Land rental income in Chile
Living in U.S.
Trying to be above board when it comes to tax season
I know that going to a CPA will help, but I also can't find definitive information on whether or not there is a ratified tax treaty between the two countries. Any tax law specialists in this arena to point to? It's a non-inconsequential amount of money so I want to do it right, but like to have some idea whats going on when talking to a professional.
How does this income get reported in the U.S. as income? is it beneficial to have a chilean LLC type company to move the money through to avoid double taxation? I'm assuming that if the income is reported up here as renter to owner payments, it will get taxed as if you were a contractor, where as if it is payment to a beneficiary from a company that can report $0 earnings, that might be better?
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- Rank: Chile Forum Citizen
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Regarding taxation ...
It runs us around $1000 a year to do our USA taxes because:
1. Even though all products are purchased in Germany
2. Even though all products are sold in Chile (exclusive distributor for the country)
3. Even though all sales are reported in Chile, IVA, etc.
4. Even though a Chilean accountant is employed to take care of all the SII paperwork, taxes paid
5. Even though the USA never even touches a product, sale, etc.
6. Because we have USA passports
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