US Citizen looking to move out of the states to reduce taxes

Discussion in 'Taxes and Accounting' started by Nexen, Feb 19, 2010.

  1. Nexen


    I'm not looking to renounce to my citizenship but I've heard that US Citizens permanently residing in a foreign country get some sort of minimal waiver although I'm not sure of the details need some serious education/schooling on the subject.

    Need to learn more about such benefits if any.

    I would appreciate anyone pointing me into the right direction.

    Thank you
  2. if you are not making at least 750k a year, it is pretty ptless.
  3. Nexen


    How about this bit ?

    "If you have been earning income while living abroad for more than a year, then you may qualify for the foreign earned income and foreign housing exclusions and the foreign housing deduction. It would allow you to exclude up to $91,400 of foreign income for the 2009 tax year. The requirements depend on which country you are residing in, how many days you have been living there, and your worldwide income. This credit can be especially beneficial to taxpayers who might be subject to double taxation (those who have to pay taxes to both the U.S. government and their local tax authority). You can use the foreign income exclusion form (IRS Form 2555) to claim this deduction, but be sure you speak with a tax professional specializing in foreign income before sending off your return. "

    Sounds like a good deal to me.
  4. if you're outside of the country for more than around 300 days a year (the minimum i believe), and make around 250sh, then yes, it's not a bad deal.
  5. Buzzed


  6. Nexen


    Any chance you got a link to such info fordetails?

  7. I thought there was an 80K a year waiver..
  8. i have some simple advice - make more money.. and forget about it.

    you will spend less effort and be safer.
  9. #10     Feb 20, 2010