Friday, March 16, 2012

Tax Return -- IRS rate for converting CNY to USD

Ahoy from Amoy (historic Xiamen, China).

It's tax time again, and this time I did not just guess at the official currency exchange rate when trying to figure out how much I'd earned here in Xiamen, China, and how much taxes I'd paid.  I Googled--and found that the IRS has a tax table for the major currencies of the world, going back for several years. In 2016, it is 1USD = 6.489 CNY.

And the IRS' figure worked to my advantage--much better than what I would have guessed the rate would have been.  Though they say that if you were paid throughout the year in the foreign currency, they'll give you a bit of leeway if you do the rate yourself.

Anyway--if you want to know the official internal revenue service currency exchange rate for your tax return, try this link for IRS Yearly Average Currency Exchange Rates!

By the way, whenever I seek IRS info, I get hundreds of links that are not IRS--and they can be quite tricky.  I've found, after decades in Xiamen, that it is safest to go direct to the IRS -- or some firm that is very reputable, such as H&R Block.  Whenever I've been really stuck, I've just phoned (or Skyped) IRS, and found them to be very helpful and patient.  The last one I spoke to told me that frankly, he did not know, but he searched while he had me online--a full 20 minutes, and was extremely helpful.  It was a good reminder for me that, while I might hate the idea of paying taxes, the people that work there are people!

And as a Chinese friend here said to me, the great thing about paying income tax is that you have an income to tax.

With today's economy as it is (30% unemployment in our hometown of Reedley, California), that is certainly the truth.

Enjoy Amoy!


Bill Brown Xiamen University www.amoymagic.com

2 comments:

Unknown said...

Bill, i found your blog on US tax return very helpful. Thanks!

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