the assets you would have transferred to that trust and any distribution you may have received from that trust. So, I would urge you to speak with your chosen tax professionals as soon as possible.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

[ HTJ Podcast ] American Expat with Australia Family Trust

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1. We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2. We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth? We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

So, I'm a dual citizen, US, and Australia, and we have an Australian family trust, which is of course pretty popular tax planning tool in Australia, right? Should I report it to the US, in my US tax returns? What if I've never done so before? Well, the answer is undoubtedly, absolutely yes. It is reportable on your US tax return, absolutely it is and to the second part of your question, if you have not done so before, as I mentioned in response to the previous question, like two questions ago, you would want to consider it together with your chosen tax professional, of course, exploring the streamlined compliance procedures. Streamline is an amnesty and all but name, but it allows you to come forward to the IRS before they figure things out on their own. So, you correct the past three years of your tax returns and in this case, you would declare the existence of the family trust and any distributions you may have received from that family trust. And if that family trust has a bank account, which you may have signature authority over, then you may want to correct your prior FBARS or your foreign bank accounts as well. So, definitely, you would need to declare the bank accounts attached to that trust. The existence of that trust and the assets you would have transferred to that trust and any distribution you may have received from that trust. So, I would urge you to speak with your chosen tax professionals as soon as possible.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

YouTube Video VVVRTDRWUGxzSTJKZXdnSHpyeG82SE13LkUxZ0FKclVoVmtF

[ HTJ Podcast ] American Expat with Australia Family Trust

January 17, 2022 5:01 pm

[ HTJ Podcast ] Tax Free living for Americans overseas

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1.  We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2.  We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth?  We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

Next question. Is it true that if I'm living and working outside of the US, I make less than a hundred grand, I'm not taxed. I mean, US citizen. Sorry, that's a good question. It really depends. Now, what I think that's a popular misconception. That's a popular misconception, but a misunderstanding. So, I'll take you back to the source that comes from Section 911 of the US tax code. And that speaks about something called a foreign earned income exclusion. And my emphasis was deliberate on earned because if it is that if you're making a hundred grand or less, but that is earned income and you may be able to enjoy the foreign earned income exclusion, which to be honest is the best tax break available to US exposed person, US citizens, and green card holders who reside and work outside of the US, but it must be earned income. So, it does not include interest. It doesn't include dividends. It doesn't include basically unearned income. So, yes it's very, very specific. So, to be honest, really someone needs to sit with you and understand what the nature of your income is. Is the hundred grand that you're earning, is that like interest, is that dividends or is that earned income? So, you perform a service or you're selling a product, you're engaged in some sort of business activity for which you're getting that in return. So, if it is earned income, then you may be able to trigger the foreign income exclusion. And as the name suggests you would exclude that income from US taxes. There are two ways of qualifying for that foreign earned income exclusion earned income. So, the first is the one that everyone gets. So it's quantitative and objective. So, that is a physical presence test. So, once you stay out of the US, you're not in US space for more than 30 days in any calendar year, typically you will qualify for the foreign earned income exclusion under the physical presence test. The other one is subjective and qualitative, and that's the bonafide resident's test. So, that's more or less like a test of intent. Like where's your center of life, where's your heart. And if your true home is in another jurisdiction, so your family's there, you own, or you rent the property there, you have a job there, you pay bills there, you belong to social clubs. You know, whatever the case may be, that is genuinely where your life is right now. Then you may be able to enjoy that even if you cross 30 days in the US. So, for example, you are trapped because of a lack of flights or whatever, you still may be able to enjoy it because of that bonafide resident's test. But however, you qualify either physical or bonafide residents, once you do your first well, it actually moves higher with inflation. So, I think for last year it was like 107-6 or something like that. So, it goes up each year with inflation, but that income will be sheltered from US taxes. So yes, speak to your tax advisor, but you still need to report it. So, even though no taxes are payable, you still need to file a US tax return. The filing threshold for return is pretty low. And then from married, filing separately, $5 to be made more than $5 outside of the US. Again, no taxes may be due, but you may still have to file a return. Hope that helps.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

[ HTJ Podcast ] Tax Free living for Americans overseas

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1. We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2. We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth? We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

