美国投资房出租收入的报税问题?
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terry890
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terry890
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既然你那么诚恳我就告诉你吧。
虽然在渥太华去美国买房的人不少，但是没几个能回答你的问题，因为大多数都觉得如果到了要上税的时候就是已经挣钱了，那就是挣多少的事，到时候再说吧。
真正能回答你的问题的人，既要对美国某个州的税了解，又要对加拿大税了解，这样的人少之又少。
Canadians Buying Property in Florida – The Tax Issues
Written by FrugalTrader on Mar 21, 2011 filed under Real Estate Print This Post
My wife asked me the other day about my thoughts on buying property in Florida. As an East coast Canadian, I must say that the fantasy of owning property where it’s sunny most of the time is quite appealing. Not only that, this seems like great timing as the Canadian Dollar is slightly greater than par, and the Florida real estate market is in the dumps. Snapping back to reality, my thoughts immediately focus on the financial implications of owning property in Florida (or the U.S in general), specifically the tax issues.
With that, I dug into my tax books and did some searching over the net to come up with the basics of tax issues when owning property in the U.S. I’m not a tax professional, so these are some basic guidelines to give you a starting point for further research.
Rental Income
If we were to buy a property in Florida, we would likely only be able to visit once a year for a few weeks at a time. For the rest of the time, instead of letting it sit idle, the ideal situation is that the unit could be rented on a weekly or monthly basis. Sounds like a great idea with the potential for capital appreciation, but there are U.S tax rules to be followed.
For one, U.S based rental income would require the investor to file a U.S tax return every year which is a drawback in my eyes. The rental income is subject to a 30% withholding tax which is not included in the U.S/Canada tax treaty like when receiving U.S dividends (how investment withholding tax works). To get around this, KPMG recommends to file the U.S return with the election to pay tax on net rental income. The Canadian, in this case, will receive a tax refund in the amount that the withholding tax exceeds the tax payable on net rental income.
Capital Gains
Next question is, what happens when I sell? You guessed it, capital gains tax. The sale of the property results in a 10% withholding tax which is offset by the capital gains payable when filing the mandatory U.S tax return. According to KPMG, the maximum U.S tax rate on capital gains for assets held for more than 12 months is 15%. There are some rules around reducing the withholding tax such as applying to the IRS, well before closing, on the basis that the expected tax liability will be less than the 10% withholding tax.
Property Tax
This is a hot topic for non-resident Florida home owners as there is a two-tiered system. Both tiers pay the same property tax rate, but there are differences in the home valuations on which the property tax is assessed. The largest difference is in the amount that the property taxes can increase year over year.
As the Florida market is at a low right now, one can only assume that it can only go up from here, but what if market values increase by 20% in a year? A 20% increase would be a pretty steep property tax grab. In this case, resident Florida home owners will face a maximum increase of 3% a year, and non-resident home owners face a maximum home assessment increase of 10%. In addition to this, I believe that resident homeowners pay their property tax based on the assessed value minus a fixed amount thus leading to a reduced assessed value.
Estate Taxes
This is where it can get a bit tricky as the U.S has estate taxes. According to KPMG though, Canadians will not be subject to U.S estate taxes unless their worldwide gross estate exceeds $2M USD (2008 numbers). Even if there is no estate tax payable, the estate must file a U.S estate tax return if the property is worth over $60k.
There are obviously many many more details to U.S taxes and property, so best to consult a qualified tax professional for the finer details.
If you have property in Florida, or doing research towards buying one, I would appreciate any additional information that you can provide in the comments.
http://www.milliondollarjourney.com/canadians-buying-property-in-florida-the-tax-issues.htm
虽然在渥太华去美国买房的人不少，但是没几个能回答你的问题，因为大多数都觉得如果到了要上税的时候就是已经挣钱了，那就是挣多少的事，到时候再说吧。
真正能回答你的问题的人，既要对美国某个州的税了解，又要对加拿大税了解，这样的人少之又少。
Canadians Buying Property in Florida – The Tax Issues
Written by FrugalTrader on Mar 21, 2011 filed under Real Estate Print This Post
My wife asked me the other day about my thoughts on buying property in Florida. As an East coast Canadian, I must say that the fantasy of owning property where it’s sunny most of the time is quite appealing. Not only that, this seems like great timing as the Canadian Dollar is slightly greater than par, and the Florida real estate market is in the dumps. Snapping back to reality, my thoughts immediately focus on the financial implications of owning property in Florida (or the U.S in general), specifically the tax issues.
With that, I dug into my tax books and did some searching over the net to come up with the basics of tax issues when owning property in the U.S. I’m not a tax professional, so these are some basic guidelines to give you a starting point for further research.
