W-8 ben-e

londoninvestor

bostonerimus wrote: »

Not strictly true. If you are a US citizen, but non-US resident, you are still liable for capital gains in the US where ever the gains arise.

You're right of course - edited accordingly!

EdSwippet

londoninvestor wrote: »

Not strictly true. If you are a US citizen, but non-US resident, you are still liable for capital gains in the US where ever the gains arise.

You're right of course - edited accordingly!

Also not strictly true for US green card holders living outside the US, either. ;-)

bostonerimus

EdSwippet wrote: »

Also not strictly true for US green card holders living outside the US, either. ;-)

Living ie residing outside the US while holding a Greed card puts it in jeopardy...so I assume a Green card holder would want to file as a US resident because rather then declare themselves to be non-resident and have to file a W8BEN. They'd want to claim that the absence from the US was temporary.

EdSwippet

bostonerimus wrote: »

Living ie residing outside the US while holding a Greed card puts it in jeopardy ... They'd want to claim that the absence from the US was temporary.

Sort of. You can live outside the US for up to two years on a green card if you get a 'reentry permit'. Otherwise, your permanent resident status may be deemed abandoned for immigration purposes. However, this status never expires for tax purposes. You have to affirmatively abandon it with an I-407 to rid yourself of the IRS. If you don't, you remain a 'US taxable person', even though you have no right whatsoever to US residency.

I am sure there are plenty of people around the globe who had a green card, left the US, and then tossed the card into a drawer and just forgot about it. The physical card itself is long expired and their right to live in the US almost certainly lost, but the US nevertheless insists that they should pay full US taxes. Charming, eh?