Unfair Taxes, Visitor Visas, Jazz in the South, a Collection of Cars and Cool Clothes

Tax is a big topic for expats. It’s confusing, to say the least. Even with a tax treaty with France that is supposed to prevent an individual from paying tax twice on the same earnings, it’s not always so clear cut. Every expat I know has questions about how to manage their tax affairs and is seeking professionals who understand the tax laws on both sides of the big pond…a tall order. We hope to offer you some information and advice from our associates. See below!

Special Notice from the ACA:

Beginning March 13th, the American Citizen Abroad Global Foundation (ACAGF) will host a series of Webcasts for the recently introduced legislation, The Tax Fairness for Americans Abroad Act (H.R.7358) (TFAA).

TFAA was introduced in December of 2018 by Representative George Holding (R-NC). The bill changes existing citizenship-based taxation rules (CBT), in US tax law, to residency-based taxation (RBT). RBT is sometimes referred to as territorial taxation.

The ACAGF Webcasts will serve to provide more information on the bill to the community and other interested parties. In attendance will be Matt Stross, Tax Counsel for Representative Holding. Mr. Stross will talk about the provisions of TFAA, where it stands currently, and next steps. ACA management, along with other presenters, will also discuss how this potential change in US law will affect individual filing requirements and investment strategies.

You can join ACA and ACAGF by attending in person (limited availability) or by dialing-in. Cost to attend is free for ACA members and $40 for all others.

Times for both events:

4:30 PM Greenwich Main Time (UK)
5:30 PM Central European Time
6:30 PM Eastern European Time
12:30 PM Eastern Daylight Time
9:30 AM Western Daylight Time

If you have not already registered, please join us on March 13th or 14th. Attend online from anywhere!

March 13th – Click here to register.

March 14th – Click here to register.

Announcement sponsored by:
American Citizens Abroad, (ACA, Inc.)
11140 Rockville Pike, Suite 100-162
Rockville, MD 20852, USA

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Here’s a special message from attorney Monte Silver (who specializes in providing U.S. tax counsel to entities and individuals living outside the U.S.) re the repatriation tax: 

It’s official as of March 4, 2019. In addition to granting Americans two transition-tax-related temporary forms of relief in 2018, the U.S. Treasury just granted Americans the first permanent form of relief since we started the movement less than one year ago!

Small business owners will be able avoid GILTI* taxes if they make the 962 election.

*”GILTI, or the Global Intangible Low-Taxed Income provision added by Pub. L. 115-97 (TCJA or tax reform) significantly broadens the scope of foreign earnings that, prior to tax reform, had been subject to current U.S. taxation. The GILTI regime effectively imposes a worldwide minimum tax on foreign earnings and subjects U.S. shareholders of controlled foreign corporations (CFCs) to current taxation on most income earned through a CFC in excess of a 10 percent return on certain of the CFC’s tangible assets (subject to a reduction for certain interest expense).” (Source: bna.com)

There are certain ifs and and buts to the election which we can discuss later. And the lawsuit aims for much more relief. But, for now, sit back and relish a victory. I am unaware of any other expat tax advocacy effort that has ever won relief — permanent, or even temporary for that matter. So, sit back and relish a victory. Together, we accomplished something very significant. And the lawsuit we recently filed will accomplish much more!

To see the full document, click here and go to page 49-50. Or download the PDF. 

For updates, visit facebook.com/groups/americansmallbusinesses.

Monte Silver, Adv. (Israel & CA)
Silver & Co. Attorneys at Law
Email: [email protected]

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The Visa Waiver Program is about to become a thing of the past. This allowed American citizens to travel to specific countries for tourism, business, or while in transit for up to 90 days without having to obtain a visa. All of you traveling to France, for example, unless staying longer than 90 days, never had to think about a visa…until now.

The European Union just announced that starting in 2021, American travelers will need a new type of visa — a European Travel Information and Authorization System or ETIAS — to visit the European Schengen Area. Don’t feel bad — there are 60 other countries in the same boat.

