PPRuNe Forums - View Single Post - Emirates now not tax free?!?!?!
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Old 3rd July 2011 | 18:35
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HPIC
 
Joined: Mar 2011
Posts: 27
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From: Middle East
Some countries (particularly the states) will start taxing your income once you start sending home sums exceeding the threshold (think it's $90k per year).
In the case of the US, the amount is $92,900 for 2011...but it is based on your income, not the amount you "send home". If you don't send any of it to the US, but make $142,900 for the year, technically $50k of it is taxable(at the 142.9k tax rate). Many non-US companies do not report to the IRS the amount you are paid as a US citizen...but if you lie about it, and get caught, you are subject to large fines and/or prison time.
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