Is it true that a US Green Card holder has to declare worldwide earnings to the US even after leaving?
If so, could you still be liable for US taxes even though you work in Europe, employed by a UK company?
Answers:
The answer is YES, as a US Green Card holder, you are still liable for US taxes even though you work in Europe employed by a UK company.
I refer you to IRS publication 519 "US Tax Guide for Aliens", page 4 Green Card test and page 5 footnotes 1 and 2. Your Green Card essentially means that you are taxed in the same way as a U.S. citizen, unless you affirmatively abandon U.S. residency (see page 4) or you qualify under a treaty (footnote 2 on page 5).
As a "Green Card" holder, you qualify for the foreign earned income exclusion (requiring you to file form 2555 - see IRS publication 54 pages 11-21, Tax Guide for US Citizens and Resident Aliens Abroad). Alternatively, you can take a foreign tax credit on form 1116 for UK taxes paid on your UK earned income in place of the form 2555 exclusion AND you can take a foreign tax credit on form 1116 related to UK taxes on other types of income (e.g. interest and dividend income).
I doubt it but you never know with this current government
I'd contact the IRS and make sure
Absolutely not. Whoever told you this was mistaken.
You should also consult an immigration attorney regarding the effect of an extended absence from the US (or claiming to be a foreign resident for tax purposes) on your green card status.
Who's at work right now, and so in need of a break?
how soon will chip implants be ready for humans?
Is it illegal for a service provider to debit your account but not send you a bill?
where to rent a property in Wales?
How do the people working for Yahoo! get paid?
which company is best for me to invest money in right now and for the future?
Did you know you can do this same thing and earn money from it?
Buy to let, no fee, no deals, no early redemption (obviously)?
Has anyone had any trouble trying to claim .?
Answers:
The answer is YES, as a US Green Card holder, you are still liable for US taxes even though you work in Europe employed by a UK company.
I refer you to IRS publication 519 "US Tax Guide for Aliens", page 4 Green Card test and page 5 footnotes 1 and 2. Your Green Card essentially means that you are taxed in the same way as a U.S. citizen, unless you affirmatively abandon U.S. residency (see page 4) or you qualify under a treaty (footnote 2 on page 5).
As a "Green Card" holder, you qualify for the foreign earned income exclusion (requiring you to file form 2555 - see IRS publication 54 pages 11-21, Tax Guide for US Citizens and Resident Aliens Abroad). Alternatively, you can take a foreign tax credit on form 1116 for UK taxes paid on your UK earned income in place of the form 2555 exclusion AND you can take a foreign tax credit on form 1116 related to UK taxes on other types of income (e.g. interest and dividend income).
I doubt it but you never know with this current government
I'd contact the IRS and make sure
Absolutely not. Whoever told you this was mistaken.
You should also consult an immigration attorney regarding the effect of an extended absence from the US (or claiming to be a foreign resident for tax purposes) on your green card status.
The answers post by the user, for information only, UKQnA.com does not guarantee the right.