Here Today, Gone Tomorrow: Tax Planning for Temporary Residents, Part 1

Private Wealth Services and Tax attorney Michael Karlin wrote an article for Tax Notes identifying the main issues involved in the taxation of temporary residents in the United States. He begins by talking about the rules for residence, advising that any individual who plans to stay in the U.S. for a temporary period, whether fixed or undefined, should review these rules and determine how they might apply to their particular situation. This section covers the lawful permanent resident test and substantial presence test, exemption categories and other exceptions, estate and gift taxes, Social Security tax and more. The second section describes temporary residence patterns and how planning for these individuals differs than planning for permanent residents, complete with six planning techniques touching areas ranging from income tax to state taxes to transfer taxes.

READ: Here Today, Gone Tomorrow: Tax Planning for Temporary Residents, Part 1 (Subscription required)

Click here to read Part 2, which focuses on trust and estate planning.