With its long-standing global position and English-speaking culture, the United Kingdom is a popular destination for American expats. Among many things to consider when living and working in the UK, however, is how UK tax will affect US citizens. Her Majesty Revenue & Customs HMRC is the United Kingdom’s equivalent to the IRS. Its primary… Read More
In the UK taxation system, the term ‘domicile’ defines a long-term intention for residency in the United Kingdom. Whether US expats and their family members voluntarily or involuntarily gained the UK domicile status, it is important when determining their future and current UK IHT tax exposures. If US expats are domiciling in the UK, their… Read More
Understanding tax allowances, deductions, and refunds for American expats living in the UK can be difficult without the help of an expert tax advisor. Common mistakes when filing taxes can be costly and they could delay payments. The basic allowance for taxpayers in 2021-2022 is £12,570 which means that there will be an income tax… Read More
The US government requires its citizens to pay tax for their international income even if they have gained permanent resident status in another country. Fortunately, there are some special provisions that protect US national from double taxation: Foreign Earned Income Exclusion – expats should take advantage of the Foreign Earned Income Exclusion to reduce taxable… Read More
Wow, look what Liz wrote in the American Expat Financial News Journal! Based on current market reports, she takes an in-depth look at what Americans selling their homes in the UK need to know about cap gains tax. Many American expats don’t know that they must pay capital gains tax when they sell their homes… Read More
Back in 2019, when the UK’s separation from the EU was a virtual certainty approaching implementation, we took a look at Brexit’s impact on the economy, including how it might alter the relationships between currency values. At that time, the GBP was still coming off of a low that had resulted from the certification of the… Read More
The global pandemic has affected people all over the world physically, emotionally, and economically. It has caused global economies to crumble and businesses to shut their doors forever. The resulting impact of this domino effect is that the average American family who was once financially stable, is now struggling to pay their mortgages and keep… Read More
In today’s post pandemic economy, taxpayers can use all the help they can get. The weakened economy and consumer unsurety have led to many workers filing for tax extensions this tax season. In fact, there has been so many tax extension requests already this year that the Internal Revenue Service has decided to delay the… Read More
Just like the US, the UK is also a tax-intensive country. However, corporate taxation and capital gains are less taxed compared to the US. It is important for US citizens living and working in the UK to be fully informed about and compliant with the UK taxation system. An experienced UK tax specialist can… Read More
Understanding director’s loans is an important factor in today’s business world. What is a director’s loan and how does it affect your tax obligation? A director’s loan constitutes of any money that the director takes out from a company, which is not used to pay out operational expenses, dividends, or salaries. A director’s loan account… Read More