Lima tax lawyer
If you are a US citizen living in Lima, a Peruvian national with US-source income, or a business with operations in both countries, you face a dual tax system that can be difficult to navigate alone. Law Offices of SRIS, P.C. is a US law firm founded in 1997 that advises international clients on US federal and state tax obligations. We do not practice Peruvian tax law, but we collaborate with Martín Mayandía, Of Counsel, admitted to practice law in Peru (2009) and not admitted in any US state bar, for Peruvian-law matters.
US tax obligations for clients with ties to Lima, Peru
US citizens and resident aliens are taxed on worldwide income regardless of where they live. A US citizen residing in Lima must still file a US federal income tax return and may need to report foreign bank accounts, foreign corporations, and certain foreign trusts. The Internal Revenue Code imposes these obligations, and the Internal Revenue Service enforces them. At the same time, a Peruvian national who earns US-source income — from a US rental property, a US business, or US investments — may have US filing and withholding requirements even if they never set foot in the United States.
Our firm helps clients in these situations understand what they must report, which forms to file, and how to avoid double taxation through available credits and deductions. We do not provide Peruvian tax advice; for that, we work with Mr. Mayandía, who is licensed in Peru and not admitted in any US state bar. This division ensures that each side of a cross-border tax matter is handled by an attorney admitted in the relevant jurisdiction.
Frequently Asked Questions
Do I need a US tax lawyer if I live in Lima?
Yes, if you are a US citizen or green card holder, you remain subject to US tax filing obligations even while living in Peru. The US taxes its citizens on worldwide income. You may need to file Form 1040, report foreign accounts on FinCEN Form 114 (FBAR), and possibly file Form 8938 under Internal Revenue Code § 6038D. A US tax attorney can help you comply and claim the foreign earned income exclusion or foreign tax credit to reduce double taxation. For guidance on your specific situation, reach Law Offices of SRIS, P.C. at (888) 437-7747.
What if I am a Peruvian citizen with US-source income?
Peruvian citizens who receive US-source income may have US tax filing and withholding obligations. Common examples include rental income from US real estate, dividends from US corporations, or income from a US trade or business. The US generally taxes nonresident aliens only on their US-source income. The applicable withholding rates and filing requirements depend on the type of income and whether the individual is engaged in a US trade or business. Our firm can determine your US tax status and prepare the necessary filings. For a consultation on cross-border tax matters, contact Law Offices of SRIS, P.C. at (888) 437-7747.
How does the firm handle the Peruvian-law side of a tax matter?
For Peruvian tax questions, we collaborate with Martín Mayandía, Of Counsel, who is admitted to practice law in Peru (2009) and not admitted in any US state bar. Mr. Mayandía advises on Peruvian tax obligations, such as the Peruvian income tax on worldwide income for Peruvian residents, the treatment of foreign tax credits under Peruvian law, and any reporting requirements for Peruvian taxpayers with foreign assets. The US-law side remains with Mr. Sris and the US-admitted attorneys of the firm. This structure keeps each jurisdiction’s advice within the proper licensure.
What is the foreign earned income exclusion and can I use it while living in Lima?
The foreign earned income exclusion allows qualifying US citizens and residents to exclude a certain amount of foreign earned income from US taxation. For the current tax year, the exclusion amount is adjusted for inflation. To qualify, you must have a tax home in a foreign country and meet either the bona fide residence test or the physical presence test. Living in Lima can satisfy these tests if you meet the required time periods. The exclusion is claimed on Form 2555. Our firm can evaluate your eligibility and prepare the form. To discuss your situation, reach Law Offices of SRIS, P.C. at (888) 437-7747.
Do I need to report my Peruvian bank accounts to the US?
Yes, if the aggregate value of your foreign financial accounts exceeds $10,000 at any time during the calendar year, you must file an FBAR. The FBAR is filed electronically with FinCEN, not with your tax return. Additionally, if you meet higher thresholds, you may need to file Form 8938 with your US tax return. Failure to file can result in significant penalties. Our firm assists clients with FBAR compliance and can help correct past noncompliance through IRS voluntary disclosure programs. For guidance, contact Law Offices of SRIS, P.C. at (888) 437-7747.
Can the firm help with US business taxes for a company operating in both the US and Peru?
Yes, we advise US businesses with Peruvian operations and Peruvian businesses with US operations on their US tax obligations. This includes entity classification, transfer pricing documentation, withholding on cross-border payments, and compliance with the Internal Revenue Code § 482 rules. For the Peruvian tax side, we work with Mr. Mayandía, who is licensed in Peru and not admitted in any US state bar. The two sides coordinate to develop a tax strategy that respects both countries’ laws.
What is the US tax treatment of a Peruvian corporation owned by a US person?
A Peruvian corporation owned by a US person is generally treated as a controlled foreign corporation (CFC) if the US person owns more than 50% of the stock. The US shareholder may be required to include certain income of the CFC in their US taxable income under Subpart F of the Internal Revenue Code, and may need to file Form 5471. The rules are complex and depend on the type of income and the level of US ownership. Our firm can analyze your structure and advise on compliance. For a consultation, contact Law Offices of SRIS, P.C. at (888) 437-7747.
How are US estate taxes handled for a US citizen living in Lima?
US citizens are subject to US estate tax on their worldwide assets, including property located in Peru. The estate tax applies to the fair market value of all assets at death, with a large exemption amount that is adjusted annually. A US citizen living in Lima must still file a US estate tax return if the gross estate exceeds the filing threshold. Our firm can help with estate planning to minimize US estate tax and coordinate with Peruvian counsel for any Peruvian inheritance or forced heirship issues. For guidance, reach Law Offices of SRIS, P.C. at (888) 437-7747.
Does the firm handle IRS audits for clients with international issues?
Yes, we represent clients in IRS audits, appeals, and collection matters involving international tax issues. This includes audits of foreign income, foreign account reporting, and cross-border transactions. We work to resolve disputes and negotiate with the IRS on your behalf. If the audit involves Peruvian tax records, we coordinate with Mr. Mayandía to obtain and interpret those documents. To discuss an IRS audit, contact Law Offices of SRIS, P.C. at (888) 437-7747.
What should I bring to a consultation about US-Peru tax matters?
Bring copies of your US and Peruvian tax returns for the last three years, any IRS or SUNAT correspondence, and a summary of your assets and income sources in both countries. If you own a business, bring organizational documents and financial statements. The more complete the picture, the better we can assess your US tax obligations and coordinate with Peruvian counsel.
How do I get started with the firm for a cross-border tax matter?
Call (888) 437-7747 to schedule a consultation with Mr. Sris. During the initial discussion, we will identify the US tax issues, determine whether Peruvian-law input is needed, and, if so, engage Mr. Mayandía for the Peruvian side. All consultations are by appointment only. We look forward to assisting you.