FATCA reporting: Youtube a law that says that foreign banks must tell U.S. government everything about U.S. person's account activities, or else banks might be charged tax.
Expats who file their taxes individually must file a FATCA report if they own more than $200,000 in specified foreign financial assets on the last day of the year or $300,000 at any point during the year.
Expats who file a joint tax return with their spouse must file a FATCA report if they own more than $400,000 in specified foreign financial assets on the last day of the year or $600,000 at any point during the year.
Specified foreign financial asset:
I-9: a form you filled with your employee to let them know you are certified to work in U.S.
W-2: tell you how much income you got and how much tax is "withheld". "withheld" means employer will automatically charge tax before you even pay the tax, this step is automatic and can be changed by filling W-4. This form is used to claim "tax return" (the money government will return to you because they overcharged in their "withheld")
federal tax: federal will charge you tax
state tax: state will charge you tax
local tax: local government will charge you tax
deduction: you can claim some portion of your income is nontaxable.
credit: you can claim some portion of your tax does not need to be paid.
Tax withholding: Tax withholding refers to the amount of money that is automatically deducted from your paychecks by your employer and sent to the government to pay your estimated federal, state, and local taxes. Tax withholding is based on the information you provide on your W-4 form, and the amount of taxes withheld from your paychecks is determined by the tax laws and tax rates in effect for the year. Tax return: A tax return is a form that you file with the government each year to report your taxable income and to calculate your tax liability. The tax return is used to determine whether you owe additional taxes or are entitled to a tax refund. Tax credits: Tax credits are dollar-for-dollar reductions in the amount of taxes you owe. Tax credits are available for a variety of expenses and activities, such as education, child and dependent care, and energy-efficient home improvements. Tax credits can reduce your tax liability and increase your refund, and some tax credits are refundable, which means you can receive a refund even if you don't owe any taxes. Tax refunds: A tax refund is a payment from the government to you if you have overpaid your taxes. If your tax withholding and estimated tax payments are greater than your tax liability for the year, you will receive a tax refund for the difference. Tax exemptions: Tax exemptions are reductions in your taxable income that are allowed by law. Tax exemptions can reduce your taxable income and lower your tax liability. Common tax exemptions include personal exemptions for you and your dependents, and itemized deductions for expenses such as mortgage interest and charitable donations. Tax breaks: Tax breaks are reductions in your tax liability that are provided by the government to encourage certain activities or to provide relief to taxpayers in certain circumstances. Tax breaks can take the form of tax credits, tax exemptions, deductions, or other forms of tax relief. Examples of tax breaks include the mortgage interest deduction, the earned income tax credit, and the deduction for student loan interest.
W-4: making "withheld" more accurate by giving W-2 to employer.
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