Rental Income
If we were to buy a property in Florida, we would likely only be able to visit once a year for a few weeks at a time. For the rest of the time, instead of letting it sit idle, the ideal situation is that the unit could be rented on a weekly or monthly basis. Sounds like a great idea with the potential for capital appreciation, but there are U.S tax rules to be followed.
For one, U.S based rental income would require the investor to file a U.S tax return every year which is a drawback in my eyes. The rental income is subject to a 30% withholding tax which is not included in the U.S/Canada tax treaty like when receiving U.S dividends (how investment withholding tax works). To get around this, KPMG recommends to file the U.S return with the election to pay tax on net rental income. The Canadian, in this case, will receive a tax refund in the amount that the withholding tax exceeds the tax payable on net rental income.
Capital Gains
Next question is, what happens when I sell? You guessed it, capital gains tax. The sale of the property results in a 10% withholding tax which is offset by the capital gains payable when filing the mandatory U.S tax return. According to KPMG, the maximum U.S tax rate on capital gains for assets held for more than 12 months is 15%. There are some rules around reducing the withholding tax such as applying to the IRS, well before closing, on the basis that the expected tax liability will be less than the 10% withholding tax.
Property Tax
This is a hot topic for non-resident Florida home owners as there is a two-tiered system. Both tiers pay the same property tax rate, but there are differences in the home valuations on which the property tax is assessed. The largest difference is in the amount that the property taxes can increase year over year.
As the Florida market is at a low right now, one can only assume that it can only go up from here, but what if market values increase by 20% in a year? A 20% increase would be a pretty steep property tax grab. In this case, resident Florida home owners will face a maximum increase of 3% a year, and non-resident home owners face a maximum home assessment increase of 10%. In addition to this, I believe that resident homeowners pay their property tax based on the assessed value minus a fixed amount thus leading to a reduced assessed value.
Estate Taxes
This is where it can get a bit tricky as the U.S has estate taxes. According to KPMG though, Canadians will not be subject to U.S estate taxes unless their worldwide gross estate exceeds $2M USD (2008 numbers). Even if there is no estate tax payable, the estate must file a U.S estate tax return if the property is worth over $60k.
There are obviously many many more details to U.S taxes and property, so best to consult a qualified tax professional for the finer details.
If you have property in Florida, or doing research towards buying one, I would appreciate any additional information that you can provide in the comments.
http://www.milliondollarjourney.com/canadians-buying-property-in-florida-the-tax-issues.htm
terry890
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To summarize
1) File a U.S tax return every year
2) Capital Gains, the maximum U.S tax rate on capital gains for assets held for more than 12 months is 15%
3)Property Tax, resident Florida home owners will face a maximum increase of 3% a year, and non-resident home owners face a maximum home assessment increase of 10%
4)Estate Taxes, worldwide gross estate exceeds $2M USD (2008 numbers) will be subject to U.S estate taxes
1) File a U.S tax return every year
2) Capital Gains, the maximum U.S tax rate on capital gains for assets held for more than 12 months is 15%
3)Property Tax, resident Florida home owners will face a maximum increase of 3% a year, and non-resident home owners face a maximum home assessment increase of 10%
4)Estate Taxes, worldwide gross estate exceeds $2M USD (2008 numbers) will be subject to U.S estate taxes
terry890
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Stories from other Canadians.
-------------------------------------------------------
I owned a house in Florida for about a year, just sold it in January for about what I paid for it. We lived in it for about 2 months after we purchased it, had a great time escaping the Canadian winter but then couldn’t find a renter for the rest of the year. The rental market is heavily saturated, and, as mentioned above, unless you are located in a highly desirable part of Florida (near a beach, etc) you will have a lot of difficulty finding renters. But, then, you’ll also be paying a lot more than $50,000 for such a place as well.
There are property taxes, condo fees, fees to a property management company to take care of your place and its renters (you don’t want it sitting idle for weeks/months at a time without anyone to check on it–you’ll nullify your property insurance, and you’ll also need someone to take care of rent and maintenance issues-if you’re paying a low dollar for your place and renting it for cheap, you’re going to get the types of renters who won’t pay you…) If, like in our case, you are buying a house, then you also have to deal with outside maintenance, the lawn needs cutting 12 months a year, you need to pay for pest control, the list goes on.
For the past year, between property taxes, electricity (can’t turn it off, you n eed to keep the air conditioning on during the summer or your house will rot inside from the heat and humidity there and a/c is expensive), lawn care, pest control and other miscellaneous expenses, we paid over $10,000 to own the house for a year (not including any interest/opportunity cost of the money). So, essentially, we paid $5,000 per month for the 2 months we lived there for the luxury of having a house in Florida to stay in. For that kind of money we could have rented a beautiful house right on the beach and had none of the headaches.
