Let us understand the taxatio of the sale of property in India (assuming this is not a rental property) as well as on th US tax return. Say for e.g. you bought a house in India in the year 2000 for Rs. 5,000,000 ( approx $ 110,000 ). You sold this house in 2015 for
What is Form 8938 – Statement of Specified Foreign Financial Assets ? Form 8938 is used to report your specified foreign financial assets if the total value of these is more than the appropriate reporting threshold. Who is required to file Form 8938 ? You are a required to file Form 8938 of you are
In the previous article (click here), we saw the basics of mutual fund taxation. In this article we understand the taxation as per the Excess Distribution Method. When are you taxed as per the Excess Distribution Method? Excess Distribution Method is a default method of taxation. This means that unless you have elected to follow
Taxation of Indian mutual funds on US tax return is a very critical component of your US tax return. If you are a US citizen, resident or a green card holder having investment in Indian mutual funds, PFIC reporting is something you just cannot afford to miss. Foreign mutual funds fall under the category of Passive Foreign
If you are a US citizen residing in India, your Indian banks must have probably issued you some forms requiring disclosure under FATCA requirements. These forms look like an extended KYC (know your customer) form with a lot of additional requirements. It is natural to be confused by looking at the disclosure requirements in those
In general, if a US person receives gifts, bequests or inheritance from a foreign person, it is excluded from gross income and are not subject to tax. However, if the amount received exceeds a certain amount ($100,000 for the year 2016), you may have to file Form 3520. This is only an information return and not
As a US citizen, is your global income subject to US taxation ? Yes, if you are a US citizen or a resident alien, then you have to offer your global income on your US tax regardless of where you live. You are subject to the same income tax filing requirements that apply to US
What are the different tax benefits available to US expats on India income such as salary, bank interest, dividends etc ? As a US expat living outside USA, a taxpayer may have various sources of income such as salary, bank interest, dividend which are earned and received outside the United States. Being a US citizen, you will
Should India dividend income be taxed on US tax return? In this article, let us see how India dividend income is taxed on US tax return. Current India tax rules Dividend income is not taxed in India as per the prevailing tax laws. Therefore you do not pay tax on dividend income earned in India.
Yes, a US person (resident, citizen or a green card holder) can definitely receive gifts from a foreign person, say from his relatives in India. A general rule is that , a foreign gift (money or other property received) received by a U.S. person is excluded from his gross income. However, a gift to a U.S. person does
