How to keep properties US-taxed if we move abroad?

[Kristen Lavallee]

We have rentals in the US that we would like to keep US-taxed as we consider a move abroad. If we move abroad to a country that taxes worldwide income, the compliance would be really challenging with the new country's tax laws, plus we wouldn't continue to benefit from the depreciation and low rental income taxes that we get in the US on the rentals. Has anyone moved abroad and figured out a way to keep US rental income US-taxed instead of taxed abroad? A US-based LLC or C-Corp taxed as a business rather than as a pass-through, maybe? What are the advantages and pitfalls of using such a structure or strategy?

Thanks!

[Charles Carillo]

@Kristen Lavallee

I am not a CPA, and I would speak to a CPA prior to making any changes.

There are only 2 countries that tax worldwide income; the USA, and Eritrea (doubt you are moving there) (https://globalisationguide.org...). Since you have US income, and you are a US Citizen (assuming), you will need to pay taxes on your US income; no matter where in the world you move. If you are planning on earning foreign income, there is a Foreign Earned Income Exclusion (https://www.irs.gov/individual...) that if you qualify, will allow you to exclude up to $120,000 of your foreign income. You will also want to see if the country you are moving to has a tax treaty with the US. Hope this helps. 

I know of a couple of CPAs that work with investors who have moved abroad, DM me, and I will send you their contact information.