Real analysis and introduction of American immigrant tax declaration cases

A true analysis of the case of American immigrants' tax declaration-case 1

Mr Xu is an executive of a company. His wife is a full-time wife and has a son. They decided to immigrate to the United States for their children, so as to get an education that meets their ideals in the future. Considering Mr. Xu's work, he can only let his wife accompany his children to study in the United States. Then, in this case, in whose name should I apply for a green card?

Analysis: Generally speaking, there are not many restrictions on the gift between husband and wife in the United States. Through the gift of husband and wife, the more favorable party who immigrates to the United States can get funds, and then get the American green card by investing in immigrants. Once the applicant is approved, there will be a global tax problem. Therefore, it is necessary to consider the assets and income of the applicant before deciding which spouse to apply for, so as to face the problem of tax payment in the future.

If you apply for a green card as Mrs. Xu, you will avoid paying US income tax and the disclosure of bank accounts outside the United States when applying for immigration in the name of Mr. Xu. If Mrs. Xu obtains citizenship in the future, Mr. Xu and his children can apply for immigration to the United States through relatives.

A Real Analysis of the Cases of American Immigrants' Tax Declaration —— Case 2

For example, in the previous case analysis, Mrs. Xu and her children have obtained American green cards. When filing income tax every year, does Mr. Xu need to declare his income without a green card in China?

Analysis: Mrs. Xu has two choices when she declares. First, treat Mr. Xu as a taxpayer in the United States and declare all the income and assets of husband and wife in the world. The advantage is that tax returns are clear and convenient, and the tax rate is more favorable than that of singles. The disadvantage is that you may have to pay more taxes. Therefore, in this case, the parties concerned must have another legally qualified relative and meet other tests before they are eligible to file tax returns as the head of the household.

Second, Mr. Xu's income was not included in the declaration. The advantage is that there is no problem of double taxation. The disadvantage is that as a single taxpayer, the tax rate is higher. Therefore, Mrs. Xu Can, as the "head of household", has a slightly higher tax burden than married joint taxpayers, but lower than single or married single taxpayers.

No matter which scheme you choose, it is recommended to consult a professional accountant for calculation before making a decision.