How To Pay Zero Taxes: Requirements And Restrictions

Would you like to learn how to pay zero taxes? The IRS has confirmed that the number of Americans who are paying zero tax dollars is on the rise because more people are learning about tax deductions that legally available to them.

It’s important to recognize that there are several scams that advertising paying zero taxes. Remember if it sounds too good to be true, it likely is.

All of these methods are legal methods with the IRS stamp of approval:

How to Pay Zero Taxes Method #1 – Tax Exempt Bonds

This method works well for most. It simply requires you to invest in tax exempt bonds, which are a safe financial instrument that can be purchased through your local financial institute. These tax exempt bonds are readily available, and an easy market to enter.

How to Pay Zero Taxes Method #2 – Capital Gains that Are Tax Free

Here’s how to pay zero taxes when you sell your principle home. The government allows you to take $250,000 capital gains tax-free on your principle residence per person. A couple actually has a $500,000 capital gains exemption.

How to Pay Zero Taxes Method #3 – Rental Property

Treating real estate as rental property is popular because it opens up a variety of tax deferral methods for use.

How to Pay Zero Taxes Method #4 – Expatriation

While this method isn’t for everyone it is a workable option for many. You can avoid paying taxes if you give up your US citizenship and relocate to one of the many tax haven countries.

Just moving to another country doesn’t work because the US imposes taxes on your income if you are a US citizen, no matter where you earn it or where you live. The US is the only country in the world that exerts such power over its citizens.

How to Pay Zero Taxes Method #5 – Foreign Income

In our modern hi-tech world many of us could earn our income from anywhere in the world. This method is far less extreme and a workable option for many.

If you move to a foreign country, operate your business in that country, and become a legal citizen, you can make up to $160,000 in income tax free. This is done using tax code section 911, which is the foreign earned income exclusion.

Now that you know how to pay zero taxes you can choose what works for you.
blog comments powered by Disqus