Considering leaving the U.S. if your nightmare candidate wins in November? A growing number of people claim that they will move outside the U.S. if Donald Trump becomes president. Others want out if Hillary Clinton is elected.
If you move but keep your citizenship, the U.S. will continue to tax you. The U.S. taxes its citizens on their worldwide income, no matter where they reside. You also won’t be able to escape the rules on reporting foreign bank accounts.
Folks who decide to give up their U.S. citizenship could owe an exit tax if their average annual tax for the five years before expatriating exceeds $161,000 or they have at least $2 million of net worth. They’ll be treated as selling all their assets for fair market value on the day before their expatriation date and will be taxed on the profit from the deemed sale that exceeds an exemption of nearly $700,000.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
-
Where to Retire: Living in Portugal as a US RetireeLiving in Portugal as a retirement landing spot has abundant advantages, but do your homework and due diligence first.
-
A Social Security Storm Is Gathering: Here's Your Safety PlanIf Social Security reserves are depleted by 2033, as predicted, future benefits could be cut by as much as 21%. Here’s how to weather the impending storm.
-
Why Digitizing Your Tax Records Can Simplify Your Filing in 2025Tax Records If you can, switching from paper to e-filing your taxes can have many benefits.
-
Will You Owe Taxes on Your Recently Forgiven Student Loan?Loan Forgiveness If you received student debt forgiveness last year, know these key points when filing taxes. Plus — what can you expect from a new president?
-
Homeowners Rush to Install Solar Panels Before Trump Cuts Tax CreditsTax Credits With a new incoming presidential administration, is the solar energy tax credit in the hot seat?
-
Gov. Hochul Vows to Deliver $1 Billion in Tax Relief to New YorkersState Tax The proposed tax cuts would benefit New York middle-class families.
-
More Taxes Could Slam New Yorkers Over MTA Budget ShortfallState Taxes Lawmakers warn that New Yorkers may need to brace for more taxes.
-
IRS Free File Is Now Open for 2025: Are Your Taxes Eligible?Tax Filing Official tax season doesn't begin until late January, but taxpayers can start filing free online returns now.
-
California Fires: How to Recover Tax Records and Other Important DocumentsDisaster Recovery Having your tax records and other vital documents is important for claiming casualty loss deductions that can help with recovery.
-
Child and Dependent Care Credit: How Much Is It?CDCTC The non-refundable tax break can help working families afford quality care for their child or qualifying dependent.