Unless you’re going to live there for several months per year, I wouldn’t recommend it. It’s a money trap. (that, and it will probably take 5-10 years before Florida real estate appreciates in value)
-------------------------------------------------------
I owned a house in Florida for about a year, just sold it in January for about what I paid for it. We lived in it for about 2 months after we purchased it, had a great time escaping the Canadian winter but then couldn’t find a renter for the rest of the year. The rental market is heavily saturated, and, as mentioned above, unless you are located in a highly desirable part of Florida (near a beach, etc) you will have a lot of difficulty finding renters. But, then, you’ll also be paying a lot more than $50,000 for such a place as well.
There are property taxes, condo fees, fees to a property management company to take care of your place and its renters (you don’t want it sitting idle for weeks/months at a time without anyone to check on it–you’ll nullify your property insurance, and you’ll also need someone to take care of rent and maintenance issues-if you’re paying a low dollar for your place and renting it for cheap, you’re going to get the types of renters who won’t pay you…) If, like in our case, you are buying a house, then you also have to deal with outside maintenance, the lawn needs cutting 12 months a year, you need to pay for pest control, the list goes on.
For the past year, between property taxes, electricity (can’t turn it off, you n eed to keep the air conditioning on during the summer or your house will rot inside from the heat and humidity there and a/c is expensive), lawn care, pest control and other miscellaneous expenses, we paid over $10,000 to own the house for a year (not including any interest/opportunity cost of the money). So, essentially, we paid $5,000 per month for the 2 months we lived there for the luxury of having a house in Florida to stay in. For that kind of money we could have rented a beautiful house right on the beach and had none of the headaches.
Unless you’re going to live there for several months per year, I wouldn’t recommend it. It’s a money trap. (that, and it will probably take 5-10 years before Florida real estate appreciates in value)
terry890
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It is funny how clueless Canadians are when it comes to the idea of buying a place in Florida. Everybody assumes they can “rent” it and that now is a good time to buy because prices are low. Prices are low because the real estate market was the biggest real estate bubble in history. Prices will never go back to their highs for another 25 years. Forget about making a capital gain. In addition, property taxes will have to go up as Florida is in dire straits financially and has no other sources of income. You can bet that protecting foreign property owners will not be on their list of things to do. I haven’t even mentioned the myth of “renting” your home. There are so many “rentals” available that the price is ridiculously cheap. You can rent a 7 bedroom mansion for $3000 a month. Also, nobody goes to many parts of Florida after May 1st until early October, so forget about trying to rent at those times unless you are next to Disney land. The ONLY way it makes sense is if you live there for 6 months of the year and you can find a real deal on a house. BUT, don’t be fooled by the BS that you can go down and buy a house in foreclosure. It sometimes takes months to even get a response to a written offer – and they might say “NO”. Florida is a real mess right now and if you don’t know what you are doing then you will end up throwing away your money and walking away in a year’s time. You have been warned
terry890
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I have a property in Houston, Texas and have had no problem renting it out for the last 6 years. There are many things that I can mention from my experience.
a) Property Management:- As Canadians we are not allowed to work in the US without a proper visa (example, a NAFTA-approved job, hence eligible for a TN-1 at the border or an H1B visa for highly skilled jobs). So, “collecting” a rent is considered a job in the US. Hence, you can’t physically go and collect rent or show people your house to rent it out, can’t change the light bulb or even clean the house. If someone reports you doing so you could be banned for life from entering USA. As a result, if you decide to rent a place in the US, hiring a property manager in the US to take care of your property is an absolute must. Luckily, for us, we found a property manager in Houston who only charges $100 per month to take care of the property. Some of them charge 1% of the rent.
b) Taxes:- Property Taxes are higher in Texas (school fees form the most part). We pay $6000/- per year in taxes. I believe Florida also has higher property taxes. Income Tax:- not sure about Florida, but Texas has no state tax. Something to consider while filing income tax returns when you rent a property or sell it. California has higher state taxes. Because of this we only have to file 1040NR every year. Ideally, if there’s no other income you have time till October 15th for non-residents to file the tax return for last year. There’s a net rental income reduction form 4224 that you can file to not have any withholding if your expenses are >30% withholding tax. For sales of the rental property, if the sale price is <300K then there's no 10% withholding either as long as the buyer of the property uses it as their principal residence and not as a rental property. Whatever tax you do end up paying to IRS, you can always claim the foreign tax credit when filing Canadian tax return. I have never had any issues with this in last 6 years.
