EB-5 Services Discover the Difference

Transcription

1 EB-5 Services Discover the Differece

2 Raked amog the top 20 firms i the atio 1,300 professioals, icludig more tha 160 parters, i major market locatios 60-year history with a outstadig reputatio at the atioal ad regioal levels Foudig member of the leadig Edge Alliace, a worldwide group of large, idepedet accoutig practices FirmProfile Marcum llp is oe of the largest idepedet public accoutig ad advisory services firms i the atio. Raked amog the top 20, Marcum llp offers the resources of 1,300 professioals, icludig over 160 parters, i 23 offices throughout New York, New Jersey, Massachusetts, Coecticut, Rhode Islad, pesylvaia, Califoria, Florida, Grad Cayma ad Chia. Headquartered i New York City, the Firm's presece rus deep with full-service offices strategically located i major busiess markets. Established i 1951, Marcum is a leader with a outstadig reputatio at the atioal ad regioal levels. Marcum is raked as oe of the largest firms i the New York metropolita area (Crai s New York Busiess), the greater Philadelphia regio (Philadelphia Busiess Joural), the New Eglad regio (Bosto Busiess Joural) ad the Southeast (South Florida Busiess Joural). Marcum offers a extesive rage of professioal services ad a high degree of specializatio. I additio to traditioal accoutig, assurace ad tax, icludig domestic ad iteratioal tax plaig ad preparatio, the Firm s professioal services iclude mergers ad acquisitio plaig, family office services, foresic accoutig, busiess valuatio ad litigatio support. The Firm has developed several iche practice areas servig private equity parterships; hedge fuds; SEC registrats; real estate; govermet, public ad ot-for-profit sectors; maufacturig; costructio; healthcare; ad bakruptcies ad receiverships; as well as a Chia specialty practice. Marcum professioals combie practical kowledge with years of experiece to provide a level of uderstadig ad service that is uique amog professioal service firms. The Firm takes a team approach to every egagemet, esurig the highest degree of techical kowledge, experiece ad uderstadig of curret issues ad regulatory matters. I additio, as a foudig member of The Leadig Edge Alliace, a worldwide group of large, idepedet accoutig practices, the Firm s professioals have added access to a wide rage of idustry ad service specializatio. Marcum is a member of the Marcum Group, a orgaizatio providig a comprehesive rage of professioal services spaig accoutig ad advisory, techology solutios, wealth maagemet, ad executive ad professioal recruitig. The Marcum Group compaies iclude Marcum LLP; Marcum Berstei & Pichuk LLP; MarcumBuchaa Associates LLC; Marcum Crous Parters LLC; Marcum Fiacial Services LLC; Marcum Search LLC; ad Marcum Techology LLC. For more iformatio, visit Page 1

