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IRS international inflation adjustments for 2019

The IRS released Rev. Proc. 2018-57 to provide certain international inflation adjustments for 2019. Here is a summary of the adjustments relating to international areas of tax, including the prior year for comparison.

Code sectionDescription20192018
877(a)(2)(A)Expatriation to Avoid Tax: An individual is considered a covered expatriate if the average annual net income tax for the five taxable years ending before the expatriation date exceeds this threshold.$168,000$165,000
877A(a)(1)Tax Responsibilities of Expatriation: The amount that may be excluded from gross income.$725,000$713,000
911(b)(2)(D)(i)Foreign Earned Income Exclusion $105,900$104,100
2523(i)Gift tax exclusion for gifts to a non-citizen spouse$155,000$152,000
6039FNotice of Large Gifts Received from Foreign Persons: Threshold for reporting gifts from certain foreign persons.$16,388$16,111

Please consult your Henry+Horne tax professional for questions or assistance with your international tax needs. This information is general and should not be relied upon.

Jill A. Helm, CPA