When the United States negotiated the Tax Treaty with the United Kingdom,  the U.S. Secretary of the Treasury envisioned U.K. businessmen moving to America.

It is all about jobs and the election.  The Secretary of the Treasury is part of the White House.    More jobs means more votes.

The UK-US Tax Treaty exempts U.K. citizens from taxation on their worldwide non-U.S. income.   For example, you operate a business in Oxford and have your investments managed by a bank located in the Jersey or Guernsey.  Both the U.K. business income and the Channel Islands investment income are not taxable by the United States.

If you need more information, then email me, Brian Dooley, CPA, MBT at brian@intltaxcounselors.com.

Easy Investor Immigration to the U.S.

In the video below, I asked our immigration attorney (Brent Gunderson)  to talk a little bit about the difference between the E-2 Non-immigrant Investor Visa, and the EB-5 Immigrant Investor Visa.

The main difference is the Non-immigrant E-2 does not give someone permanent resident status. It has to be renewed generally every two years.  On the positive side, there is no limit to how many times the E-2 can be renewed, but it does not lead to permanent residency or to eventually US citizenship.  The E-2 allows you to avoid U.S. taxes on your foreign (non-U.S. income).

The EB-5 Immigrant Investor grants permanent residency if you meet all the qualifications. However, permanent residency (known as a “Green Card”) ends your tax haven status after two years, as explained below.

The initial EB-5 is conditional, meaning the permanent resident status is only valid for two years. At the end of that two year period, you have to file some additional documentation.  If  you are still own your investment and that the investment has met all of the requirements of the  the immigration service,  then your conditional permanent resident status becomes permanent.  From here, you can become a U.S. citizen, if you wish.