3 Pre-Immigratio U.S. Tax Services A US residet taxpayer is geerally taxed o their worldwide gross icome, whereas a US oresidet taxpayer is geerally taxed oly o their US source icome. A idividual seekig immigratio status will usually be cosidered a US residet taxpayer at the poit they become a lawful permaet residet (i.e. a gree card holder). Worldwide gross icome icludes icome from all sources wherever eared throughout the world. This ca iclude salary, stock optios, iterest ad divideds, capital gais, retal icome, busiess icome, pesios, etc. However, a US residet taxpayer geerally may offset their US tax with a foreig tax credit, which is created whe the taxpayer pays icome taxes o icome eared ad taxed i other coutries. The US idividual icome tax system has a graduated rate structure which begis at 10% ad icreases up to 35% (curretly) of taxable icome. Taxable icome is the taxpayer s gross worldwide icome reduced by various exemptios, certai persoal ad busiess expeses, ad specific types of icome that are cosidered otaxable. Idividuals are required to file a icome tax retur every April 15th, which ca be exteded util October 15th. The idividual self reports their ad their spouse s (if applicable) gross worldwide icome, exemptios, ad certai persoal ad busiess expeses. The tax must be paid i full by April 15th whether or ot the icome tax retur has bee filed or exteded. I certai situatios, the US residet taxpayer must also report their share of icome ad expese from foreig parterships ad corporatios as a attachmet to their idividual icome tax retur. Additioally, the US residet taxpayer must report ay foreig bak accouts over which they have sigature authority or a iterest i the accout aually o Jue 30th. Give the complexities of the US taxatio system, pre-immigratio plaig is of great importace to miimize ay potetial icidece of dual taxatio (for example, situatios where foreig icome is taxed i the US but o foreig tax credit is available to offset that US tax). For may taxpayers, opportuities may exist to restructure assets i order to reduce or miimize taxes o a go-forward basis (post immigratio). Idividual tax plaig Icome recogitio should be accelerated prior to US tax residecy whereas losses should be deferred util after US tax residecy. Expeses should be delayed util after US tax residecy. Obtai relevat tax ID umbers for idividuals ad their family members. Educate the ivestor ad family regardig US tax law. Creatio, implemetatio, ad maagemet of US orgaizatioal structure Create tax efficiet structures that are efficiet ad operatioally feasible. Creatig fiacig structures for iitial ad ogoig operatios. Perform due diligece o ivestmets ad operatios. Assist i formatio of legal etities, bak accouts ad cotractual agreemets. Maage all relevat tax filig requiremets. Reorgaizatio of curret corporate operatios (Foreig/US) Evaluate the tax cosequeces of the curret corporate structure. Restructure operatios for reduced taxatio i US. Restructure operatios for more efficiet tax filigs i US. Maage all relevat tax filig requiremets. Overall corporate operatios Itegrate foreig ad US corporate operatios ito a efficiet ad maageable structure. Evaluate iterplay betwee foreig ad US corporate tax issues i order to reduce the overall worldwide tax expese. Estate Plaig: Aalyze curret worldwide assets i order to determie the most efficiet owership structure. Miimize assets i estate by creatig a asset structure through corporate etities ad/or trusts. Giftig of assets prior to immigratio i order to reduce size of taxable estate. Page 2

4 Pre-Immigratio Tax Plaig Questioaire 1. IDENTIFYING INFORMATION a. Name b. Age/Date of Birth c. Sex d. Citizeship e. Tax Residecy f. US Tax ID Number g. Curret US Immigratio Status/Visa Number h. Curret residece i. If expected to chage, what status are you applyig for? 2. FAMILY/FRIENDS THAT WILL BE COMING TO THE US WITH YOU a. Name b. Age/Date of Birth c. Sex d. Relatioship to you e. Citizeship f. Tax Residecy g. US Tax ID Number h. Curret US Immigratio Status/Visa Number i. If expected to chage, what status are you applyig for? 3. ASSET DETAIL a. Homes i. Locatio ii. Purchase date iii. Fair market value b. Brokerage accouts i. Name of brokerage ii. Locatio of brokerage iii. Type of accout iv. Approximate value v. Are the majority of the assets i the accout i a 1. Loss positio 2. Gai positio 3. Neutral positio c. Bak accouts i. Name of brokerage ii. Locatio of brokerage iii. Type of accout iv. Approximate value v. Does the accout cotai o-cash assets? 1. If yes, what? d. Compaies i. Name ii. Type of etity (i.e. partership, corporatio, foudatio, etc) iii. Owership percetage iv. Locatio(s) v. Pricipal busiess activity vi. Approximate value of owership iterest vii. Whe was the etity formed viii. Please provide a icome statemet ad balace sheet for three prior years ix. Does this etity ow other etities/subsidiaries? 1. If yes, please provide iformatio o the subsidiaries e. Vacatio homes/retals (residetial or commercial)/vacat property/etc i. Locatio ii. Purchase date iii. Purchase price iv. Approximate value v. Descriptio of asset vi. Icome ad expese detail Page 3

