Resources
US and UK tax laws are constantly being updated. We believe that clients should always be aware of changes that may affect them. We have therefore written a number of articles based on current legislation which may be of interest. This information should not be taken as full comprehensive advice and we highly recommend that you contact a PJD tax representative for more information.
Tax treatment of Restricted Shares for Americans in the UK
This article briefly discusses restricted share awards received by US taxpayers working in the UK and the availability/advantages of the Section 83(b) and Section 431 elections.
Taxation of US Stock Option Plans
This article discusses stock options given to an employee of a US company.
Restricted Shares
Restricted shares (although it can be any property) are awarded in connection with your job in addition to cash and other benefits and payments. There are UK and US income tax consequences if you receive these awards.
The Foreign Earned Income Exclusion
OK, so you are a US person and you live and work outside of the US. So the IRS allow you to claim a deduction for up to $102,100 of your non US earnings and also a part of your non US housing expenses on your Federal Tax Return, generous aren’t they! It’s a no brainer???
OVERSEAS WORKDAY RELIEF
If you are domiciled outside the UK and you arrived in the UK within the last three years you may be entitled to claim UK tax relief for any work undertaken outside the UK. This is described as Overseas Workday Relief (OWR).
TO EXCLUDE OR NOT TO EXCLUDE
OK, so you are a US person and you live and work outside of the US. So the IRS allow you to claim a deduction for up to $101,300 of your non US earnings and also a part of your non US housing expenses on your Federal Tax Return, generous aren’t they! It’s a no brainer?