What's New for 2011 Tax Year

Ines Zemelman, EA 20-Feb-12

IJ Zemelman

The most predictable element of taxation law is its ability to change. In fact, tax law can change multiple times in a single year. This keeps tax professionals in steady work and the rest of us sufficiently perplexed.To make things a little simpler for the average taxpayer, however, the IRS has released a list of the most important and relevant changes. These changes affect both stateside and expatriate Americans. We will discuss the most consequential elements of "Tax Law Changes for 2011 Federal Tax Returns" below.

Expat Taxes

Many of the changes to the 2011 tax code are specific and narrowly affect a small number of taxpayers. Others, however, are much more universal. Let’s review the broader issues first and then narrow the topics from there.

Additionally, expats with significant foreign holdings must allow for the brand new requirement of Form 8938. It applies to the more affluent (compared to the preexisting FBAR) but will still apply to many expats who possess substantial foreign assets.

Other Tax Law Alterations

While the above changes apply to a broad number of expatriate Americans, the following 2011 changes apply to specific tax situations such a self-employment and minimum tax.

Ines Zemelman, EA
Ines Zemelman, EA
founder of Taxes for Expats
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