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Old 09.03.2016, 02:21
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Re: Double taxation US/Swiss

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Sorry for bringing this topic from dust, but I have rather complicated situation.
I am currently working in the US on an H1B visa and received an offer to move to Switzerland in April.
I don't have any real estate in the US, but would like to know how much tax I need to pay on Swiss income. Is it possible that I only pay the tax for the first three months in the US or I would have to pay the tax for future income made in Switzerland even though I would not live in the US anymore and I am not an US citizen?

Can someone help me with the math here, please?
Let's say I earn (for the sake of math) 100k gross in Switzerland, how much extra should I pay to the US based on this double taxation?
Mirekti, I was in a similar situation once (US H1B and moving to Switzerland) and I can tell you that there is no "one-size-fits-all" answer, hence, I recommend getting professional advice from a competent US tax professional specialized in expats/global mobility issues. There are cases where you want to save money - this is NOT one of them, because the issues are very complex and there is a lot of room for screw-ups.

Also, note that people with US visas outside of the US are NOT the same as US citizens and green card holders abroad - in other words, it is not automatic that they will be taxed on their worldwide income.

In my case (but YMMV) I moved to CH halfway through the year, and, after calculating the time spent in each country, together with my tax advisor, we determined that I qualified to file a federal 1040NR dual status income tax return and a California part-year resident income return. In my case, this allowed me to pay US tax only on certain US-sourced income (vs. my worldwide income) when I was a non-resident for US purposes. Obviously I paid Swiss tax on the applicable income per the Swiss tax rules.

For the following years, whether you have to file a US return, and if so, your resident/non resident status for US purposes depends on a variety of factors, such as if you spend more than a certain number of days in the US, whether you have certain specific types of US-sourced income (such as certain types of passive income), and others.

Hope this gave you some ideas for further research/questions to ask a professional advisor.

EDIT: also check out if you are subject to FBAR filings on your foreign accounts once you get to Switzerland and open one/more Swiss accounts.
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