Casino Monaco Car Collection Cadillac on display in Monaco The Zara store in Monaco

The system is completely electronic to keep track of visitors from these countries entering the Schengen Zone. Not too dissimilar to the ESTA (the U.S Electronic System for Travel Authorization), it serves a similar purpose and is expected to be in place by January 2021. The ETIAS is good to travel to any of the Schengen countries for 90 days within a 180-day period.

This is one route to guarding against terrorist activity and protecting the E.U. borders — the main purpose of this change in the visa requirements. (I have no doubt this makes a lot more sense than a “wall.”) The authorities claim it won’t be difficult to acquire. First, fill out the application form (about 10 minutes), then, submit it. It will cost €7 for each application and you can pay by credit card. (It’s free to those under 18 years of age, but they still need the ETIAS!)

If you are eligible, you will be approved. That may be the tricky part! Questions will include your medical condition, any past travel to war countries or places where you were deported or rejected, as well as criminal records. Getting approved is expected to take four days to two weeks (and maybe up to 60 days in special circumstances), so no last minute, spontaneous “hop-on-a-plane-to-Paris” ideas, unless you already have the ETIAS — valid for three years or until the end of validity of the passport registered during application, whichever comes first.

If you get a denial, rather than an automatic acceptance, they’ll at least tell you why and you can appeal it and try again. I can see all sorts of people and situations that might make this tougher to acquire than one might think. You won’t want to falsify anything — fraudulent information could result in a revocation of the ETIAS entirely. Fortunately, my French visa is considered a Schengen Visa and therefore I shouldn’t need the ETIAS, but that doesn’t guarantee me entry into all E.U. countries — only those part of the Schengen Zone. Each country has the right to protect its own borders. And if you’re British? Brexit is likely going to force the Brits to apply for ETIAS…treated like Americans.

Note: Visit schengenvisainfo.com/ for complete information. Graphics presented in this Nouvellettre® compliments of the schengenvisainfo.com/ website.

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Visiting or living on the Côte d’Azur and love a classic piano bar? Old friend Larry King (not the talk show host), jazz pianist and singer, will be performing every Thursday beginning this Thursday, March 14th, from 7 p.m. to 10 p.m. till April 25th (I hope to be there!) at the SET South of France English Theatre. As a special introduction, the performance will be FREE of charge on Opening Night, March 14th! Be there and be sure to tell Larry Adrian sent you!

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Tips for visitors of Monaco:

Even if you don’t really care much about cars (I haven’t owned a car since 1994!), you won’t want to miss seeing the Car Collection of H.S.H. the Prince of Monaco. Well worth the visit, the collection was amassed by Prince Rainier III since the end of the 1950s of about 100 vehicles. Displayed in a space of 5,000 square meters in a museum on the Terrasses de Fontvieille, the cars include Rolls Royce, Lincoln, Packard, Maserati, Lamborghini, Alfa Romeo, Mercedes Benz, among others, and the Lexus used for the Royal Wedding in 2011, plus racing cars from the Forumula One and the Monaco Grand Prix. We also had the good fortune of witnessing an exhibition about Ferraris and competition sports cars at the museum, on only until March 15th, 2019.For more information, visit mtcc.mc.

And here’s a tip for women who want to shop in Monaco at a bargain: the best Zara store ever, with the best selection of classy clothing at the bargain Zara price is in Monaco! Pass up Chanel, Fendi and the others. Do yourself a favor and shop until you drop for pennies. It’s a short walk from the casino and the 100 bus stop. A trip to Monaco for the sole purpose of shopping there is well worth it.

A la prochaine…

Adrian Leeds
The Adrian Leeds Group

Respond to Adrian

 

P.S. It’s Tomorrow! March’s Après Midi with author, Annabel Simms. Following the format of the small classic An Hour from Paris (2002, 2008, 2017) and written with the same delight in the little-known treasures of the Ile de France, comes Annabel Simms’s long awaited sequel, Half an Hour from Paris. It describes 10 surprising new destinations only half an hour by train or métro from central Paris, yet unknown to many Parisians. You’ll find all the details on our Après Midi page, so don’t miss it!