US Citizens Living Abroad

U.S. citizens living abroad – commonly known as “expats” – are required to file U.S. tax returns to report their worldwide income. This introduces a complicated process through which they are required disclose ownership of non-U.S. assets. Though this process is daunting, Lodder CPA has the knowledge and technical expertise to help you navigate these complexities.

Our tax preparation services include, but are not limited to:

  • Individual income tax return (Form 1040), including preparation of foreign earned income exclusion (Form 2555) and foreign tax credits (Form 1116)
  • State income tax return preparation
  • Non-U.S. bank and financial accounts reporting (Fin CEN Form 114), commonly referred to as the “FBAR”
  • Reporting an ownership interest in a non-U.S. corporation (Form 5471) and Subpart F income calculation
  • Reporting minority interest ownership in a non-U.S. passive corporation (Form 8621)
  • Reporting ownership interest or beneficiary of non-U.S. trusts or receipt of a foreign inheritance or gift (Form 3520/3520-A)
  • Foreign financial asset reporting (Form 8938)
  • Reporting ownership interest in foreign partnerships (Form 8865) or foreign disregarded entities (Form 8858)
  • Expatriation tax form (Form 8854)
  • Withholding reporting on cross-border payments such as interest, dividends, rents, royalties and more. (Form 1042)
  • Claiming reduced withholding rates pursuant to tax treaties (Forms W-8BEN, W-8ECI)
  • Sec 965 repatriation tax computations and planning
  • Global Intangible Low-Taxed Income (GILTI) computations, tax reporting and planning

Lodder CPA’s international tax consultation services include:

  • Tax planning with U.S. citizens who plan to renounce citizenship and may face an expatriation tax
  • Analysis, calculation and planning of income held in foreign corporations subject to the punitive Subpart F or Passive Foreign Investment Company (“PFIC”) anti-deferral tax rules
  • Analysis and planning to utilize U.S. income tax treaties to reduce or eliminate U.S. income tax liability
  • Analysis and planning related to foreign corporate reorganizations and restructuring to mitigate U.S. income tax liability
  • Analysis of U.S. tax implications associated with foreign stock options or pensions
  • Planning with investment advisor on foreign holdings that are U.S. tax efficient vehicles, or foreign investments that are tax inefficient and cause burdensome reporting obligations (i.e. foreign mutual funds)
  • Consultation and assistance with preparing necessary paperwork to comply with Foreign Account Tax Compliance Act (FATCA)