At Calderon & Associates we are aware that US citizens residing in Mexico are being subjected to
increasing reporting obligations of foreign business interests or assets by the Internal Revenue Services (IRS). US citizens are
required to report to the IRS if:
- If on any day of the year they have over $10,000 USD dollars in a foreign bank or financial institution. (Form 90-22.1)
- If they own real property in Mexico through a Mexican Residential Trust (Fideicomiso). (Forms 3520 and 3520A)
- If they own 10% or more of the stock of a foreign corporation (Form 5471)
- If they transfer to a foreign corporation certain tangible or intangible assets. (Form 926)
- If they own 10% or more of a foreign partnership, regardless whether or not there is a formal partnership agreement. (Form 8865)
- If they have an interest in specified foreign financial assets and the value of those assets is more than the applicable reporting threshold. (Form 8938)
All of these forms have failure to file penalties that are significant and the IRS is increasing their enforcement of these
regulations
As a result, we have entered into a joint venture with a US Certified Public Accountant named Rick Ashley. Rick throughout
his career has acquired extensive knowledge and experiences in audits, accounting services and tax filings with the IRS.
If you think you may fall into any of the above categories, schedule an appointment with us at your earliest convenience so that we can review your situation for any exposure you might have
with the Internal Revenue Service.
