BeachFleischman CPAs is an Arizona-based firm. We can serve clients remotely in Los Angeles, San Diego, and throughout California and we're ready to assist you in your international tax needs. The international tax environment is an area of continued scrutiny and focus by the taxing authorities. From a tax compliance standpoint, there are many different forms that apply when doing business or investing abroad. These compliance requirements apply to both U.S. entities and U.S. individual taxpayers and failure to comply can result in substantial penalties. From a planning standpoint, there are different rules with regards to recognizing income from foreign activities. Care should be taken with structuring transactions to ensure such is done so in the most tax-efficient manner and maximizing foreign tax credits.
How we help
- Addressing the complexities with the different tax forms that are to be filed when doing business abroad or when certain assets are held abroad.
- Assisting clients with structuring cross-border transactions in the most tax-efficient manner.
- Assist foreigners that come to the U.S. to conduct business or invest in U.S. assets.
Inbound and Outbound ActivitiesOutbound international activities:
- U.S. corporations expanding operations overseas, via a foreign subsidiary or branch.
- U.S. individuals doing business or investing abroad
- Outbound cross-border transactions; income tax treaty interpretation.
- Foreign corporations coming to the U.S. to expand operations, via U.S. subsidiary or branch to the foreign entity.
- Foreigners coming to the U.S. to invest in U.S. businesses, U.S. real estate, or U.S. securities.
California Exports, Jobs, and Foreign Investment
California's Top 5 Export MarketsCalifornia Depends on World Markets Exports from California helped contribute to the $2.33 trillion of U.S. goods and services exports in 2017.
Jobs supported by California goods exportsExports Support Jobs Nationally, U.S. jobs supported by exports reached an estimated 10.7 million in 2016, up 1.2 million from 2006.
California Employment in Foreign-Owned CompaniesForeign Investment & Jobs in California In 2015, foreign-owned companies employed 715,800 California workers.
Source: Office of Trade and Economic Analysis, International Trade Administration, U.S. Department of Commerce.
Our International Tax Services
International Tax StructuringWe team up with foreign attorneys and accountants to come up with the best possible structure considering tax issues in both countries. In Mexico, we have an extensive network of legal and accounting contacts in different parts of the country with different areas of expertise, aside from LEA.
Mexico/U.S. Cross-Border TaxWe work with many U.S. companies and individuals that do business overseas, primarily Mexico and other Latin American countries. We team up with advisors in the foreign countries to provide the best possible support. We represent many Mexican families doing business in the U.S., many which include family members that are dual citizens of the U.S. and Mexico, that are obligated to fully comply with tax obligations that apply to residents of both countries.
Passive Foreign Investment Company (PFIC)A foreign corporation will fall under the Passive Foreign Investment Company rules if it meets either the Income test or the Asset Test. Due to these definitions, almost every foreign mutual fund will meet these requirements and will fall under the Passive Foreign Investment Company regime. When opening foreign securities accounts, it's important to know what type of investments will be made and whether they may be considered PFICs.
Foreign Bank Account Reporting (FBAR)This is an area that can be fairly complex if U.S. taxpayers have financial accounts in foreign countries that are not the typical bank accounts. These requirements also extend to majority owners of U.S. entities that have signature authority or ownership of foreign accounts.
IC-DISCNow that there is certainty as to the preferential taxation of qualified dividends, IC-DISC continues to be a great incentive for U.S. companies with significant export activity.
Voluntary Disclosure InitiativeWe assist U.S. citizens that have not been in full compliance with reporting offshore activity and have experience in getting them through the VDI program.
Foreign Interest in Real Property Tax Act (FIRPTA)We have extensive knowledge in navigating the requirements FIRPTA. Our international tax team has helped foreign investors with countless transactions subject to FIRPTA for sales of real estate both in California and nationally.
Who are we?
BeachFleischman PLLC was formed in 1990, and has grown to be one of the largest locally-owned CPA firms in Arizona and a "Top 200" largest CPA firm in the United States. The firm serves private enterprises, not-for-profit organizations, and entrepreneurs in the U.S., Mexico, and Canada, and provides a wide range of accounting, assurance, tax, and advisory services.