Does anyone know a CPA who is familiar with futures trading tax (Section 1256) in New York State?

You can file a late election if it’s after March 15 and you want it effective Jan 1. I got an accountant to do it for me.

I remembered that faxing is a thing, I’m official 😇

I went to Puerto Rico and started to file for ACT 60 to not have to pay federal taxes on my Options Trades and stock trades. Now I realize I really do not want to live in Puerto Rico and am considering any other country... What country is easiest to get a passport or citizenship so I can open and trade my TD Ameritrade account with minimal or no taxes? (ignoring the fact I should file a US tax return regardless)... Any thoughts or ideas would be much appreciated ???

So, you want a citizenship that will let you open up a TD Ameritrade account? Where do you want it to be domiciled?

TD Ameritrade was one of the many brokers who blocked trades during the GME shenanigans, which is anti-consumer enough that if I were looking to change citizenship to get out of taxes, I wouldn’t limit my options to jurisdictions they support

I would like it to be domiciled in Costa Rica, or where ever most practical ? mjgzrejicwbuhtwtt

I don't know if they'll do that. Interactive Brokers seems to make it easy to open from multiple countries. Couldn't you just keep your existing accounts in the US?

If you want to retain your US passport, your only option is Puerto Rico, that’s the only exemption from worldwide taxation rules that would lower you tax burden

vkbdxgiqleafkb such a good post. I came to the same realization over the last few years - aiming for lifestyle design that maximizes a life worth living (happiness, fulfillment?) is much better than optimizing for tax benefits. Don’t get me wrong, be smart about taxes, but you reach a place where the law of diminishing returns kicks in. Between FEIE + countries that have low cost of living/high quality of life with good enough taxes (i.e. Colombia, if you get the right lawyers), you can do pretty well.

ognzqykftx Thanks for the update!

How do you claim feie tax exemption on gusto?

what is Gusto?

It’s a payroll provider. There’s not a direct way to do it - you just have to update your withholdings and make a best guess at how much to withhold. But you’re inevitably going to over/under pay imo.

I always just make sure I set my address to a state with no income tax, let them take whatever federal tax they want, and then get refunded after the fact when I file my return. woman-shruggingskin-tone-2

I thought Gusto allowed users to manually set federal withholding amounts.

Yeah, that’s what I mean - you can’t “claim FEIE” within Gusto as far as I know, but you can update your federal withholdings.

ok so at the end of the year clcegglezhohjvx you basically claim FEIE and get refunded all the income tax you paid to federal and state?

If you're excluding anything under FEIE, you shouldn't have to pay anything to begin with

qlblojggzep yes, basically. I’m not an accountant - just someone who’s claimed FEIE for ~5 years now. The exemption is based on you doing zero work in the US and it caps out at $107k. If you make more than $107k or spend time in the US, you might have to pay some fed income tax. But if you do no physical work in the US and/or make less than $107k, then yes, you should get all of your fed income tax back.

Just keep in mind that some states have income tax too and not all of them honor FEIE. I was registered in Illinois for years and got most of my IL tax back because they honor it but it’s easier to just register yourself in a state that doesn’t have tax (e.g. Florida) and then not pay that tax to begin with.

You _can_ set your withholding to “exempt” if you expect not to owe any taxes (I.e., claim the FEIE), but you do risk facing penalties and fines if you miss the mark (like bepfemwweonsidw mentioned above). The exemption amount for 2021 is 108,700. You’d owe on anything earned above that as well as any income earned while in the US.

Someone recommend me a personal tax preparer, please.
This years taxes esp. with early covid withdrawal has me all types of confused :).
I lived in Philadelphia whole year so but would like to talk to someone about tax implications if I worked from India for a while.

I also live in Philly and can recommend someone, but fair warning, they're very good, but it will cost ya... but when I tried filing for free, systems kept telling me I would owe $800, but when they did it, I'm getting $500 back.. so yea. But I highly recommend Adrienne at Wouch, Maloney, and Co -

upzifwyuya may be able to help

I'm very fond of my CPA, he's work remote with me for 15 years, charges me $365 for personal + LLC (that might be my special price, not sure):
Cory Giese

Anyone have a sample travel scheudle they've used for FEIE before?

You just put the dates.

Can I still claim FEIE if I go back to the US to get my covid vaccine, the whole process takes more than 30 days

gwpkyyfkkttc hey appreciate the suggestion re tax preparer, i may try her

You can if it takes less than 35 days

yqxvxbnyuh they really do work magic

Hey friends, my husband and I are looking for someone that might be able to give us some financial advice and help us out with our accounting/tax situation. Not sure this is the right group to ask if there’s anyone here that would be available to help us?

