First, keep the income and asset files.
1. Before becoming a "foreign resident" in the United States, foreign citizens do not need to declare their income outside the United States. However, once a foreign citizen meets the "green card test" and "substantial residence test", he must declare his income on a global scale.
The expert said: "Before becoming an American citizen, there are two points that need special attention. First of all, foreign citizens should keep all kinds of source documents of their income and assets, no matter what time period and tax return status. " Although the global income of foreign citizens does not need to be taxed in the United States before becoming a "foreign resident" in the United States, after becoming a "foreign resident" in the United States, this income needs to be declared to the IRS. In order to avoid wrong collection or punishment, we should try our best to ensure the accuracy of the proof of property source.
According to the tradition of "inheriting the father's business" in China, parents always hope that their wealth will not be left behind, and the property will always be passed on to their children. In China, there is no such thing as gift tax and inheritance tax. But America is different. Gift tax and inheritance tax are both taxes with high tax rate or extremely high tax rate. Without planning in advance, people with high assets are afraid that most of their property will eventually be taken away by the US government.
Second, the clever use of gift tax and inheritance tax.
1. The gift tax and inheritance tax in the United States can be viewed together. The most important point is that before becoming a "foreign resident" in the United States, foreign citizens can give their property outside the United States to their children without any worries.
2. After becoming a "foreign resident" in the United States, the annual gift tax exemption for each person is $65,438+03,000. In other words, the couple can transfer $26,000 to their children every year without paying gift tax.
The gift tax and inheritance tax of "foreign residents" in the United States are exempt for life for $5 million. That is to say, if the gift exceeds $65,438+03,000 and you choose not to pay the gift tax, the excess will be deducted from this lifetime quota until this quota is used up; If this lifelong allowance is not used in advance, then the estate will enjoy a tax allowance of 5 million yuan when calculating the individual tax.
4. Turn personal consumption into business tax deduction. Newcomers to the United States often lack the habit of filing tax returns voluntarily on time, and they do not seek lawyers and accountants for tax planning to achieve reasonable tax avoidance. New immigrants are usually not used to American tax laws. American immigration applicants, American students and even American tourists should establish a sense of declaration, avoid taxes legally and reasonably, and do what they can.
It is reported that American law stipulates that as long as there is income, no matter what status, tax returns must be filed. The period from the beginning of each year to April 15 is the season for individual tax returns, and citizens, legal residents, temporary residents and students have the obligation to file tax returns; Holders of American tourist visas, student visas and even illegal immigrants can get a tax return card number from the Immigration Bureau.
American business and tax laws are very developed. Immigrants from China should not save money on hiring accountants and lawyers for financial planning and bonds. Whether they do tax planning or not has a great influence on the after-tax surplus. One of the ways to save tax is to convert personal consumption into business deduction, and the specific method is to convert personal expenditure into business-related expenditure.
5. There are many tax reductions and exemptions in American tax laws, and the business activities of China immigrants cover a wide range, so there are many ways to save taxes. Property transfer and gift, house purchase and sale, long-term investment can all be tax-deductible, and even you can get appropriate tax relief by flying or driving out. "
At present, many families immigrate to the United States, especially the EB-5 project, which has low requirements for applicants and high cost performance, and has been sought after by the market. Since 16, we have focused on investing in the field of immigration. Rich experience shows that the legal procedures for declaring assets to the US government have existed for a long time, which is a normal and necessary legal step. Recently, the U.S. government has stepped up its efforts in tracing, which is a normal tax investigation by the U.S. government.