The U.S. tax system is complex and far-reaching. Immigrants to the U.S. are often shocked to discover the hefty annual reporting requirements and punitive tax treatments applied to certain assets originating from their home country (such as employer pension accounts, mutual funds, life insurance, and personal retirement savings plans). In Read more…
The U.S. has several different types of plans to help taxpayers with retirement. The most common plans are 401(k) plans and individual retirement accounts (IRAs). 401(k) plans are U.S. employer-sponsored plans that allow employees to contribute a portion of their wages. Employers often make pre-determined contributions or “matching contributions” to Read more…
An Australian tax resident (who is not a U.S. citizen or green card holder) generally must file a U.S. tax return under one of four scenarios: The first scenario occurs when he or she has U.S. effectively connected income (ECI). Examples of U.S. ECI include wages earned while on business Read more…
US IRAs receive favourable tax treatment under the US tax system. But for Americans who immigrate to Australia, the taxation of US IRA’s under Australian tax law can be thwart with complexity. This article is the second article in a series on foreign retirement investments and foreign superannuation – last Read more…