I will always have to pay income tax to the U.S.; is my U.S. retirement income: pensions, S.S. & interest subject to Chilean income tax after three years residence?
US Expat tax return and Chilean tax liability by: Stefan - tax expert
Hi Lawrence,
I'm an expat expert at the largest international company dealing with tax returns - Taxback.
Let me advise you accordingly.
You are obliged to file your US tax return each year even though you live in Chile. However your position of being a US expat is making you eligible to significant tax reliefs and there are options to decrease your US tax liability. Availing of such reliefs will most likely result in tax refund eligibility at the end of the tax year. To advise what the amount of your tax refund is I need to review all the documentation you have. I would suggest visiting us at this page and applying. We could provide you with free estimation of your US expat tax return, taking in consideration all available tax exempts. If you're happy with the amount we can get you, we could go ahead and apply for it.
As for your Chilean tax liability I recommend consulting with a local accountant who's familiar with the Chilean tax legislation.