Next question. Is it true that if I'm living and working outside of the US, I make less than a hundred grand, I'm not taxed. I mean, US citizen. Sorry, that's a good question. It really depends. Now, what I think that's a popular misconception. That's a popular misconception, but a misunderstanding. So, I'll take you back to the source that comes from Section 911 of the US tax code. And that speaks about something called a foreign earned income exclusion. And my emphasis was deliberate on earned because if it is that if you're making a hundred grand or less, but that is earned income and you may be able to enjoy the foreign earned income exclusion, which to be honest is the best tax break available to US exposed person, US citizens, and green card holders who reside and work outside of the US, but it must be earned income. So, it does not include interest. It doesn't include dividends. It doesn't include basically unearned income. So, yes it's very, very specific. So, to be honest, really someone needs to sit with you and understand what the nature of your income is. Is the hundred grand that you're earning, is that like interest, is that dividends or is that earned income? So, you perform a service or you're selling a product, you're engaged in some sort of business activity for which you're getting that in return. So, if it is earned income, then you may be able to trigger the foreign income exclusion. And as the name suggests you would exclude that income from US taxes. There are two ways of qualifying for that foreign earned income exclusion earned income. So, the first is the one that everyone gets. So it's quantitative and objective. So, that is a physical presence test. So, once you stay out of the US, you're not in US space for more than 30 days in any calendar year, typically you will qualify for the foreign earned income exclusion under the physical presence test. The other one is subjective and qualitative, and that's the bonafide resident's test. So, that's more or less like a test of intent. Like where's your center of life, where's your heart. And if your true home is in another jurisdiction, so your family's there, you own, or you rent the property there, you have a job there, you pay bills there, you belong to social clubs. You know, whatever the case may be, that is genuinely where your life is right now. Then you may be able to enjoy that even if you cross 30 days in the US. So, for example, you are trapped because of a lack of flights or whatever, you still may be able to enjoy it because of that bonafide resident's test. But however, you qualify either physical or bonafide residents, once you do your first well, it actually moves higher with inflation. So, I think for last year it was like 107-6 or something like that. So, it goes up each year with inflation, but that income will be sheltered from US taxes. So yes, speak to your tax advisor, but you still need to report it. So, even though no taxes are payable, you still need to file a US tax return. The filing threshold for return is pretty low. And then from married, filing separately, $5 to be made more than $5 outside of the US. Again, no taxes may be due, but you may still have to file a return. Hope that helps.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

YouTube Video VVVRTDRWUGxzSTJKZXdnSHpyeG82SE13LlJSaWNYMmNJTmY0

[ HTJ Podcast ] Tax Free living for Americans overseas

January 16, 2022 5:05 pm

[ HTJ Podcast ] Advantage of an LLC

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1.  We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2.  We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth?  We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

Does it matter if we're in an LLC or an individual? That's a good question. From a US tax perspective, an LLC does not confer any tax benefit. You know, I'm going to save money, despite what people say on YouTube people without a license on the line, of course, you're not going to save any money from an LLC. And LLC is probably more for asset protection. So, the US is a very litigious society.  So, someone slips and falls on finding worst yet finds more than your property, more than as gold. So. if something unfortunate happens, they have the right to come after you and whatever other assets you may hold, right? So, to limit liability, we use what is called a limited liability company. As the name implies it's about protection as well, protecting you. So, that is a real benefit, asset protection from a tax perspective, the default tax treatment fund LLC, is that it is treated as a pass-through. So, if you're investing on your own through an LLC, it just flows on, once it was scheduled it's on, but you're going to be taxed in the same way as if you don't own an LLC. So no, there's no benefit to it. It's purely about asset protection, but it is a good principle, don't hold investments like that in your own name, seek the protection of a limited liability company. Get advice.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

[ HTJ Podcast ] Advantage of an LLC

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1. We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2. We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth? We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

