US Expats Tax-hell Commences

Monday was Tax Day for residents in the US and most "US persons" trapped in the US Tax Net.  But for Americans Abroad, expats' own tax-hell is about to begin.  June 15th is the deadline for filing US income tax returns for non-residents caught in the US tax net.  Worse, June 30th is deadline for RECEIPT (not mailing!) of the dread FBAR and Form 8938.

Time to get your financial records in order and get going on your filing requirements so you can meet these deadlines.

Remember!  It's not just US citizens who are subject to US tax laws.  IRS defines "US persons" more broadly than any other country in world stretches their tax boundaries.  Legal permanent residents, even if they are outside the US, are still subject to US tax laws.  So are a host of others.  If you have any US income or any kind of US connection, beware!  Make double-sure you're not trapped.

Many foreigners delivered their babies in the US, thinking they were giving the "gift" of US citizenship to their offspring.  For example, it was quite popular in the 1990's for Koreans in an attempt to keep sons out of Korea's military service requirements.  Backfire!  All these kids, who have been living back in their and their parents' countries since infancy or childhood, now are be hunted down by IRS for their income tax payments.  Failure to file and failure to pay, as required, are both felonies.  With FBAR and Form 8938, penalties are downright draconian.

Exercise extreme caution!  If you are a US citizen residing outside US, or if you have other ties to US which might trap you in the net, make sure you verify whether you have to file, what you have to file, and get it done on time!

May your road rise to meet you,
Ann

Essential Business Traveler Card for APEC Region

Travel often on business to the APEC Region?  Asia-Pacific Economic Cooperation has a unique program to speed pre-approved business travelers through immigration formalities.  It's geared solely to boost trade and investment in the region.  With the APEC Business Travel Card (ABTC), you speed through special lanes at immigration checkpoints if you are coming for a short-term stay.

The following countries participate:  Australia, Brunei, Chile, China, Hong Kong (China), Indonesia, Japan, Korea, Malaysia, New Zealand, Papua New Guinea, Peru, Philippines, Singapore, Chinese Taipei (Taiwan), Thailand, Vietnam.  See: www.apec.org/apec/business_resources/apec_business_travel0.html

Most of these countries allow preapproved business travelers 60 or 90 days entry for business purposes without further need for a visa.  It acts something like a multi-country multi-entry business visa.  And it's for citizens of APEC countries.

The US is supposedly a "transitional member."  This means those carrying the ABTC may use the express lanes at airports (same lanes used by airline crews) to enter the US, but still must have their passports plus any normally required visas.  US citizens are not yet eligible to obtain the card for their business trips to member countries.  No wonder US is uncompetitive in international markets and exports are not moving the way they could.  www.businessmobility.org/key/usa.htm

Great idea for Road Warrioresses!  If you are eligible, look into it, and save yourself some hassle at the airports.