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Old 07-16-2014, 12:02 AM
 
Location: Copenhagen, Denmark
10,930 posts, read 11,717,447 times
Reputation: 13170

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The tax system may baffle you because you will be subject to both Federal and State taxes. Both use graduated scales. Given your income, i think you'll be paying 9.3% in state tax. For Federal income, here are the rates:

Single Filing Status

[Tax Rate Schedule X, Internal Revenue Code section 1(c)]

10% on taxable income from $0 to $9,075, plus
15% on taxable income over $9,075 to $36,900, plus
25% on taxable income over $36,900 to $89,350, plus
28% on taxable income over $89,350 to $186,350, plus
33% on taxable income over $186,350 to $405,100, plus
35% on taxable income over $405,100 to $406,750, plus
39.6% on taxable income over $406,750.

You'll also be paying California sales tax between 7.5%-10% depending on where you live.

Oh, the US taxes you on your world-wide income in each tax year (Jan. 31-Dec1)! If you move during the middle of the year, you will have a somewhat complicated tax situation to figure out. If you also have investments in Germany, and you receive dividends or capital gains on these, you will have to declare these on your US income tax return and use US tax credits to offset your German tax or German tax credits to offset your US tax...on these sources of income. I can give you the name of a good expat tax preparer, later on if you PM me. He knows the US tax code backwards and forwards and has a basic familiarity with many of the European schemes, and he's inexpensive by American standards. Beware of commercial tax preparers in the US, like H&R Block.

About the car. California has very rigid vehicle standard laws. All commercially imported new cars (to California) will meet these standards; so do cars that Americans pick up in DE, drive around, and then have them exported to California. Your car probably does not, i can almost promise you that, based on the experiences of several friends. (I live in Denmark). But you will only find this out when you go to register your car in California!

My advice: sell the German car at home. Buy a new or used car in the US.

On becoming "integrated". You'll have a job. You speak English. I hereby declare you integrated under American standards! While not a German, myself, but rather an immigrant to Denmark from the US, I think you'll find Americans to more friendly and helpful than you perhaps have been led to believe.

Good luck.
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Old 07-16-2014, 12:15 AM
 
Location: Silicon Valley
3,683 posts, read 9,857,373 times
Reputation: 3016
Quote:
Originally Posted by NoMoreSnowForMe View Post
My mother went on a trip to Germany and bought a BMW while she was there and had it shipped back to California. She never said anything about any problems.
She undoubtedly took European delivery of a USA-spec vehicle. All the high-end German automakers have European delivery options, so you can tool around in your new USA-spec car on the Autobahn, before bringing it home to the USA.

Just forget about trying to bring your German-spec Prius into the USA.
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