Across the Pond

Non-US Investments [PFICs] (Across the Pond Podcast - Ep. 5)

Plan First Wealth Season 1 Episode 5

It’s common for expats to own Non-US Investments (PFICs) and it’s usually a problem. 

Many people relocate to the US with existing collective investments, and many acquire them later on. For example, you inherit a GBP investment account and leave it as is because the exchange rate isn’t attractive.

Unless certain steps have been taken, most PFIC distributions will be considered “Excess Distributions” and will suffer punitive tax, interest, and reporting requirements in the US. This can get VERY expensive. 

If you own PFICs, address it ASAP. Waiting makes it worse! Listen to our latest episode of Across the Pond to learn more.