5 Source of Fuds ad Path of Fuds Seekig classificatio as a immigrat ivestor uder the employmet based fifth preferece category, also kow as EB-5, carries a evidetiary burde o the ivestor. A itegral part of the submissio for coditioal residecy is that the petitio must demostrate the source ad the path of the fuds used i the ivestmet structure. This report is referred to as the Source of Fuds Report or SOF Report. The EB-5 regulatios require the ivestor to prove that the ivested capital was obtaied through lawful meas. The USCIS (US Citizeship ad Immigratio Services) requires a detailed report (1) showig how the ivestor obtaied the fuds used for the ivestmet ad (2) providig a clearly documeted path of fuds from the origial source to the commercial eterprise s bak accout. For example, lawful sources of fuds are persoal savigs, iheritace, a persoal loa, a gift, or sale of a asset, etc. There is o sigle favored source; however whatever the source, it must be fully supported with as much third party documetatio as possible. A mere declaratio that the fuds were lawfully obtaied will ot suffice. EB-5 ivestors past icome is also a factor used by the USCIS i its evaluatio of the EB-5 ivestor s coditioal residecy petitio. Icome tax records should be submitted for a miimum of five years. I additio to supportig the Source of Fuds Report the EB-5 ivestor s icome tax returs will also assist i provig a patter of icome. A patter of icome helps support situatios where a ivestor may ot have eared a substatial aual icome i recet years but accumulated the fuds over time. A equally importat part of the documetatio process is the path of fuds. This meas that the flow of fuds must be idetified, lawful, ad documeted. The path of fuds will demostrate where the fuds origiated ad how they ultimately arrived i the US ivestmet escrow accout. Retaiig a certified public accoutat, both i the ivestor s home coutry ad i the Uited States, is highly recommeded ad will esure full compliace for reportig purposes. Marcum has the resources available to provide this service to ivestors. Marcum ca assist the EB-5 ivestor i gatherig all of the data ecessary to prepare the Source of Fuds Report. This process will iclude completig a iterview questioaire that will be provided to a local Marcum office or Leadig Edge Affiliate i the ivestor s home coutry. The iterview questioaire will request from the ivestor all the ecessary data required by the US govermet. Marcum will the review this data prior to submissio i order to ascertai its completeess ad accuracy. Marcum will also coordiate with ad assist the ivestor's immigratio attorey to make sure that the immigratio process proceeds as seamlessly as possible. Page 4

6 EB-5 Regioal Ceter Services Assist Regioal Ceter i desig of accoutig system icludig iteral cotrols Accoutig services to ivestors pertaiig to the trasfer of fuds Assist maagemet with compliace applicable to EB-5 Regioal Ceter reportig ad admiistrative requiremets set by USCIS. Assist maagemet with ivestor reports Outsourced accoutig services thru Family office divisio Idepedet CPA firm reportig Moitorig gree card process ad tax effects o U.S. trasactios to ivestors ad EB5 project Iteratioal tax services for ivestors Documetig lawful source of fuds Review of fiacial pro-forma ( budgets ad assumptio ) Page 5

