What tax avoidance methods do you need to know after buying American real estate?

Many people who go abroad will choose to settle in the United States to buy a house. What tax avoidance methods do you need to know after buying an American house? Many people who go abroad seem to care about this. Let's have a look! The following is the relevant information I have compiled. Welcome to reading.

What tax avoidance methods do you need to know after buying American real estate?

According to industry insiders, the tax burden of foreign real estate seems amazing, but as long as high tax-free items are used well, buying a house overseas can greatly reduce the cost of ownership.

Take Miami, Florida as an example. The house price is $65,438+075,000, and the annual rent is $65,438+02. After deducting the tax allowance and depreciation, the two-bedroom apartment in 250 yuan is exempt from paying any money in the first year (the extra tax allowance can be postponed to the next year), and the tax payable in the second year is only $65,438+080. Five tax avoidance methods for people who want to buy real estate in America:

First, choose a state without state income tax.

American income tax can be roughly divided into federal income tax and state income tax. The federal income tax rate is uniform throughout the United States and applies to foreigners. At present, seven states including Florida, Texas and Washington are exempt from state income tax, supplemented by business tax or consumption tax. At present, the highest state income tax is California, with the tax rate of 13.3%.

Second, the rental income of ancient houses in China can be devalued.

In addition to personal allowance, the depreciation of renovated middle-aged houses can also be declared tax deduction every year. The calculation method is the evaluation value of the building divided by the service life recognized by the IRS.

The property management company absorbs taxes and fees.

Charter escrow in the United States has been implemented for many years, which can earn a lot of income for landlords every year. For residential areas with stable tenants and high full rent rate, property companies are even willing to absorb housing tax, insurance premium, escrow service fee and management fee.

These four companies are held in the name of limited liability companies.

Holding American real estate by a limited company can not only legally deduct the future fuel costs of water, electricity, telecommunications and telecommunications, but also avoid the problem of double taxation of enterprises and individuals.

Five people can also get a tax credit because they go to the United States to enjoy their house tickets.

Receipts for air tickets, accommodation and meals kept in the United States can be used as the basic tax for travel expenses.