RG 007 – U.S. Taxation 101 for International Investors with Brent Green

Show Notes:

In case you missed it here are some of the highlights from our conversation with Brent:

About Brent:

  • Managing partner at Nonresident Tax Advisors CPA (NTA);
  • International tax consultant;
  • Over 18 years experience advising international investors on the best tax strategies for owning U.S. real estate;
  • Check out their website www.usnonresidenttax.com;
  • Brent assists individuals in over 40 countries with their U.S. income and estate planning, entity structuring, income tax preparations and obtaining ITIN numbers;

Nuts and Bolts:

U.S. Taxation 101 for International Investors:

  1. Identify a good investment opportunity;
  2. Certified agent to obtain ITIN numbers – Individual Taxpayer Identification Number – $395;
  3. Determine the right type of entity structuring for owning your U.S. real estate investments; NTA will advise you on the best entity that suits your investment goals;
  4. LLC (Limited Liability Company) entity structure: Single member or multi-member LLC. Flow through taxation to all the members. The entity doesn’t pay tax;
  5. Other entities S-Corp, Foreign Trust;
  6. Graduation Tax Rates as an individual: the first $4,000 of income is tax free (exemption), 10% for up to $13.5k, 15% up to $35k, anything over that is higher;
  7. Right off travel expenses to come look at your investment property;
  8. Other deductions: Professional and legal fees, property management expenses, maintenance, insurance costs, capital improvements, appliances purchased for the property (fridge, freezer etc. applies to rentals only), bookkeeping and much more;
  9. Depreciation: Rule of thumb for depreciating a building over 27.5 years for residential (up to 4 units), and 39 years for commercial (5 units or more);
  10. Cost Segregation – Accelerated depreciation on components of a building.
    Items that may qualify: washing machine, carpet, roofing, fans, lights and many more! You will need an engineering professional to complete the study to qualify for cost segregation;
  11. Passive Loss: Any year you have a loss on your property you can carry forward that loss in years where you are positive; carried forward indefinitely;
  12. NTA can help sell properties;
  13. Bookkeeping Services;
  14. Syndication investing: All investors will benefit based on their percentage of ownership of the LLP, which owns the property/s;

Contact Information:
+1 888-434-7791

Ready, Aim, Fire! Happy Investing!

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