7 David S. Appel is a seior parter i Marcum s Tax & Busiess Services divisio ad Natioal Leader of the Firm s EB-5 Regioal Ceter Services Practice group. With more tha 30 years of multidiscipliary experiece i domestic ad iteratioal taxatio, Mr. Appel focuses his practice o family busiess tax strategy ad cosultig services. He has addressed complex issues of estate, successio ad retiremet plaig [wrog lik], icludig family wealth preservatio ad trasfer to future geeratios. <Is there aythig else that ca be added here?> Mr. Appel heads the Firm s Florida tax cosultig services group ad serves o the Florida Operatios Committee. He is also a member of Marcum s Executive Committee. Mr. Appel was awarded the desigatio of Persoal Fiacial Specialist by the America Istitute of Certified Public Accoutats, i recogitio of his cosiderable experiece i persoal fiacial plaig. A expert i estate tax, iteratioal tax, busiess successio plaig ad family estate plaig, he has preseted o umerous occasios to bakig istitutios ad muicipalities ad at various tax cofereces. He also speaks frequetly o a variety of topics related to the federal EB-5 Regioal Ceter Pilot Program, which was established i 1990 to stimulate the U.S. ecoomy through job creatio ad foreig ivestmet i U.S. commercial eterprises. As Leader of Marcum s EB-5 Regioal Ceter Services practice, Mr. Appel oversees a comprehesive rage of accoutig ad regulatory compliace services for both EB-5 ivestors ad the regioal ceters that admiister fuded projects, icludig maagemet of ivestor reports; documetatio of lawful sources of fuds; desig of accoutig systems ad iteral cotrols; outsourced accoutig services; USCIS compliace reportig; iteratioal ivestor tax services; idepedet CPA firm reportig; fuds trasfer accoutig; review of fiacial pro-forma; ad gree card process ad tax effects moitorig. America Istitute of Certified Public Accoutats (AICPA) AICPA Tax Divisio AICPA Persoal Fiacial Plaig Divisio Florida Istitute of Certified Public Accoutats (FICPA) Estate Plaig Coucil of Greater Miami Tax Strategies for Foreig Ivestmet i US Real Estate, Chiese Ivestmet i the US Real Estate Forum, Jue 2012 Source of Fud Verificatio ad Pre-immigratio Taxatio, Aual EB-5 Fiace ad Ivestmet Forum, March 2012 Tax Issues Associated with Discharge of Idebtedess, Marcum LLP Aual CPE Semiar, Jauary 2012 AICPA Natioal Coferece o Fiacial Plaig AICPA Natioal Coferece o Estate Plaig Family Firm Istitute Natioal Coferece Heckerlig Istitute o Estate Plaig Tax strategies for Foreig Ivestmet, EB-5 Summit for Attoreys ad Developer - February, 2013 Source of Fuds verificatio ad pre-immigratio taxatio Natioal EB-5 Fiace Semiar Tour with Greeberg Traurig - March 2013 Source of Fuds verificatio ad pre-immigratio taxatio EB-5 Ivestmet Summit: Dealmakers Coferece - May 2013 Articles - Eb-5 Isights: How Govermet policy ca provide Private Equity Maagers with a alterative method to raise capital: Marcum Private Ivestmets Forum - March 2013 Source of Fuds verificatio ad pre-immigratio taxatio: 2013 Ivest i America Coferece -March 2013 EB-5 Ivestor Based Immigratio: EB-5 From Start to Fiish PINCUS Professioal Educatio - August Key Parter Award, South Florida Busiess Joural Accoutig-Geeral Wier Estate Plaig Busiess Plaig & Goverace Successio Plaig Family Wealth Plaig EB-5 Plaig & Compliace Reportig Multi-Geeratioal Family Busiess High-Net-Worth Idividuals Agricultural Compaies Broker-Dealers Real Estate Compaies Costructio Compaies Aviatio Compaies Maufacturers Distributors Healthcare Master of Busiess Admiistratio, Nova Southeaster Uiversity Bachelor of Sciece, Accoutig, Uiversity of Florida Bachelor of Sciece, Busiess Admiistratio, Fiace, Uiversity of Florida *Licesed by the State of Florida Page 6

8 Drew Berstei is a CPA ad Co-Maagig Parter of Marcum Berstei & Pichuk LLP. I 1983, Mr. Berstei co-fouded Berstei & Pichuk LLP, ow the maagig member of Marcum Berstei & Pichuk (MarcumBP), a PCAOB-registered accoutig firm headquartered i New York. Mr. Berstei has over 30 years of experiece i retail, maufacturig, hospitality, pharmaceutical, professioal practices, ad real estate. His extesive work has sigificatly cotributed to the growth of the Firm s cliet base abroad. He serves as a accoutat ad busiess advisor worldwide, providig specialized auditig ad accoutig services to public ad opublic compaies throughout the Uited States, Chia, Europe, ad Africa. Servig as director ad chairma of the audit committee of NASDAQad AMEX-listed compaies, Mr. Berstei ad is a frequet speaker at idustry, ivestmet bakig ad uiversity cofereces. He is a active member of the board of directors ad a officer of a prestigious foudatio hoored with the Presidet s Volutary Actio Award by the late Presidet Roald Reaga. America Istitute of Certified Public Accoutats (AICPA) New York State Society of Certified Public Accoutats (NYSSCPA) Natioal Society of Accoutats (NSA) Iteratioal Accoutig Chia Markets Audit & Accoutig for Public ad Private Compaies Global Busiess Advisory Retail Maufacturig Hospitality Pharmaceutical Professioal practices Real estate Bachelor of Sciece Degree Uiversity of Marylad Busiess School *Licesed by the State of New York Page 7

