We emphasize to our clients that they cannot save taxes internationally.
Certain IRS qualified international annuities and life insurance products
can legally defer taxes – as can their U.S. counterparts –
but as a general rule all international income is reportable to the IRS
as taxable income in the year earned, not the year it’s repatriated
to the U.S. We instruct our clients to immediately notify their accountant
whenever we set up international structures so the client and their accountant
can do the necessary tax reporting.