Note: The author is actually a CPA or tax quality. This article is for general information purposes, and might not be construed as tax aid. Readers are strongly encouraged to consult their tax professional regarding their personal tax situation. Example: Mary, an American citizen, is single and lives in Bermuda. She earns an income transfer pricing of $450,000. Part of Mary's income will be subject to U.S. income tax at the 39.6% tax rate. ...