9 Ms. Kou is a maagig director at Marcum Berstei & Pichuk ad speaks fluet Eglish ad Madari with cross-cultural experiece i accoutig, audit ad tax services for public, multiatioal ad o-public compaies. Her expertise spas various idustries, icludig maufacturig, media ad advertisemet, real estate, retailig ad fiace. Ms. Kou has extesive experiece i iteral cotrols ad fiacial audit of high-tech compaies ad etwork/telecom compaies. Ms. Kou worked i the U.S. GAAP audit ad assurace team of Deloitte Touche Tohmatsu as a seior auditor before joiig Marcum Berstei & Pichuk. She has experiece i U.S. public compaies, multiatioal corporatios ad those compaies preparig to go public. Ms. Kou is a CPA i both Chia ad the Uited States. Ms. Kou holds both Bachelor s ad Master s degrees i Ecoomics from Pekig Uiversity, majorig i Fiace ad Risk Maagemet ad Isurace, respectively. She received hoors from Pekig Uiversity ad other academies ad was hoored as OutstadigGraduate. She is also a cadidate for the U.S. Society of Actuaries/Casualty Actuarial Society membership. America Istitute of Certified Public Accoutats (AICPA), Member Chiese Istitute of Certified Public Accoutats (CICPA), Member Iteral Cotrols Fiacial Audit of High-Tech ad Network/Telecom Compaies Maufacturig Media & Advertisemet Real Estate Retailig Fiace Master i Ecoomics, Pekig Uiversity *Licesed i Chia ad the State of New Hampshire Page 8

10 The Leadig Edge Alliace NATIONAL AND INTERNATIONAL RESOURCES The Leadig Edge Alliace Marcum LLP is a member of The Leadig Edge Alliace, a atioal associatio comprised mostly of the largest Top 100 idepedetly owed CPA firms i the coutry. As a member, we ca draw upo the added expertise of a etwork of professioals throughout the Uited States as well as o a worldwide basis. Through The Leadig Edge Alliace, Marcum LLP is able to utilize resources from this etwork of firms, so we ca offer our cliets a wider base of resources. The Leadig Edge firms have offices i more tha 90 coutries with 445 offices ad ca service cliets through a global etwork of idepedet professioal service firms. Before ay firm is admitted as a member of The Leadig Edge Alliace it must udergo a rigorous peer review coducted by parters of other CPA firms. This selectio process allows The Leadig Edge to offer membership to oly the highest quality firms. LEA AFRICA & MIDDLE EAST FIRMS Bahrai Egypt Ghaa Israel Jorda Keya Kuwait Lebao Mauritius Morocco Nigeria Palestie Qatar Saudi Arabia Seegal South Africa Syria Tuisia Uited Arab Emirates Yeme LEA ASIA PACIFIC FIRMS Afghaista Australia Bagladesh Chia (P.R.) Idia Idoesia Japa Malaysia New Zealad Pakista Philippies Sigapore South Korea Sri Laka Taiwa Thailad Vietam LEA EUROPE FIRMS Albaia Austria Azerbaija Belgium Bosia ad Herzegovia Bulgaria Chael Islads Croatia Cyprus Demark Eglad Filad Frace Germay Greece Hugary Irelad Italy Kazakhsta Latvia Luxembourg Macedoia Malta Moldova Moteegro Netherlads Norway Polad Portugal Romaia Russia Federatio Scotlad Serbia Slovakia Spai Swede Switzerlad Turkey Ukraie LEA LATIN AMERICAN FIRMS Argetia Bolivia Brazil Cayma Islads Chile Colombia Costa Rica Domiica Republic Ecuador El Salvador Guatemala Hoduras Mexico Nicaragua Paama Paraguay Peru Uruguay Veezuela LEA NORTH AMERICA FIRMS Caada Uited States Page 9

