Colombian cesantias and private pension accounts are usually foreign financial accounts in the eyes of the IRS, even though they feel like ordinary employment benefits. That means they can be reportable on the FBAR and on Form 8938, and because there is no U.S.-Colombia tax treaty, the growth inside them may be taxable in the […]
Colombian Pension and Cesantias Accounts: U.S. Tax Reporting Read More »
A U.S. citizen with a Colombian bank account usually has two separate reporting duties. The FBAR (FinCEN Form 114) is required when your foreign accounts together top $10,000 at any point in the year, and it is filed with FinCEN, not the IRS. Form 8938 attaches to your tax return and applies at higher asset
Opening Bank Accounts in Colombia: FBAR and Form 8938 for U.S. Citizens Read More »
If you live in Colombia and have fallen behind on U.S. taxes, the IRS Streamlined Filing Compliance Procedures are usually the cleanest way back. Taxpayers who qualify under the foreign track and certify that their conduct was non-willful can become compliant with no penalty, filing three years of returns and six years of FBARs and
Living in Colombia and Behind on U.S. Taxes? Streamlined Filing Explained Read More »
Yes, Americans working remotely from Colombia still owe U.S. taxes. U.S. citizens and green card holders are taxed on worldwide income no matter where they live, so a Form 1040 is due every year. The Foreign Earned Income Exclusion and the Foreign Tax Credit can reduce or erase the income tax bill, but they do
Remote Work From Colombia: The U.S. Tax Issues Nomads Miss Read More »
By Ed Parsons, CPA | More than 17 years of IRS resolution experience. Represents U.S. taxpayers nationwide and internationally on a remote basis. U.S. citizens and green card holders owe U.S. tax on worldwide income no matter where they live, and the duty to report foreign accounts, funds, and companies does not pause when you
U.S. Taxes for Digital Nomads: Collections, Foreign Assets, and Staying Compliant Abroad Read More »