I am a US citizen and he is Portuguese. We’re married and living in Portugal. I’m a freelancer in the US and he’s a freelancer in Portugal. He also has an online business that he’d like to incorporate. As you can see there are many variables and honestly we’re a bit lost.

Any help/pointers toward someone to talk with would be much appreciated.

I'd recommend a chat with vapbvmsmcs

I think that the first point would be “What was a last state of residency for you in US?“. If it’s California… things will be a bit more complex, to say the least. If it’s a normal state then things should be better 🙂

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You can always petition the IRS for a waiver of the penalty give the above reasons

Is it likely that they would waive the penalty?

50/50.... depends on who you get and how generous they are feeling.

In case if anyone is wondering - I become a South Dakota resident in 24 hours. This is for those people from California and New York who want to get rid of state income taxes and other burden that comes from unfriendly states (for nomads).

Did it all virtually?

Wait, do you have to pay state income tax in New York if you don’t reside there? hsmkpdktzr

Enticing. Looks like you have to be in SD for at least 1 day to establish residency. 😔

hmmailoyl nice! Did you by chance take a look at TX vs. SD for this decision?

brluptzkfogzlgquh No, I did it by physically coming to South Dakota. I also got the plates for my car that I cannot get smogged in Cali 😄

tyshiakxyrubpp Unless you change your residency, you still have a filing requirement in NY. Note that NY has the FEIE

Downside of SD residency, is you need to go back every five years to renew

Also if you wanted USA based health insurance, it's not the best local

Do they need the original SSN card or you just have to know your SSN?

Probably the card.

I have the card it just means a trip home that's the thing

5 years is actually not that bad. I just got my new Pennsylvania DL and it's good for only 49 months. And it also has "not for real ID purposes" on the front. stuck_out_tongue_winking_eyeid

buyajkctrdljgqedh My South Dakota one is a Real ID one which is good

Haha. Good work. PA had one website that then kicked me to another website to see if I am Real ID eligible via mail, then it said I had to get my first DL post-2003, which I did. Then I had to request to see if I was Real ID eligible via mail, and for whatever reason, I wasn't. And they just gave me this "not real" ID, being that they won't start verifying in person for several months. The crazy loop of US bureaucracy.

dps.sd.gov/driver-licensing/required-documentsbr />
Looks like you don't need the SSN card if you already have a REAL ID

True, that might be the case if you already have it. Might be worth shooting over an email to SD DMV, seriously they have replied to me and they are friendly

Good to know about SD. Texas is every 8 years to renew in-person but I just renewed my TX DL remotely (it has been 8 years since my last one) and it was no problems renewing from Indonesia. Maybe SD allows it as well.

If I use my business credit card for personal expenses and in my accounting I mark them all as "owner's draw", I should be good liability and tax wise, right?

I don’t think the IRS cares if you use a personal CC or bank account for business, or a business CC or bank account for personal, so long as you keep track of both and not try to declare personal expenses as tax deductions.

Using your business assets for personal purposes can void the liability protection of an LLC

Interesting… I never thought of bank accounts or credit cards as assets. The money is of course, but if it’s a passthrough entity, wouldn’t that mean money is simultaneously a business and personal asset?

ajzmenqzm I think that South Dakota allows to do the renewal remotely every 10 years or something. 5 years in person no big deal either. TX is great, it’s just the vehicle inspections that are necessary there and I still have my car… Might get rid of it this year and go completely abroad though, haha

What I really should be doing is buying business things with my personal card then reimbursing myself through my LLCs payroll

Good points. I no longer have a car so it’s not an issue currently.

Anyone know how to calculate whether the Portugal D7 NHR program would actually save money on US taxes?

hfvbodm credit cards aren’t so much an issue but bank accounts are absolutely assets. In the case of the LLC, the liability protection is to separate the business and personal assets. If something were to happen, an insurance company/lawyer/taxing authority could say that a business asset used for personal transactions constitutes personal use (or vice versa) and it can be reclassified and seized as part of any judgement

If the personal use is accounted for in the K-1, then that should be sufficient right?

woyggigsaprc Absolutely, you don’t even need a car with you to register it and get the plates. Services like Americas Mailbox or similar allow you to do it all via mail. Plates and registration will be sent over to you 🙂

Short answer is yes. It should be recorded as either salary or distribution

Awesome info edrbvjzpli thank you!

Huh? You still pay US taxes if you're a US person.

I’m a US person, all my income is from employment with a US-based company, and I am in the US less than 30 days a year so I qualify for the FEIE under physical presence test and can also be exempt from NY state tax.