A blizzard of tax acronyms now attach to inbound and outbound business investments: FATCA, FBAR, FIRPTA, FDAP, Subpart-F, and many more. Whether you are a foreign or domestic company or individual, San Francisco tax attorney Andrew L. Jones can be your guide on both inbound tax planning and compliance (meaning the U.S. taxation of foreign investments in America) and outbound tax compliance (U.S. taxation of American investments in foreign countries).
With proper tax planning, businesses and individuals can minimize the tax on their inbound and outbound investments without sacrificing the necessary flexibility to meet business challenges and continue growth.
International Tax – Representative Client Matters
Domestic family business with US and international real estate holdings. Advised corporate board on two tax-minimization options:
– Corporate reorganization shifting title to foreign real estate assets offshore
– Avoidance of immediate taxation under Subpart-F rules through active-leasing exception.
German multinational investment fund. Advised client on recent changes to IRS Form 2848 (power of attorney); created alternative method for continuing critical business process for filing 1040NR (foreign individual tax return) and receiving refunds on behalf of its foreign investors.
German multinational investment fund. Executive advisory on exposure to new FATCA rules. Confirmed that despite unsettled nature of Proposed Treasury Regulations that client could qualify for PFFI exception.
Indian cloud-computing software developer and provider entering into major US contracts. Analysis and executive guidance addressed choice of business entity (branch operation vs. subsidiary US corporation), FDAP withholding requirements on existing US customers making outbound payments to client, and client’s exposure to creating a permanent establishment. Provided memorandum on severely compressed deadline providing plain language explanation and analysis of a matrix of possible US business models and resulting US taxes.
30+ business and individual clients with directly or indirectly reportable foreign financial accounts. Prepared and filed necessary Report of Foreign Bank and Financial Accounts (FBAR, TDF 90-22.1).
Foreign owner of US real estate. Completed multi-step FIRPTA (Foreign Investment in Real Property Tax Act) withholding exemption process via IRS Form 8288-B (federal) and Form 593-C (CA). Created closing financial statement and dissolved the offshore holding company with assistance of foreign administrators.
Foreign clients making check-the-box entity elections through two- (and sometimes three-) step process:
– Form W-7 to obtain an ITIN for the foreign national CEO or CFO
– ITIN placed on Form SS-4 to obtain EIN for the foreign entity
– EIN placed on the Form 8832 to file check-the-box entity election.
United Kingdom stock exchange holding group. Provided CFO and foreign tax advisors analysis of impact of permanent establishment and sourcing rules from establishing a co-located U.S. data center