Pain Points We Solve
Foreign trusts with U.S. income or U.S. beneficiaries trigger complex IRS reporting. Common challenges include:
- Confusion over Form 3520 and 3520-A filing requirements
- Uncertainty about grantor vs. non-grantor trust classification
- Difficulty tracking U.S. source income and distributions
- Fear of $10,000+ penalties for late or missing filings
- No clear guidance on Section 679 or trust ownership attribution
- Cross-border coordination between foreign trustees and U.S. beneficiaries
Our Solutions
At Expat Tax Compass, we help foreign trusts and their U.S. connections stay compliant and avoid penalties:
- Form 3520 & 3520-A Preparation
- We prepare both forms and ensure proper reporting of ownership, income, and distributions.
- Grantor vs. Non-Grantor Trust Analysis
- We determine trust classification and its impact on U.S. tax obligations.
- U.S. Source Income Reporting
- We help foreign trusts report U.S. rental income, dividends, royalties, and capital gains.
- Beneficiary Distribution Tracking
- We assist U.S. beneficiaries in reporting inbound trust distributions and calculating income inclusion.
- Section 679 Compliance Review
- We evaluate U.S. grantor status and attribution rules for foreign trusts.
- Flat-Fee Packages & Bilingual Support
- Transparent pricing and resources in English and Spanish.
Who We Help
We work with:
- Foreign trustees with U.S. source income or U.S. beneficiaries
- U.S. persons who created or transferred assets to foreign trusts
- U.S. beneficiaries receiving distributions from foreign trusts
- International families managing cross-border trust structures
- Advisors coordinating foreign trust compliance with U.S. tax law
Foreign Trust with U.S. Income or Beneficiaries? Let’s Get It Right.
Let Expat Tax Compass be your guide.
Schedule a consult or download our Foreign Trust Tax Checklist to get started.