Does it matter if we're in an LLC or an individual? That's a good question. From a US tax perspective, an LLC does not confer any tax benefit. You know, I'm going to save money, despite what people say on YouTube people without a license on the line, of course, you're not going to save any money from an LLC. And LLC is probably more for asset protection. So, the US is a very litigious society. So, someone slips and falls on finding worst yet finds more than your property, more than as gold. So. if something unfortunate happens, they have the right to come after you and whatever other assets you may hold, right? So, to limit liability, we use what is called a limited liability company. As the name implies it's about protection as well, protecting you. So, that is a real benefit, asset protection from a tax perspective, the default tax treatment fund LLC, is that it is treated as a pass-through. So, if you're investing on your own through an LLC, it just flows on, once it was scheduled it's on, but you're going to be taxed in the same way as if you don't own an LLC. So no, there's no benefit to it. It's purely about asset protection, but it is a good principle, don't hold investments like that in your own name, seek the protection of a limited liability company. Get advice.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

YouTube Video VVVRTDRWUGxzSTJKZXdnSHpyeG82SE13LmNfN0JXTnVKcmVr

[ HTJ Podcast ] Advantage of an LLC

January 15, 2022 5:09 pm

[ HTJ Podcast ] Canadian with US Real Estate investment

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1.  We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2.  We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth?  We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

Question, as a Canadian investor investing in US real estate, what taxes do I have to consider? So, great question, Luam, sorry. Well, I'm assuming you're resident in Canada. So, obviously, a Canadian tax is to think about that obviously. I'm assuming that you'd be familiar with that. Otherwise we have an affiliate office in Toronto that we can introduce you to. And we work for hand in glove with them to deal with clients that are exposed to both Canadian and US taxes. But from a US real estate perspective, assuming that you just a real estate investor, then you'll be subject to state taxes. If you're in one of the states in which it's going to be taxed. So, you'll be subject to taxes and the state level, and you'd be subject to taxes at the federal level. So, yeah, and you'll also probably have local taxes that like local property taxes as well, which depending on which jurisdiction you'll be in, it will be a calculation based on property values. So, you have local taxes or property taxes, then you have state taxes. If you're one of the states that does have a state income tax, and then you have the federal taxes, you'd be looking at all three of those taxes. The best advice I can give you is, do speak with someone who's US qualified and is familiar with international taxes, but also the default is that the rental income is treated as what we call FDAP income, which is fixed determinable annual, and periodic. So, it will be subject to a certain percentage withholding, which will be 30% plus reduced by the US Canada treaty. But you can get around, it's probably 9 out of 10, and at least in our experience, it's more tax efficient. If you elect to treat the rental property as a trader business, so you make the requisite election for it to be treated as ECI income effectively connected income effectively connected with a trade or business. Speak to your tax advisor because that's an easy way of getting real savings. And in addition to which you can have a cost allocation studies and with a view to really leveraging the appreciation to further bring down the taxable income. So, you can do it on your own. But I strongly advise that you use speak with a tax team that can help you do real estate investments.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

[ HTJ Podcast ] Canadian with US Real Estate investment

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1. We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2. We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth? We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

Question, as a Canadian investor investing in US real estate, what taxes do I have to consider? So, great question, Luam, sorry. Well, I'm assuming you're resident in Canada. So, obviously, a Canadian tax is to think about that obviously. I'm assuming that you'd be familiar with that. Otherwise we have an affiliate office in Toronto that we can introduce you to. And we work for hand in glove with them to deal with clients that are exposed to both Canadian and US taxes. But from a US real estate perspective, assuming that you just a real estate investor, then you'll be subject to state taxes. If you're in one of the states in which it's going to be taxed. So, you'll be subject to taxes and the state level, and you'd be subject to taxes at the federal level. So, yeah, and you'll also probably have local taxes that like local property taxes as well, which depending on which jurisdiction you'll be in, it will be a calculation based on property values. So, you have local taxes or property taxes, then you have state taxes. If you're one of the states that does have a state income tax, and then you have the federal taxes, you'd be looking at all three of those taxes. The best advice I can give you is, do speak with someone who's US qualified and is familiar with international taxes, but also the default is that the rental income is treated as what we call FDAP income, which is fixed determinable annual, and periodic. So, it will be subject to a certain percentage withholding, which will be 30% plus reduced by the US Canada treaty. But you can get around, it's probably 9 out of 10, and at least in our experience, it's more tax efficient. If you elect to treat the rental property as a trader business, so you make the requisite election for it to be treated as ECI income effectively connected income effectively connected with a trade or business. Speak to your tax advisor because that's an easy way of getting real savings. And in addition to which you can have a cost allocation studies and with a view to really leveraging the appreciation to further bring down the taxable income. So, you can do it on your own. But I strongly advise that you use speak with a tax team that can help you do real estate investments.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

