If you have any income producing property in a country outside of the US it is important to report it properly to the IRS. As sources of potential revenue have dropped over the past several years, the IRS has turned its attention to offshore income producing property. It could be as simple as a small home that you owned prior to coming to the United States that you’ve rented out. Another example would be a family home that you’ve inherited since arriving in the US. The value of the property itself may seem inconsequential to you, and the income produced may not even cover your actual costs. You may have a very low “basis” in the property itself, but the IRS can literally assign whatever value they choose and then create a tax issue for you seemingly out of thin air. If you own property in a country outside of the US it is important to seek experienced and expert tax advice from a seasoned tax attorney who can protect your interests and reduce or eliminate unwanted exposure. The clients of Allen Barron can take advantage of attorney-client privilege to discuss the specifics of their offshore assets and income while working with tax and accounting experts to evaluate potential liabilities. Together, we’ll develop a financial strategy that will keep your tax burdens at a minimum while positioning your portfolio for the future.
