Sole proprietor business from abroad-tax issues

Technical topics regarding tax preparation.
#1
Posts:
1
Joined:
23-Jan-2018 11:16pm
Location:
NYC
The facts
US citizen, currently living/working in NYC. I plan on doing business as a sole proprietor (consulting/financial/accounting services), working 8 months of the year from abroad, and 4 months in the US (NYC). Only client will be NYC company. Disregard the possibility of being categorized an employee. Assume this is a contractor job.
The foreign country has a tax treaty with US.


The questions
I understand I will have to keep filing a 1040, however, do I still need to file NY/NYC return, and if yes, will I pay tax on all income, or just the income earned during the 4 months I will be living in NYC?
Will I be eligible to take the 20% of qbi deduction for passthroughs that comes with the new tax law? (assuming I'm under the threshold)
Can I take advantage of the foreign earned income exclusion?
If I understand correctly, I will probably have to file taxes in the foreign country as well. How does that work? Not sure what income is usually excluded from double taxation under tax treaties… Do I need to file in both countries, pay the US its share, and the rest (if over the US portion of taxes) pay to the foreign country? Very confused here.

Any other tips/guidange/regulations I should be aware of?
Thank you!
 

Return to Taxation



Who is online

Users browsing this forum: Google [Bot], Google Adsense [Bot] and 99 guests