YouTube Video VVVRTDRWUGxzSTJKZXdnSHpyeG82SE13Lk1SVXBCSFFZMnpv

[ HTJ Podcast ] Canadian with US Real Estate investment

January 14, 2022 4:41 pm

[ HTJ Podcast ] Non Resident Alien with U.S. source income

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1.  We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2.  We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth?  We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

So, if you derive income from US clients, but are not tax residents in the US, you're not a US citizen, you're not a green card holder, but you derive income from US clients who live outside of the US. Can you qualify for the foreign income exclusion? Kim, that's a good question. So, if you are not resident in the US and you have no, so you're not a US tax resident. So, if it is that you are not a tax resident, so you don't have a green card, you don't have a passport, you don't trigger substantial presence. Then you're not a US resident, you're not subject to taxes. So, if it is that you derive income from US clients, assuming that it's for services rendered. I'm sorry. So sorry, Kim you've corrected me. Okay, so, you're not resident in the US but you are a US citizen, okay, fine. So, you're a US citizen, you're outside and your clients are in the US. Yes, you are still subject to, you can still enjoy the foreign earned income exclusion. If it is, you qualify to Section 911, by virtue of the physical presence test, which we described before, or the bonafide residence test. So yes, you can, you can use Form 2555 and make sure that you exclude the first 107,000 plus you get a housing deduction as well. So, we see that in some jurisdictions, we see that go up to like $150,000. So, the first 150K of your income can be shielded from US taxes. Thanks to a combination of the foreign earned income exclusion, plus the housing deduction, which is, I mean, bond, this is the best deal for a US person who works outside of the US. So, I hope that helps Kim.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

[ HTJ Podcast ] Non Resident Alien with U.S. source income

If you need #InternationalTax advice?
We are here...

Here are 4 ways we can help you -

1. We offer HOLISTIC strategies to help you live that international life. Tax + MIGRATION options.

2. We help you MODEL the tax impact of moving to a new jurisdiction

3. CONTACT us for tax optimization consults over Zoom

4. High Net Worth? We can QUOTE for doing your "US - International" tax returns

DERREN JOSEPH:

So, if you derive income from US clients, but are not tax residents in the US, you're not a US citizen, you're not a green card holder, but you derive income from US clients who live outside of the US. Can you qualify for the foreign income exclusion? Kim, that's a good question. So, if you are not resident in the US and you have no, so you're not a US tax resident. So, if it is that you are not a tax resident, so you don't have a green card, you don't have a passport, you don't trigger substantial presence. Then you're not a US resident, you're not subject to taxes. So, if it is that you derive income from US clients, assuming that it's for services rendered. I'm sorry. So sorry, Kim you've corrected me. Okay, so, you're not resident in the US but you are a US citizen, okay, fine. So, you're a US citizen, you're outside and your clients are in the US. Yes, you are still subject to, you can still enjoy the foreign earned income exclusion. If it is, you qualify to Section 911, by virtue of the physical presence test, which we described before, or the bonafide residence test. So yes, you can, you can use Form 2555 and make sure that you exclude the first 107,000 plus you get a housing deduction as well. So, we see that in some jurisdictions, we see that go up to like $150,000. So, the first 150K of your income can be shielded from US taxes. Thanks to a combination of the foreign earned income exclusion, plus the housing deduction, which is, I mean, bond, this is the best deal for a US person who works outside of the US. So, I hope that helps Kim.

VOICE-OVER:

Please subscribe, like, share and comment below. Our books and upcoming events are available at HTJ.tax. Email us at help@htj.tax to engage us to advice on international tax or business matters.

#HTJpodcast #internationaltax #taxplanning #financialplanning #taxes #compliance #AdaptOrDie #internationalbusiness #offshore #expats #investors #offshore #liveyourbestlife #flagtheory #InternationalEntrepreneur #entrepreneur

YouTube Video VVVRTDRWUGxzSTJKZXdnSHpyeG82SE13LmVBblY2TnlrYjdz

[ HTJ Podcast ] Non Resident Alien with U.S. source income

January 13, 2022 4:37 pm