Expatriate Tax Returns Help By Killer IRS CPA

Expatriate tax return issues require the experience of a knowledgeable Tax CPA. People who live outside the U.S. often have to deal with expatriate tax return issues from the IRS.

The US Tax Requirements on Expatriation:

According to the IRS, "The expatriation tax provisions under Section 877 and Section 877A of the Internal Revenue Code (IRC) apply to US citizens who have renounced their citizenship and long-term residents (as defined in IRC 877(e)) who have ended their US resident status for federal tax purposes."

There are different rules for expatriates depending on the date when they officially expatriated.

* Expatriation on or after June 16, 2008
* Expatriation after June 3, 2004 and before June 16, 2008
* Expatriation on or before June 3, 2004

Americans Who Expatriated on or After June 16, 2008

New rules apply to the expatriate if they expatriated after June 16, 2008

* The average annual net income for the five years after the date of expatriation or the actual termination of residency is more than $139,000 (if the residency was terminated prior to January 1, 2009)
* The net worth of the citizen is $2 million or more on the date of expatriation or termination of residency.
* The expatriate failed to certify on form 8854 they complied for all US tax obligations for the five years before signing the expatriation or terminating residency.