Expertise In “u.s. Situs” Asset Protection
Complex estate and gift tax rules apply to yourestate planning if you are not a U.S. citizenand you own assets in the United States.
The rules vary depending on whether you are a non-resident alien (NRA) – someone who is present in the United States on a temporary basis, such as a visitor, a student, or a on work permit (for example, an H-1 or a B-1 visa), or a resident alien (a “green card” holder).
These rules become even more complex if you die owning “U.S. situs” assets. Without getting overly technical, U.S. situs assets include stock options in a U.S. company, stock ownership in a U.S. company, a U.S. company’ corporate bonds, and real estate located in the U.S. Other items are included, too, but these are the most common.
For example, many people think land in Silicon Valley is very cheap right now. They are flocking toLos Altos, Palo Alto, Atherton, and other San Francisco Bay Area communities to purchase houses and condominiums.
These real estate investors may be quite right … some of thereal estate in the Bay Areais at its lowest price in years.
But they are overlooking an important consideration: if they are not U.S. residents and something were to happen to them, they are only entitled to a $60,000 exemption from U.S. gift and estate taxes – non-resident aliens (NRAs) pay a much higher rate of gift and estate taxes than U.S. citizens.
Since internationalestate planningcan get complicated very quickly, it is often necessary, and advisable, to secure legal services to complete the process. An overview of what to expect and the benefits of international estate planning legal services is provided below.
