The United Kingdom’s vote to leave the European Union (EU) is going to have a lot of impact on international trade, not to mention the American economy and tax policy. Americans with UK-sourced income and businesses looking to enter the UK market should take heed of the impending changes and how they will affect their tax liabilities. Here’s an overview of Brexit’s impact on American businesses and American expats who live and work abroad in the UK.
If you are about to switch jobs or experience some sort of unemployment, there are certain tax implications you may need to consider. For instance, it is important to note that when receiving unemployment benefits, if taxes are not withheld, you may be facing a large tax bill the following year.
The rise of the sharing economy brings about a great deal of tax concerns, whether you rent out your home on Airbnb or pick up groceries on Instacart. Rideshare services like Uber and Lyft are a fact of life today. Whether you drive for these apps full-time or as a side hustle, you’ll get a 1099 so the IRS gets a copy and you have to report this income on your tax return. What to do?
When you sell a business, you need to pay taxes on your gains — the amount of profit that you made off of the sale your business. At its most simplistic, the amount of profit in your business is the amount that you’ve sold your business for less the amount that you invested into it.