Foreign income

[geociencio]

Hello All, I am mexican, living in US, I have a work visa and pay taxes in the US.

If I open a restaurant in mexico, and pay taxes in Mexico for that, do I need to report and pay taxes again in the US? or how does that work?

 

[davew128]

Do you have a green card? If not, are you here more than 183 days a year?

 

[geociencio]

Hi Dave,

I do not have a green card, I am on the US under the TN visa, I am here the whole year.

 

[davew128]

As you were here the entire year, you are considered a resident for US tax purposes. That gives the US the right to tax your worldwide income, however you're also entitled to a credit for any tax Mexico imposes on that income.

 

[geociencio]

Thank you Dave, I have tried to reseach about it but I have not have any luck. Could you refer me to some information about this? like tables or estimate of the amount tax paid in Mexico / Credit in the US.

I appreciate your response Thanks!

 

[tranquility]

Thank you Dave, I have tried to reseach about it but I have not have any luck. Could you refer me to some information about this? like tables or estimate of the amount tax paid in Mexico / Credit in the US.

I appreciate your response Thanks!

http://www2.deloitte.com/content/dam/Deloitte/global/Documents/Tax/dttl-tax-mexicoguide-2014.pdf

http://www.crossborderplanning.com/pdf/Mexican%20Taxes%2006.pdf

https://www.irs.gov/pub/irs-trty/mexico.pdf
https://www.irs.gov/Businesses/International-Businesses/Mexico---Tax-Treaty-Documents