Answer
Understanding tax residency is key to managing international income and avoiding double taxation.
Tax residency determines where you are legally obligated to pay income tax. Most countries use day‑count rules or “center of life” tests.
Failing to plan tax residency can lead to paying taxes in two jurisdictions or facing penalties.
FAQ:
Q: Can I have multiple tax residencies?
A: It’s possible, but treaties decide which country has primary rights.
Q: How do I prove tax residency?
A: Through residency certificates, utility bills, or government letters.
User Comments:
- “Clarifying tax residency saved us from a costly audit.”
- “We now align our travel schedule with residency rules.”
Editor's Note:
Tax residency planning is the foundation of global wealth management.
Tags: tax residency FAQ, international tax, planning, HNWI mobility
