When your remote employer says "you can't move abroad due to taxes," they're giving you corporate policy disguised as legal constraint. There's a difference between "we don't allow this" and "this is illegal." Most companies conflate the two hoping you won't research further. What companies actually mean: "We haven't set up systems to handle international remote workers" = easier to say no than adapt payroll/HR processes. "We don't want the administrative complexity" = your request creates work for legal/HR departments who'd rather maintain status quo. "We're risk-averse about anything international" = unfamiliar territory feels legally risky even when it's not. None of these are "it's illegal." All are "we don't want to figure it out." The actual legal reality: 79 countries explicitly allow Americans to work remotely for US companies while living in that country through remote work/digital nomad visas. US tax law doesn't prohibit working for US company while living abroad—you file US taxes as American citizen regardless of location, claim Foreign Earned Income Exclusion after qualifying period, handle local tax obligations in host country. Your employer's US tax obligations don't change based on where you physically sit while working—they withhold and report same as if you're in different US state. Why companies resist despite legality: Perceived complexity (international feels scarier than interstate even though process is similar). HR/legal departments unfamiliar with digital nomad visas and international remote work (lack of knowledge, not legal prohibition). Concern about "permanent establishment" creating tax presence in foreign country (legitimate for some situations, not applicable to individual remote workers on personal visas). General corporate risk aversion to anything outside established processes. The permanent establishment myth: Companies worry: employee living in Country X creates corporate tax obligation in Country X. Reality: Individual employee on tourist/digital nomad/remote work visa doesn't create permanent establishment. You're not conducting business FOR the company IN that country, you're working remotely FROM that country. What's actually required from employer: For most digital nomad/remote work visa situations: literally nothing. You handle visa application, tax filing, local registration. Employer continues paying you to US account, withholding US taxes as before. Some countries require: confirmation letter from employer stating you work remotely. That's it. Not payroll changes, not tax changes, just letter. How to approach your employer: Research which country's remote work visa you want. Find official government documentation of visa requirements. Identify if employer letter needed (most require this). Present to employer: "I'm applying for [country]'s remote work visa which allows me to work for you from there. Here's the official visa requirements. I need confirmation letter stating I work remotely. No other changes required from company." Emphasize: no payroll changes needed, no tax obligation changes for them, you handle all visa/tax filing yourself, they continue business as usual. If they still refuse: You've proven it's not illegal. They're choosing policy over law. That's their right as employer, but you now know: constraint is their preference, not legal impossibility. Then decide: accept their policy and stay employed but US-based, find new remote employer open to international workers (many exist now), go freelance and work for multiple clients instead of one employer. The freelance alternative: If employer won't allow international remote work, freelancing solves this: no employer to deny permission, you control where you work from, clients don't care about your location (just deliverables), qualify for same remote work visas. Has your employer used "taxes" as excuse without proving illegality? 🆘🇺🇸
@nomadveronicaTranscript
A lot of companies create rules internally and blame them on external forces such as taxes. Now we hear this a lot when it comes to these remote jobs where companies are telling their employees that they can't move abroad because of taxes. But here's a situation, a long time ago, pre-COVID, maybe 10 years ago, there didn't use to be things like remote income visas, and countries, both the United States and foreign countries, would require companies to set up an international entity in order to have an employee exist in another country. But that's all gone. That's not a thing anymore. If you have a job that can be done remotely and you're currently doing it remotely, let's say you're sitting in your home office in Michigan and you're currently a resident of Michigan. You are paying Michigan taxes, you're paying federal taxes, your employer is doing all the tax things that they are legally obligated to do. All you have to do in order to move abroad is simply get a visa, a broad that allows you to move abroad. The company doesn't change anything. You change what you're doing. In terms of your filing, you will file differently. As soon as you hit your first year out of the country, you'll be able to get tax credits for the fact that you're outside of the country. But your employer doesn't do anything differently. They just pretend like you're still there in Michigan. And you have gotten a foreign government to agree, you've self-sponsored to go live in that country. It has nothing to do with your employer. Your employer doesn't need to sponsor you, your employer just has to keep paying you and let you do your job from wherever you happen to be while you're doing your job. You can just call it an extended vacation, but they don't have to do anything different. So this whole them blaming the fact that you can't go international on the taxes is ludicrous because they don't have to change literally anything. You are still employed, your permanent address, if you will, is still there in Michigan. And if they require you to go ahead and get an actual physical address, if you decide to sell your house or stop renting or what have you, then go ahead and do that. Use a virtual mailbox service and get a Michigan address so that you can continue to have your permanent address be in Michigan. But that's where your voter registration is. That's where your driver's license is from. That's where you're employed out of. But nope, you just actually happen to be over there in Vietnam because that's where you've self-sponsored yourself with that remote income. So anyways, it is not because of taxes that they're saying that it's because of an internal rule that they've decided on, that they just don't want you to, and they're blaming it on taxes. It's just not the case. They've just decided.
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