AIRINC Global Tax Director Pat Jurgens joined Benivo’s 'The View from the Top' hosted by Brian Friedman on July 14, providing a global mobility tax update, accompanied by immigration expert Julia Onslow-Cole, and special guest Becky Woods, Sr. Director Global Mobility at ADP.
Commuter arrangements continue to gain in popularity to deliver flexibility to the employee, not requiring their family to relocate but still achieving the strategic business need. Commuters are typically, an employee who makes regular trips to work cross-border, and returns regularly to their place of residence, where they also work on occasion. Usually, trips cross-border are unaccompanied. The intended length of the commuting arrangement may be for a short period or indefinite.
From a tax angle, commuters have more complex tax problems than a traditional expat. With work done in multiple locations, it is more likely that two tax jurisdictions will try to tax the same income.
There are some tax concessions for commuters to help with double tax relief:
Don’t overlook the social security implications as those social rules will often not follow the tax rules. Indefinite-term commuters will have a harder time getting a COC and totalization benefits. Social Security may need to be paid in both locations.
For more information on any of these tax issues contact Pat Jurgens.
The show welcomed Becky Woods, to talk about her career and the Mobility program at ADP. Becky's career includes own self-managed move to Costa Rica. We will also be deep-diving into Mobility at ADP including their innovative approach to managing relocation in-house.
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Pat joins again on July 28!