I'm seeking some advice regarding my foreign trust situation. For the past 12 years, as a non-resident alien living overseas, I've been contributing annually to a foreign trust with investments in non-US ETFs. In 2022, I moved to the U.S. and became a U.S. tax resident. At that time, my trust had a balance of $200k.
Since moving, I've continued contributing to my trust and have paid U.S. taxes on the income generated, which has increased my trust's value to $250k. Basically, I've paid taxes in the U.S. on the $50k earned since my move.
Now, I'm considering withdrawing the entire amount from my foreign trust. My question is: Will I have to pay any taxes on the original $200k that was in the trust before I became a U.S. tax resident?
Since moving, I've continued contributing to my trust and have paid U.S. taxes on the income generated, which has increased my trust's value to $250k. Basically, I've paid taxes in the U.S. on the $50k earned since my move.
Now, I'm considering withdrawing the entire amount from my foreign trust. My question is: Will I have to pay any taxes on the original $200k that was in the trust before I became a U.S. tax resident?
Statistics: Posted by bob.marley13 — Mon Nov 18, 2024 10:09 pm — Replies 2 — Views 125