Income Tax on Foreign Income

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eeuunikkeiexpat
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Re: Income Tax on Foreign Income

Post by eeuunikkeiexpat » Sat Jan 10, 2015 8:31 pm

I did. I deleted the post but as this is Chile, I wanted confirmation or three other I heard/do this to make sure what I was told is correct. I'll post it again and HOPE someone will confirm that what I was told is correct. In frustration, I deleted it because NO ONE wants to respond.

What I heard was DIFFERENT than Britkid and to me it makes sense, but as this is Chile, I want to be sure, thus my attempt to extract a tooth from a rabid wolf (better known as the every increasingly empty allchile.net forum).

YOU DECLARE IT ONCE A YEAR IN APRIL FOR THE PRIOR YEAR ON THE MAIN TAX FORM (FORUMULARIO 22).

So, is this correct? Any further details about filling out these forms in such a basic, non-sensitive scenario would be highly appreciated.


As I am overly frustrated by the "help" from the forum after thousands of posts over the years, this post will indeed self-destruct after 7 days if no real response is received.
There are two ways to be fooled.

One is to believe what isn't true;

the other is to refuse to believe what is true.

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Donnybrook
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Re: Income Tax on Foreign Income

Post by Donnybrook » Sat Jan 10, 2015 10:30 pm

I'd love to help but my situation isn't the same as yours so I really don't know.

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eeuunikkeiexpat
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Re: Income Tax on Foreign Income

Post by eeuunikkeiexpat » Sat Jan 10, 2015 10:34 pm

I do thank you for reading. :)
There are two ways to be fooled.

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paladin
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Re: Income Tax on Foreign Income

Post by paladin » Sun Jan 11, 2015 12:02 pm

eeuu, I sent you a PM

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fraggle092
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Re: Income Tax on Foreign Income

Post by fraggle092 » Sun Jan 11, 2015 3:32 pm

No experience with this situation, so I dont know how much zeal the SII exercises in going after rentas de fuente extranjera, I suspect many people just stay under the radar, but:
Si de acuerdo al tiempo transcurrido las rentas obtenidas en el extranjero quedaran afectas al impuesto Global Complementario, mensualmente se encontraría obligado a efectuar un PPM con tasa de 10% que debe declarar y pagar en la Línea 54 del Formulario 29.
You are expected to file monthly, declare and pay 10% PPM, PPM is an estimate of monthly income. This is used at end of the tax year on the annual tax return. Since the annual return allows for various types of deductions, many people actually get a tax refund at year end based on the ppm amount they paid throughout the year.

Get a good accountant, dont try DIY, dont ask the SII.

http://www.chilecont.cl/?page_id=1097
Bienvenidos a Chaqueteo City.

Après moi, le déluge

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eeuunikkeiexpat
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Re: Income Tax on Foreign Income

Post by eeuunikkeiexpat » Sun Jan 11, 2015 3:58 pm

Holy shite. They must have changed the Form, Formulario 29 is intimidating to this neophyte as is and Linea 54 talks about "Explotador Minero". And monthly, so SII San Antonio got it wrong?

Time to pony up and pay an accountant. Have no idea how someone setup with no activities would do a monthly filing.

Thanks all.
There are two ways to be fooled.

One is to believe what isn't true;

the other is to refuse to believe what is true.

- Søren Kierkegaard

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eeuunikkeiexpat
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Re: Income Tax on Foreign Income

Post by eeuunikkeiexpat » Sun Jan 11, 2015 7:03 pm

Gloria wrote:
eeuunikkeiexpat wrote:
Time to pony up and pay an accountant. Have no idea how someone setup with no activities would do a monthly filing.
You don't. Only if you have an income earned in Chile . And yes, it would be wise to hire a competent accountant to clear your doubts. Don't look for answers in a forum especially when is about income, it could get very confusing plus opinions are like *******...everybody has one.
That's the problem, the contador site quotes the law as saying it must be declared monthly. So is there a way to declare this foreign income monthly even if you have no activities in Chile? And for speculation, if the contador site got it wrong, back to square one, where on Form 22 does one declare this in April?
There are two ways to be fooled.

One is to believe what isn't true;

the other is to refuse to believe what is true.

- Søren Kierkegaard

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eeuunikkeiexpat
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Re: Income Tax on Foreign Income

Post by eeuunikkeiexpat » Sun Jan 11, 2015 7:08 pm

More bothering is that I am apparently the only one on this forum with this issue. I mean even those on non-taxed foreign pensions but with other stuff going on overseas technically has to file after three years. So these persons are apparently not declaring it seems and thus in violation of Chile tax law.

