Tax residency,
in plain English.
32 terms, each with its own page, cross-linked to in-depth guides and calculators. From abode to Wohnsitz.
183-day rule
The most common tax-residency threshold worldwide: spending more than half a year in a country typically triggers tax residency.
Read definition →Abode (permanent place of)
A dwelling permanently maintained by a taxpayer, suitable for year-round use. Triggers statutory residence in many US states (NY, NJ, MA, CT, PA).
Read definition →Bona Fide Residence Test
An IRS test for the Foreign Earned Income Exclusion: bona fide residence in a foreign country for an uninterrupted tax year.
Read definition →Casa habitación
Mexican tax-residency concept: a home maintained in Mexico that triggers residency, broader than 'principal residence'.
Read definition →Center of vital interests
A tax-treaty tie-breaker step: where your personal and economic ties are stronger when both countries claim you.
Read definition →Closer connection exception
An exception to the US Substantial Presence Test for non-citizens with stronger ties to a foreign country. Filed via Form 8840.
Read definition →Contact period (Ohio)
Ohio-specific residency unit: a portion of two consecutive days during which you were in Ohio overnight.
Read definition →Contemporaneous records
Records created at or near the time of the events they describe. Far more credible to auditors than reconstructions.
Read definition →Convenience of employer rule
A state rule that taxes non-resident remote workers as if their work were performed in the employer's state. Used by NY, NJ, NE, PA, DE, AR, OR, and (in scenarios) CT.
Read definition →Declaration of Domicile
A sworn statement filed with a Florida county clerk declaring Florida as your permanent home. ~$10, dated public record, central to FL domicile defenses.
Read definition →Departure tax (exit tax)
Tax on certain unrealized gains imposed when you cease to be a tax resident. Used by Canada, Australia, France (within EU), Japan, and others.
Read definition →Domicile
Your true, fixed, and permanent home, the place where, when absent, you intend to return. Not the same as residency.
Read definition →FEIE (Foreign Earned Income Exclusion)
An IRS exclusion of up to ~$130K (2026) of foreign earned income for Americans abroad. Requires either Bona Fide Residence or Physical Presence (330-day) qualification.
Read definition →Foyer
French tax-residency concept: the habitual home of you or your family. Triggers French residency without requiring 183 days.
Read definition →Gewöhnlicher Aufenthalt
German tax-residency concept: habitual abode established by 6+ consecutive months of presence in Germany.
Read definition →Habitual abode
A tax-treaty tie-breaker step: the country where you usually live. Decided primarily by day counts.
Read definition →Homestead exemption
A property-tax reduction for owner-occupied primary residences. Filing for it in your new state is part of every domicile-change checklist.
Read definition →Impatriate regime (Italy)
Italian tax break: 50–60% reduction in taxable employment income for qualifying inbound workers, for 5 years (extendable to 10).
Read definition →Lump-sum taxation (forfait fiscal)
Swiss regime that taxes qualifying foreigners on a deemed lifestyle expense rather than actual income.
Read definition →Millionaire's Tax
Massachusetts 4% surtax on personal income over $1 million, effective 2023. On top of the 5% base rate.
Read definition →NHR (Non-Habitual Resident, Portugal)
Portugal's preferential tax regime for inbound residents, offering 10 years of favorable treatment. Closed to new applicants in 2024 but with grandfathering.
Read definition →Ordinary residence (Ireland)
Irish concept: a stickier 3-year residency status. Continues for 3 years after departing Ireland.
Read definition →Physical Presence Test
An IRS test for the FEIE: 330 full days of foreign-country presence during any 12-month period.
Read definition →PPA (Permanent Place of Abode)
Abbreviated form of 'permanent place of abode', a year-round dwelling that triggers statutory residence under New York's 184-day rule.
Read definition →Remittance basis
Tax regime in Ireland and (historically) the UK where foreign income is taxed only when remitted to the country.
Read definition →Schengen Area
A 29-country passport-free zone in Europe. Non-EU citizens can spend at most 90 days in any 180-day rolling window.
Read definition →SPT (Substantial Presence Test)
IRS day-count test for non-citizen US tax residency. 3-year weighted formula: current + 1/3 prior + 1/6 two-years-prior ≥ 183.
Read definition →SRT (UK Statutory Residence Test)
The UK's three-stage residency test: automatic non-resident tests, automatic resident tests, then a sufficient-ties test.
Read definition →Statutory residence
Tax residency triggered by a fixed day-count threshold (often combined with an abode test), independent of domicile.
Read definition →Tax home
Your principal place of business, employment, or post of duty. Required for the closer-connection exception and FEIE qualification.
Read definition →Tie-breaker rule
Tax-treaty provision that decides residency when both countries claim you as a resident under their domestic rules.
Read definition →Wohnsitz
German tax-residency concept: a dwelling maintained in Germany under circumstances suggesting intent to keep using it.
Read definition →