Common IRS issues for US-Australia citizen around the world.

Common IRS issues for US-Australia citizen around the world.

http://ift.tt/2vsZb6M Along with FATCA and FBAR reporting, specific Australian IRS tax issues our team of tax attorneys, CPAs, and tax preparers assist our clients with. The Australian/US tax treaty exists but offer scant benefit. Superannuation tax issues The biggest, thorniest issue we encounter is on the US taxation of Australian Superannuation funds. The IRS does not consider things like Australian superannuation funds to be tax-deferred. They also may considered them to be “Grantor” trusts, requiring additional compliance forms. When the funds within these plans are distributed, they will be taxed like an annuity under section 72. This basically means that you will use your contributions (which have already been included in your income and taxed) as a basis in determining how much of a distribution is income. This will work whether you take a lump sum payment, yearly distributions, or distributions structured in any other way. Parent & Parent LLP 144 S Main Street Wallingford, CT 06492 (203) 269-6699 http://ift.tt/1RfwK1f info@irsmedic.com https://youtu.be/YEmTAg6p5Jw IRS Medic