This tax applies to those who meet any of these conditions: Your annual net income tax liability for the prior five years was greater than a specified amount, adjusted for inflation ($162,000 for 2017, $165,000 for 2018, and $168,000 for 2019), or Your net [...]
Yes, both US and foreign pensions and retirement accounts are included when calculating your net worth. Depending on the type of pension, they may not actually be taxed under the Exit Tax, but their value is used to determine whether you are subject to [...]
Yes, this is critical. To end your US tax residency, you must be able to certify on Form 8854 that your past 5 years’ worth of US tax returns have been filed and were complete and accurate. You certify this under penalties of perjury. [...]
Yes, even if you are not a “covered expatriate” under the Exit Tax tests and don’t owe any Exit Tax, you must file Form 8854. The Form 8854 is required for US citizens as part of the filings to end their US tax residency. [...]