Only one issue is that there's no website that allows you to file 1040NR, so you have to fill this form manually and can't use TurboTax or any other tax software. All of the software only allow users to fill 1040 form and do not work for non-residents. But, if you don't have any other income, this form is simple to fill. Just like Canada, you can deduct all mortgage interest, property taxes, other expenses while filing your return.
a) Property Management:- As Canadians we are not allowed to work in the US without a proper visa (example, a NAFTA-approved job, hence eligible for a TN-1 at the border or an H1B visa for highly skilled jobs). So, “collecting” a rent is considered a job in the US. Hence, you can’t physically go and collect rent or show people your house to rent it out, can’t change the light bulb or even clean the house. If someone reports you doing so you could be banned for life from entering USA. As a result, if you decide to rent a place in the US, hiring a property manager in the US to take care of your property is an absolute must. Luckily, for us, we found a property manager in Houston who only charges $100 per month to take care of the property. Some of them charge 1% of the rent.
b) Taxes:- Property Taxes are higher in Texas (school fees form the most part). We pay $6000/- per year in taxes. I believe Florida also has higher property taxes. Income Tax:- not sure about Florida, but Texas has no state tax. Something to consider while filing income tax returns when you rent a property or sell it. California has higher state taxes. Because of this we only have to file 1040NR every year. Ideally, if there’s no other income you have time till October 15th for non-residents to file the tax return for last year. There’s a net rental income reduction form 4224 that you can file to not have any withholding if your expenses are >30% withholding tax. For sales of the rental property, if the sale price is <300K then there's no 10% withholding either as long as the buyer of the property uses it as their principal residence and not as a rental property. Whatever tax you do end up paying to IRS, you can always claim the foreign tax credit when filing Canadian tax return. I have never had any issues with this in last 6 years.
Only one issue is that there's no website that allows you to file 1040NR, so you have to fill this form manually and can't use TurboTax or any other tax software. All of the software only allow users to fill 1040 form and do not work for non-residents. But, if you don't have any other income, this form is simple to fill. Just like Canada, you can deduct all mortgage interest, property taxes, other expenses while filing your return.
terry890
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I have been told by a lot of tax planners that this isn’t true. People have gone to jail for attempting to collect rent themselves or even for mowing the lawn in the house that they rent out. Of course, this only applies to people who are not US citizens. If you own dual citizenship then you are allowed to do the work yourself, but if you don’t own US citizenship, then you may end up in jail and banned for life from entering US if you attempt to do “any” work in the house that you own that you are attempting to rent to someone.
Of course, if you are buying a property that will be your vacation home and you are not doing the work to put the house on market, then you are allowed to work.
Check http://www.centa.com as a very good resource of what Canadians are allowed to do on a rental property in US. They have very good information in forums and prior archives including cases when people were sent to jail for attempting to work and when a neighbour reported them to the authorities.
Of course, if you are buying a property that will be your vacation home and you are not doing the work to put the house on market, then you are allowed to work.
Check http://www.centa.com as a very good resource of what Canadians are allowed to do on a rental property in US. They have very good information in forums and prior archives including cases when people were sent to jail for attempting to work and when a neighbour reported them to the authorities.
terry890
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Under United States (U.S.) income tax law, a foreign citizen or national is subject to U.S. tax in varying ways depending on whether he/she is a resident or nonresident. A U.S. resident alien is taxed on worldwide income in much the same manner as a U.S. citizen: he/she will be required to file U.S. tax returns and pay U.S. tax on income from all sources. When computing taxable income, a resident alien is generally entitled to the same deductions and personal exemptions available to a U.S. citizen.
A Canadian snowbird will be treated as a resident for tax purposes if he/she meets either of two tests the lawful permanent resident (or green card) test, or the substantial presence test. Under the first test, a Canadian citizen who is a lawful permanent resident of the U.S. a green card holder is considered a resident for U.S. income tax purposes. A green card holder is treated as a U.S. resident, whether or not he/she is physically present in the U.S., until such time as permanent resident alien status under U.S. immigration law is officially revoked or abandoned.
http://www.grasmick.com/snowbird.htm
A Canadian snowbird will be treated as a resident for tax purposes if he/she meets either of two tests the lawful permanent resident (or green card) test, or the substantial presence test. Under the first test, a Canadian citizen who is a lawful permanent resident of the U.S. a green card holder is considered a resident for U.S. income tax purposes. A green card holder is treated as a U.S. resident, whether or not he/she is physically present in the U.S., until such time as permanent resident alien status under U.S. immigration law is officially revoked or abandoned.
http://www.grasmick.com/snowbird.htm
您说的没错! 事实上我是在填1040NR时遇到问题了.....