Me, I want to have my Chile tax paperwork in order when I apply for citizenship.
There are two ways to be fooled.

One is to believe what isn't true;

the other is to refuse to believe what is true.

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fraggle092
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Re: Income Tax on Foreign Income

Post by fraggle092 » Sun Jan 11, 2015 7:30 pm

I declare and pay monthly, or rather my accountant does it for me.The f29 is a monthly declaration.
Gloria wrote:Only if you have an income earned in Chile
Gloria, I disagree on that. After 3 years grace period, the taxman wants a cut of any income earned anywhere in the world.
However according to the below it may be possible to get this 3 year period extended
Las personas residentes o domiciliadas en Chile se encuentran sujetas a un impuesto a la renta sobre sus rentas de cualquier origen, sea que la fuente de origen esté situada dentro del país o fuera de él.
Sin embargo, el extranjero que constituye domicilio o residencia en Chile es gravado sólo sobre la renta obtenida de fuente chilena durante los 3 primeros años, en su aplicación este plazo puede ser prorrogado.
http://www.sii.cl/aprenda_sobre_impuest ... arenta.doc
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eeuunikkeiexpat
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Re: Income Tax on Foreign Income

Post by eeuunikkeiexpat » Sun Jan 11, 2015 7:38 pm

YES, we are getting somewhere! Info from more than one anecdotal source is coalescing into coherence. This is important if I want to make sure my accountant really knows what the hell he/she is doing.

So monthly declaration via F29 can be used even if you have not initiated any activity in Chile? That is what it comes down to as far as I can determine.
There are two ways to be fooled.

One is to believe what isn't true;

the other is to refuse to believe what is true.

- Søren Kierkegaard

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fraggle092
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Re: Income Tax on Foreign Income

Post by fraggle092 » Sun Jan 11, 2015 11:07 pm

eeuunikkeiexpat wrote:So monthly declaration via F29 can be used even if you have not initiated any activity in Chile?
To me it looks like they use it that way, in order to allow them to collect tax from people a bit outside the system who are neither employees nor self-employed. But I guess that most people in your position don't voluntarily declare their foreign income at all....hence the silence.

Actually I would try first to get an extension of the exempt period but I'm not an accountant. I do know a Contador Auditor, ex SII, in Serena if you do need more help. Once the SII becomes officially aware of your existence you are in the system for life.
I did see among the citizenship paperwork requirements that they ask for a copy of the latest annual tax statement....thats for Rentistas

But maybe you are approaching the situation from the wrong end. Instead of trying to square things away with the SII in the hope that this will help when applying for citizenship, maybe you should check the requisites first with an immigration lawyer first to find out the minimum that is looked for. But now I'm way out of my depth, so no more from me....

http://www.extranjeria.gob.cl/filesapp/NCH_ISO.pdf
Bienvenidos a Chaqueteo City.

Après moi, le déluge

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eeuunikkeiexpat
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Re: Income Tax on Foreign Income

Post by eeuunikkeiexpat » Sun Jan 11, 2015 11:33 pm

fraggle092 wrote: I did see among the citizenship paperwork requirements that they ask for a copy of the latest annual tax statement....thats for Rentistasf
Not just Rentistas, I checked the list:

Empleado - AM NOT
• Fotocopia de la última liquidación anual de impuestos si corresponde, (cuando el solicitante
tiene otros ingresos)

Empresarios o trabajadores por cuenta propia. - AM NOT
• Fotocopia de la última Declaración Anual de Renta del solicitante y de la sociedad.
• Fotocopia de las 6 últimas declaraciones mensuales de impuestos (IVAS).
• Fotocopia de último balance tributario.

Honorarios - AM NOT
• Fotocopia de la última Declaración Anual de Impuestos
• Certificado anual de Boletas a Honorarios emitido por Servicio de Impuestos Internos.

Jubilados - AM NOT BUT ONLY POSSIBLE MODEL FOR APPLICATION
• Fotocopia de liquidaciones de pensión y su conversión a moneda legal chilena, si fuera este el caso. - NO SPECIFIC TAX DOC REQUIREMENT BUT FOREIGN PENSIONS AREN"T TAXED

Estudiantes - AM NOT

Rentistas - AM NOT
• Fotocopia última Declaración Anual de Impuestos.

Religiosos - AM NOT


Does indeed sound like a Chile immigration lawyer question but logic would dictate wouldn't the question of where is your overseas income declarations come up?
There are two ways to be fooled.

One is to believe what isn't true;

the other is to refuse to believe what is true.

- Søren Kierkegaard

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