I'm a US citizen, but I'm a permanent resident of Japan. As such, I must report my worldwide income to BOTH countries for taxation. I have tried and tried to find clear, simple written explanations of which country I should pay income tax to first for certain forms of income, and which country will grant me a tax credit. And if I ask around, I get conflicting answers. Why does this have to be so confusing?
Q: Which country has to allow for a tax credit?
Could someone please give me a clear, simple answer for each the following:
1. US Social Security Retirement Benefits
2. Japanese Pension (Nenkin) Retirement Benefits
3. US-source Bank Interest
4. Japanese-source Bank Interest
5. US-source Dividends from Stock or Mutual Funds
6. US-source Capital Gains Distributions from Mutual Funds
7. US-source After-tax Retirement Annuity (ATRA) Income
8. US-source Government (Federal or State) Pension Income
9. US-source IRA and 401k Income
I'd really appreciate answers, and I'm sure they'd be helpful to others, as well.
Thank you.
