US Permanent Resident liable for taxes on income outside of country?

AJFenix · #1 10-02-2006, 05:15 PM

I know US citizens owe taxes on income outside of the US to the US gov't. I was wondering if I got permanent residency in the US but moved out and lived in a different country, would I not owe taxes to the US gov't? Does that only pertain to US citizens or are permanent residents grouped in? Or would I only be accountable for what I make on US soil and my tax status would remain unchanged? If so, permanent residency would only be beneficial, yes?

AJFenix · #2 10-20-2006, 06:03 AM

bump, I posted this at a really bad time before

FatalError · #3 10-20-2006, 06:15 AM

i think you pay taxes on 80% of your income, KKF wrote about this re living in thailand i think

AJFenix · #4 10-20-2006, 07:20 AM

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i think you pay taxes on 80% of your income, KKF wrote about this re living in thailand i think

[/ QUOTE ]

I'm talking about being a permanent resident of the US but NOT a US citizen

mikechops · #5 10-20-2006, 09:55 AM

I think maintaining permanent resident status depends upon actually residing in the US. If you leave for >6 months in any year, you lose your green card.

I'm not a lawyer or CPA and the law may have changed, but when I read the regs 3 years ago, it looked as if they had been drafted to make sure you had to keep paying taxes in order to keep a green card.

RunDownHouse · #6 10-20-2006, 11:28 AM

AJ,

For US citizens living outside of the country, they get an $80k exemption. But the law stipulates that they must actually be out of the country for at least 335 days. So if you visit the US for the month of January, you owe your full tax burden.

I know you were talking about US residence, not citizenship, but that example should show you exactly what the US thinks about your tax burden. If you're using US services for even a month, you owe full tax burden, even if you live somewhere else the other 12 months of the year. I'd imagine it'd be similar for permanent residents, although I'm not a lawyer or anything.

Also, if you're currently a US citizen, the penalties for renouncing your citizenship are severe. I wouldn't recommend doing that unless you're just fine not setting foot on US soil again.

MicroBob · #7 10-20-2006, 11:34 AM

I thought it had also been determined that the $80k exemption does not apply if you file as a professional gambler.

TheMetetron · #8 10-20-2006, 12:50 PM

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I thought it had also been determined that the $80k exemption does not apply if you file as a professional gambler.

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Incorrect Bob. It applies only if you file as a professional.

APT · #9 10-20-2006, 01:03 PM

Only earned income.You need to file as a professional to make the poker profit be earned income.

Blowup Doll · #10 10-20-2006, 01:30 PM

[ QUOTE ]
I think maintaining permanent resident status depends upon actually residing in the US. If you leave for >6 months in any year, you lose your green card.

[/ QUOTE ]
That is incorrect information. First, if you leave from 6-12 months, almost no immigration official will give you any hassle. Second, even if you go for 1-2 years, many immigration officials will still let you back in. Third, all you have to do to avoid any of these issues is to get a re-entry permit. To do this, you'll just need to explain why you're leaving for 1-2 years, and that it's a "temporary" matter.

Leaving for longer than 2 years will cause you problems.