US Tax Question, a bit more complicated.

[LiquidSky]

I'm a US Citizen... single, no property in the US. I have been living in the UK and paid in GBP since June 2008. In Jan 2010 I will be moving to Singapore and will begin getting paid there in April 2010 in Singapore Dollars... I have heard so may different stories about how this is going to work out as far as paying taxes.... anybody have any clue where I can start to research this or suggest a good tax consultant? It's nice to get advise from well intentioned friends but I want to know the facts from people who have done something like this before and there aren't many out there... hoping somebody here might have been through a similar situation.

[Strong Eagle]

It should work exactly as it has been working in Great Britain.

You get an earned income exclusion of US$ 91,500 for 2009. If you earn less than that you won't pay any income tax in the US.

If you earn more than that, you are taxed at the rate as though the income were not excluded.

Unearned income (stocks, bonds, dividends, rents, royalties, etc) are unearned income and are also taxed as though the exclusion did not exist.

You may also be entitled to a housing allowance exclusion.

Summary: Works in Singapore like it did in the UK.

[LiquidSky]

Thanks for that SE... some had advised me that because of the lower rate of tax in Singy I would be subject to paying more taxes in the US. The tricky part is that I make just about 95,000 USD before bonus so I may end up paying some back t the US anyway.

[Strong Eagle]

Thanks for that SE... some had advised me that because of the lower rate of tax in Singy I would be subject to paying more taxes in the US. The tricky part is that I make just about 95,000 USD before bonus so I may end up paying some back t the US anyway.

Patently not correct except from the perspective that if you do go above the earned income exclusion line, you also get to take foreign tax credits, which are lower for Singapore, naturally.

[sillingw]

If you PM me, I can put you in touch with our tax accountant, she is based in Singapore, her husband works at the US embassy and she has direct contacts with both state and federal authorities in the US.

[Roaring Tiger]

Sillingw, could you please PM me the contact details of the tax consultant. I am new to the Forum and hence could not PM you. Thanks.

[nj resident]

Sillingw, could also you please PM me the contact details of the tax consultant. Same as the previous poster, I am new to the Forum and could not PM you. Thanks.

[primera]

I would also like the contact details for your tax accountant. Please send to lorenjun@rocketmail.com thank you

[aster]

Is it true that even if you were to give up your US passport then Uncle Sam still gets a cut of your earnings (if you cross the magic threshold) for several more years?

[chikai]

If you PM me, I can put you in touch with our tax accountant, she is based in Singapore, her husband works at the US embassy and she has direct contacts with both state and federal authorities in the US.

could you please PM me the contact as I'm not allowed to PM with a new account.

Best
chikai

[LiquidSky]

Hi sillingw... could you PM that info also? Not able to PM you.


So I will be making between 125-130K SGD.... is it safe to assume I will be paying 15% of that to Singapore and a small slice of that back to the US?

[LiquidSky]

Any help with that last question?

[sundaymorningstaple]

Hi sillingw... could you PM that info also? Not able to PM you.


So I will be making between 125-130K SGD.... is it safe to assume I will be paying 15% of that to Singapore and a small slice of that back to the US?

The taxes on 130K SGD, provided you have been here more than 183 days consecutive days (e.g., on an EP that straddles two tax years or a single year over 183 days, you tax liability to Singapore would be $ 11,300.00 or roughly 8.7%.

http://www.iras.gov.sg/Tax%20Calculators/IIT/IIT.html

[MROBITZ]

Sillingw, could also you please PM me the contact details of the tax consultant. Same as the previous poster, I am new to the Forum and could not PM you. Thank you
Also, has anybody found a reasonably priced US tax preparer located here in Singapore that can prepare my US taxes for me? I pass the physical presence test, but the tax prep is too complicated for me. Thank you
mrobitz@rcn.com

[kwy]

Hi all,
We have just completed the nightmare of filing the last 7 years outstanding tax which covers living and working in UK, Australia and now in Singapore. Add to that we submitted our 6 years of FBARS (these are separate to Tax submissions and mandatory if you have any bank account overseas. It is a criminal offence to not declare).
To complicate the matter we got married and had a child along the way (Spouse and child not US citizens).
Our US tax accountant was fantastic.
We found her through the US embassy in Singapore. Their website recommends 3 tax accountants. We phoned them all and conducted a mini interview over the phone. All 3 were very knowledgeable. In the end we chose the one who was less sensational (less stressful) to talk to over the phone as we knew we could be in trouble with the tax man and did not want an accountant to be stressing us out over it.
Good luck.