American citizens -

American citizens

The bank requires you to sign threatening forms from the IRS? Feel that American citizenship is becoming a burden? Want to settle your case with the US tax authorities but don’t know how?

US citizens or green card holders are required to submit an annual report to the US tax authorities, as is anyone who maintains a business activity in the US. Our office provides advice and assistance in preparing the reports and submitting them to the IRS.

When it comes to crossing Israeli citizenship with American nationality, navigating the intricacies of tax obligations can become a difficult task. For Israelis who hold US citizenship, understanding the requirements and obligations set forth by the Internal Revenue Service (IRS) is essential to ensure compliance and avoid possible penalties. In this article, we shed light on the key aspects of this unique situation and present the services we provide to assist Israelis with US citizenship in managing their obligations to the IRS.

Understanding the basics:
Dual citizenship brings with it responsibility for fulfilling tax obligations in both countries of citizenship. The United States follows a citizenship-based taxation system, meaning that US citizens, regardless of where they live, are required to report their worldwide income to the IRS. This includes income earned in Israel, such as salary, income from self-employment, rental income or capital gains.

Challenges faced by Israelis with American citizenship:

Israeli citizens living in Israel, who also hold American citizenship, face a series of unique challenges when it comes to fulfilling their income tax obligations. Some of the key challenges include:

Double taxation: The potential for double taxation arises when both Israel and the US impose taxes on the same income. However, various provisions in the US-Israel tax treaty help mitigate the effect of double taxation through provisions for tax credits and exemptions.
Reporting Requirements: US citizens are required to report their foreign financial accounts if the aggregate value of those accounts exceeds a certain threshold. Failure to comply with reporting obligations can lead to severe penalties.
Complex tax forms: Filing tax returns for dual citizens can be complex, with additional forms and reporting requirements. Forms such as the Foreign Bank Account Statement (FBAR), Foreign Account Compliance Act (FATCA) requirements, and Form 8938, among others, must be carefully completed to ensure compliance.

Our Services:
Recognizing the challenges faced by Israelis with American citizenship, we offer special services tailored to their unique tax needs. This is how we can help you:

Tax Advice: Our team of experienced tax professionals provides personalized advice to help you understand your obligations, potential tax savings opportunities and strategies to minimize the impact of double taxation.
Tax Planning: We assist in developing comprehensive tax planning strategies that comply with both Israeli and US tax laws. Our experts can guide you in optimizing deductions, utilizing tax credits and identifying potential tax exemptions.
Tax Return Preparation: Our team ensures accurate and timely preparation of your tax returns, including all necessary forms and schedules required for dual citizens. We handle the complexity of filing, ensuring compliance while maximizing potential benefits.
FBAR and FATCA Compliance: We guide you through the process of reporting your foreign financial accounts, ensuring compliance with FBAR and FATCA requirements. Our experts help you avoid fines by accurately reporting the required information.

In conclusion:
Managing tax obligations for Israelis with US citizenship is a task that requires a comprehensive understanding of both Israeli and US tax laws. Our specialized services provide the expertise needed to navigate the complexities of income tax, while ensuring compliance and peace of mind as we handle the complexities of tax planning and preparation. Contact us today to streamline your tax obligations and enjoy the benefits of seamless financial management across borders.