[us-expat]

Hi All! Boy am I glad I found this place. I am hoping someone can shed some light on a few things for me. I've been living in NZ for 6yrs now. I was working a typical IT job with an NZ company. They took out my taxes and since I was not making (80,000US -i think) my taxes in the US were just a formality. However things are changing fast and I need to know what to expect. I started a website 3yrs ago in the US which is now doing pretty good. I have quit my NZ job and plan to live off the money generated by my US based business. I have touched base with a tax guy over there who says I should move my residency to Florida then claim a small business tax. Ok that sounds ok I think because bieng a Florida resident could reduce my tax burden (I also have a sister in florida). What I am having a hard time grasping is what do I do with the money when I bring it over to NZ? I think there is a double tax agreement so if my money is taxed in the US do I just bring it over to NZ and that is it? Or do I bring it over to NZ, document how much I brought over, then file a tax return in NZ saying "I brought over x $ from the US but it was already taxed you can leave me alone thanks". Will I get taxed on some of it? If not is there a limit to how much I can bring over before they do tax me on it? Would be a massive help if anyone here is in a similar situation, this stuff is WAY WAY over my head! Thanks!

[Park City Partner]

From what I understand you will have to file US & a NZ tax returns though you won't be doubled taxed as NZ & US have tax treaties (or whatever they are called). I contacted a NZ tax accountant that I got off the US consulate in NZ website and they made it seem much more simple than I thought it would be. There are different tax years...NZ ends in March I believe vs. year end.

I'm not sure how you will claim residency if you don't actually spend 183+ days in Florida.

As for bringing money in, if it has already been taxed you should be fine...bringing cash in is different than income.

good luck as it can be overwhelming to figure it all out and I'm not sure I have it down yet myself.

[Smiler]

Wow! That stuff is going completely over my head and my eyes have glazed over. :p

But I just wanted to say welcome to the forum. :clap:clap

[veronica]

I might be talking out of the proverbial but I understood that if you earnt money in another country and say for example your tax paid there was 20%then if the NZ tax was at a 25% level you have to pay the 5% to NZ. I am sure it would be worth investing in a good accountant who is up to speed on all the tax dodges. Good luck

[Amerikiwi]

Wow! That stuff is going completely over my head and my eyes have glazed over. :p

But I just wanted to say welcome to the forum. :clap:clap

LOL!!! My reaction EXACTLY!! Totally lost while reading it. :p

[Oregonkiwi]

Sorry, no answers for you, but I saw this and thought it might help (maybe?).

http://www.immigration.govt.nz/migrant/general/generalinformation/news/taxexemptionforeign.htm

"Temporary tax exemption for foreign income
Wednesday, April 05, 2006
From 1 April 2006, most types of individual overseas income are temporarily exempt from tax in New Zealand. The exemption is available to qualifying individuals who arrive in New Zealand on or after 1 April 2006 and extends for four calendar years (up to 49 months).

For full details go to the Inland Revenue website."

(edit - d'oh - I just read where you said you've been in NZ 6 years - oh well, maybe it will help someone else.)