11 AssurAce Marcum s Assurace divisio professioals provide a tailored audit approach to each egagemet. Team members place a strog emphasis o early plaig ad learig the uique aspects of a cliet s busiess. Doig so esures that each cliet receives a effective, cost-efficiet ad idepedet audit performed i a timely maer. tax & busiess The Tax & Busiess Services divisio is comprised of dedicated professioals who have bee ivolved with umerous complex trasactios at the local, atioal ad iteratioal levels. The divisio offers all forms of regulatory compliace services, plaig ad specializatio i a variety of areas icludig: Advisory Marcum s Advisory Services divisio works with cliets across a broad rage of idustries. The team s skilled professioals use their experiece to help cliets address ad avigate complex busiess ad persoal issues icludig: bakruptcy ad Fiduciary services Isolvecy ad Receivership Trustee, Reorgaizatio ad Fiacial Advisory Services The Assurace divisio works with commercial ad SEC cliets, govermetal ad ot-for-profit etities ad employee retiremet plas. A full rage of services is offered icludig: Agreed-Upo Procedures Attestatio Fiacial Audits Reviews ad Compilatios Breakeve Aalyses Estates, Gifts ad Trusts Family Wealth Plaig Bakruptcy ad Isolvecy Tax State ad Local Taxatio SEC ad Large Corporate Matters Iteratioal Taxatio Real Estate Tax Services IRS Represetatio Foresic ad Litigatio services Foresic Accoutig ad Fraud Assessmet Damage Determiatio ad Expert Testimoy Marital Dissolutio Regulatory Compliace, icludig Bak Secrecy Act ad Taxatio Due Diligece ad Capital Formatio Computer Foresics Busiess Valuatio With parter ivolvemet at every level of service, the Tax & Busiess Services team provides highly persoalized advice ad guidace to a cliet base icludig: Services Sigle Audits Sarbaes-Oxley 404 Compliace Forecasts ad Projectios Iteral Audits Iteral Cotrol Reviews IT Audit ad Advisory Services Public Compay Filigs Strategic ad Operatioal Plaig Trasactio Services High-Net-Worth Idividuals Family Busiess Owers Large Corporatios Iteratioal Busiesses Foreig Natioals Tax Exempt Cliets operatioal ad Process improvemet Busiess Process Improvemet Iteral Cotrols ad Goverace Real Estate Advisory Services Family Office Services Risk Maagemet idustries Marcum s comprehesive services accommodate compaies of all sizes i varied idustries. From start-up through growth, merger or acquisitio to public listig or owership trasitio; Marcum professioals guide busiesses every step of the way. Alterative Ivestmets Chia-based Compaies Commuicatios Costructio Employee Beefit Plas Fiacial Services Govermet Agecies Healthcare Hedge Fuds/Alterative Ivestmets High-Net-Worth Idividuals Hospitality Isurace Maufacturig & Distributio Media & Etertaimet Not-For-Profit Orgaizatios Public Compaies Private Equity Real Estate Retail & Cosumer Products SEC Registrats Software & Techology Page 10

12 Marcum Group a family of orgaizatios providig a comprehesive rage of professioal services icludig accoutig ad advisory, techology solutios, wealth maagemet, ad executive ad professioal recruitig. These orgaizatios iclude: Marcum LLP Marcum Berstei & Pichuk LLP MarcumBuchaa Associates LLC Marcum Crous Parters LLC Marcum Fiacial Services LLC Marcum Search LLC Marcum Techology LLC