Foreign Tax Firms2021-11-22T12:51:47-05:00

US CPA Partner for Foreign Tax and Accounting Firms

Are you a foreign tax practitioner with clients who are United States taxpayers? These clients pose specific challenges, especially if they’ve never filed a US tax return or are not reporting their foreign financial assets or income to the US government (i.e., the IRS).

We can help.

Since 1983, we’ve helped thousands of people get compliant through an IRS amnesty program. We understand the Offshore Voluntary Disclosure Program and the Streamlined Filing Compliance Procedures. We have an extensive history and background with these programs.

Looking for a Nexia International Partner?

We’re an active member of Nexia International, a global network of independent accountancy, tax and business advisors with over 250 firms around the globe.

Ready for a free discovery call?

Frequently Asked Tax Questions from Foreign Tax and Accounting Firms

We just found out that my client should have been filing US tax returns and reporting assets held outside the US. Can you help us understand how to fix the prior-year reporting?2019-11-01T15:28:06-04:00

Yes, the IRS offers a variety of methods for US taxpayers to fix their foreign income and asset reporting. Common programs include the former Offshore Voluntary Disclosure Program (OVDP) and related programs, such as the Streamlined Filing Compliance Procedures. We have an extensive history and background with these programs. We have helped clients and their foreign tax advisors navigate all versions of these programs since 2009!

To assist you and your client, we review the client’s case facts and circumstances. Then, we advise you and your client on the options available. We explain the IRS programs or other methods you can use to correct the situation, as well as the important considerations and costs. We help you understand the benefits and risks of each option. We also advise you on what we recommend. Next, we support you through the process and prepare the original or corrected filings.

I’ve heard that US tax filing and asset reporting can be a headache. What happens if my client just ignores it? How will the IRS ever know?2019-11-01T15:30:37-04:00

We hear this question all the time! While it is possible that the IRS may never find out, ignoring the US requirements comes with very high risk.

Governments around the world are sharing more and more information on their residents and taxpayers. The Foreign Account Tax Compliance Act (FATCA) and the Common Reporting Standard (CRS) already lay the foundation for such sharing. In addition, the IRS has begun using data analytics to identify possible cases of non-reporting.

Individuals who don’t file US tax returns and informational reports already may face large fines ($10,000-$100,000) per form required in their tax returns. If the IRS determines that the individual was aware of the requirements and did not file, then the consequences are even worse. These “willful” non-filers are not able to claim reduced penalties under the IRS amnesty programs. In addition, they may face criminal charges. Plus, the statute of limitations remains open, so it doesn’t matter how many years go by—the IRS can still look at old cases and levy penalties. These certainly aren’t risks that we would recommend any client take!

Once my client is compliant with the IRS, then how can he/she free themselves of future US tax obligations?2019-11-01T15:31:20-04:00

Your client could give up his or her green card or US citizenship. But this is a big decision—and one that should be carefully planned from both tax and immigration perspectives. On the tax side, we can help you file specific forms in order to end the tax obligations. Remember, it’s not enough for your client to give up US citizenship or a green card. Instead, your client must certify to the IRS that the last five years of tax returns are accurate and have been filed with the IRS. In addition, your client may be subject to an “Exit Tax” on his or her net worth.

We can help you by:

  • Explaining the tax impacts of giving up US citizenship or a green card
  • Reviewing prior filings for accuracy
  • Assisting with tax planning to reduce the Exit Tax
  • Preparing proper filings and calculations for the Exit Tax
  • Explaining the US tax filing requirements for the years after your client gives up US citizenship
I have a high-net-worth client concerned about the safety of his/her wealth in his/her country of origin. How can I structure my client to own US real property or invest in the US without the big tax consequences of FIRPTA?2019-11-01T15:31:43-04:00

We typically work alongside tax attorneys who will advise you on the proper structure for your US investments regardless of whether they include real estate or personal property. If income, gift, or estate tax returns are required, we can prepare these for your client on an as-needed basis. If there are informational returns required, such as IRS Form 5472 (foreign-owned disregarded US entity) or withholding forms, such as Form W8-BEN, W8-BEN-E, or 8288-B, we can prepare these, as well.

My client owns a company in a foreign country and wants to expand to the US. Can you help with inbound corporate tax planning?2019-11-01T15:32:32-04:00

Yes. We work with clients from all over the world who are interested in doing business with the US. We can assist your client in multiple ways.

  • We can help determine whether the foreign company itself should be operating in the US or whether a separate US entity should be established.
  • If establishing a US entity makes sense, we can help your client select the best type of US entity and tax structure to optimize its tax efficiency.
  • We can also help your client choose the best US state to establish its business in and help determine the state filing requirements.
  • We can ensure that all tax returns and estimated tax payments are made timely.
  • We can help with any transfer pricing considerations.
  • If your client has any individual filing requirements, in addition to the entity filing requirements, as a result of doing business in the US, we can help with these personal filings, as well.
My client wants to send employees from a foreign jurisdiction to the US. How can you assist?2019-11-01T15:32:51-04:00

We offer pre-immigration tax planning for individuals. We can conduct a thorough review of their foreign financial assets and income before becoming a US taxpayer. We can then advise the employees on ways to reduce or consolidate their foreign financial assets, danger zones for foreign income (example – PFICs), and other related areas that may cause significant headaches when filing tax returns.

Can you prepare calculations for the US Exit Tax and/or complete IRS Form 8854 as a standalone project?2019-11-01T15:33:14-04:00

Yes, we can. The IRS announced on July 19, 2019, a new International Campaign for Expatriation and IRS Form 8854. As this area is now under heavy scrutiny, there should be extra due diligence given to a client’s facts and circumstances as it applies to IRC 877A. We have been preparing these forms since the new version of IRC 877A came into being in 2008. We have extensive experience with this code section and Form 8854.

Ready for a free discovery call?

Our Services for Foreign Tax Firms

Unlike most US CPA firms, we are a boutique firm that has been specializing in international tax strategies for decades, so we have extensive, deep, and tested expertise. We maintain strong personal relationships with partners within many Nexia firms worldwide.

We can help you with:

Why The Wolf Group?

Since 1983, we’ve worked with clients in the United States and abroad on international tax matters. We have a long history of “cleaning up” complex tax returns, reporting foreign assets, and reconstructing financial records.

Check out our extensive team of CPAs, all with vast international tax experience.

Looking for a Nexia International Partner?

We’re an active member of Nexia International, a global network of independent accountancy, tax and business advisors with over 250 firms around the globe.

Meet Our Tax Professionals

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What our clients say

“Very good client support. Easy to communicate and upload documents. Thorough and timely delivery of the returns. Used them for last year and this year. I am very happy to work with The Wolf Group.”

“This was the first time I had to file taxes in the US. There was some complexity to it because my wife’s pension is paid and taxed in another country. I was grateful for the expert help that I received from The Wolf Group.”

“I appreciate that your staff always promptly responds to my questions/emails even when it’s not tax season!”

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