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The following is a summary of an important tax development that has occurred in the past three months that may affect you, your family, your investments, and your livelihood. Please call us for more information about any of these developments and what steps you should implement to take advantage of favorable developments and to minimize … Continued
The following is a summary of an important tax development that has occurred in the past three months that may affect you, your family, your investments, and your livelihood. Please call us for more information about any of these developments and what steps you should implement to take advantage of favorable developments and to minimize … Continued
Tax Cuts and Job Act (TCJA): Impact on IC-DISC Effectiveness Let’s explore the use and effectiveness of the Interest-Charge Domestic International Sales Corporation (IC-DISC) in the new tax environment. For those new to an IC-DISC, the IC-DISC converts what would normally be ordinary business income into qualified dividends, thus generating a tax savings due to … Continued
The basic rule for determining the gain or loss on the sale of property is Sales Price minus selling expenses minus Adjusted Basis (the technical term for most of us refer to as Cost). When we sell an asset we purchased, the Adjusted Basis is our cost of the asset. When we receive an asset … Continued
Any change in Presidential Administration brings the possibility, indeed the likelihood, of tax law changes and the election of Donald Trump as the 45th President of the United States is no exception. During the campaign, President-elect Trump outlined a number of tax proposals for individuals and businesses. This letter highlights some of the President-elect’s tax … Continued
I remember years ago when I almost purchased a vacation condo in Whistler. With the benefit of hindsight and the impact of the 2010 Winter Olympics it would have been a fabulous investment. The sale of this property would have produced a routine capital gain in Canada (sales price less adjusted cost base and selling … Continued
I have been practicing US taxes for over forty years. While I believe I am quite knowledgeable in US taxes, I realize there will always be those who know more than I know. I have been practicing Canadian taxes for a much shorter period of time, so most of my colleagues north of the 49th … Continued
The United States is one of two countries in the world that subject their citizens to tax on their worldwide income, no matter where they reside. Most other countries tax individuals based on residence – they are no longer subject to tax when they no longer reside in that country. This is a very simplistic … Continued
If you have an interest in a foreign bank account you may be subject to reporting requirements. The Bank Secrecy Act requires that certain financial accounts based in foreign countries be reported. This act is commonly known as FBAR (Report of Foreign Bank and Financial Accounts). The Foreign Account Tax Compliance Act (FATCA) was enacted … Continued
Swiss bank accounts. Cayman Islands. Hidden assets. Subpoenas. FinCEN. IRS. Penalties. Disclosure. It seems like the crackdown on unreported foreign assets is in the news regularly. What are foreign assets? To whom should we report? How do we avoid horrific penalties? Can we stay out of jail? It’s a quagmire. Let’s start with simple definitions. … Continued