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Topic: Expat Tax preparation  (Read 1259 times)

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Expat Tax preparation
« on: August 15, 2006, 11:30:20 PM »
If you are being offered this through your work.. what should it include? 
Should it deal with the taxes only in the host country or should it include both the host country and country of residence?
I will explain below..

When I met my husband to be he was in the US as an expat.  As part of his expat package his taxes were prepared for him.
Now he is getting letters from the Inland Revenue about no filing for the years he was in uSa.


My question is:

If part of his expat package was tax preparation wouldn't you think it would include documents to his home country?
IT would seem that the company that filed his taxes should have completed the documents necessary for his home country?



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Re: Expat Tax preparation
« Reply #1 on: August 16, 2006, 04:59:29 AM »
Well of course I can't speak for your husband's company, but if it was a tax equalization package, the only way it could have worked is if they did all tax returns, otherwise how would they know how to equalize the tax?

You are saying tax preparation, so I don't know if it included equalization as well, but still I would have thought, like you that it would include all countries where taxes may have been owed and often times you can't do one country properly without doing all countries.  We had some US/UK/Germany/Ireland folks a few years back... We gave PWC a major accounting headache.
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Re: Expat Tax preparation
« Reply #2 on: August 16, 2006, 09:36:03 AM »
I don't think there is an answer for this - apart from reading his contract.

His employers paid for the US taxs - although they probably did this the way that saved them the most money.  They may NOT have done the UK taxes if there were no UK tax issues because he was not resident here.

It is probably worth getting a dual US/UK qualifid professional to look at all of the items to see where YOU can make money from this.


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Re: Expat Tax preparation
« Reply #3 on: August 16, 2006, 03:30:39 PM »
PWC was hired to do his taxes.  When my husband called them about the problems he is having with the past uk notices they were like we could do them but it will cost alot of money.

When his taxes were done in the past (while in US) there was never any mention of having to do anything in uk.. and the information they asked for included questions about uk such as having property in uk ... my husband had rental property.. he had to fill out information on how much rent he got and how much money in repairs he had to make etc etc...

Why ask all those questions if you aren't going to deal with the uk part of the tax?

I was just curious to what others have experienced with expat tax preparation?  What did their package include..

I believe his contract was very vague on taxes basically I believe it said that his tax preparation would be provided...


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Re: Expat Tax preparation
« Reply #4 on: August 16, 2006, 04:23:51 PM »
1. As a US resident he was taxable on worldwide income.   Therefore PwC in the US would have needed details of UK rent. 
2. I would not have expected the PwC staff in the US or India who processed the US return would have understood UK tax filing requirements at all.  PwC in the UK would understand and be in a position to help you but only if your husband's employer would pay.
3. Bearing in mind your comments you should ask your husband's employer to confirm that they will cover UK tax filing.  They might surprise you!


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