My family is living in the U.S. with L visas. Due to employer reasons, we have to turn to EB-5 for green cards. I can take a loan out on my property in the U.S. or transfer my savings abroad to the U.S. for my investment funds. From a tax perspective, which way is better? Will my savings abroad, earned before I came to U.S., be taxed if I transfer them to the U.S. for EB-5?
If you paid income tax or equivalent tax on your earned savings in a jurisdiction outside the US, a transfer of these funds as EB-5 capital to the US should not be subject to tax. You should consult a tax advisor to discuss your particular situation.
You should consult with an accountant or financial advisor regarding tax issues. However, savings earned abroad before you came to the United States should not be assessed U.S. tax.
You should have no tax liability by transferring savings to the United States as your EB-5 source of funds. Only your income from employment or interest or dividend income is subject to taxation. Your savings abroad should not be subject to any taxation in the United States.
Check with an international tax attorney, not immigration attorneys.
If you earned the savings before you came to United States and you paid taxes at your country on that income already, you do not need to pay additional taxes in United States.
You will need to speak with a U.S. tax lawyer and get advice from an EB-5 specialist to deduce if you lawfully avoided paying taxes on any income that may have been derived from the assets.
Generally, I recommend that investors consult with a tax advisor for these types of questions.
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