Dimov Tax's Playbook: Reporting Foreign Earnings Without Overpaying Uncle Sam

Int'l Business Times

3 days ago

In an age where tax software promises instant refunds and automation tools threaten to replace advisors, George Dimov proves that personal attention, elite expertise, and proactive planning still matter—especially when taxes get complicated.
Dimov is the founder and CEO of Dimov Tax, a fully remote CPA firm with reach across all 50 states and Canada. His client base includes high-earning professionals, freelance entrepreneurs, expatriates, and dual-state filers—individuals with incomes and investments that don't fit within the usual tax filing categories.
His goal? To bring Big Four-level service to people who want responsive support, not a robot. With over 20 years of experience and a team of enrolled agents, tax attorneys, and a Canadian CPA, Dimov has carved out a niche as the go-to tax strategist for people with complex returns, and he's done it while scaling a remote-first company from the ground up.
We recently sat down with Dimov to talk about how he built his firm, what high-earning professionals need to know, and why planning, especially for foreign and multi-state income, is the key to keeping more of what you earn. Finding Flexibility and a Market Gap
Interviewer: George, you've built a firm that serves some of the most complex tax clients in the US. What initially motivated you to take the leap?
George Dimov: "My goal in starting my business was that I was going to make the same amount at least as my regular job in order for me to have the flexibility to be able to spend time... and live a flexible and mostly remote‑based lifestyle."
Dimov launched his firm with a clear benchmark: replace his $125K-plus salary before quitting his day job. It wasn't just about income; it was about testing demand, building cash reserves, and ensuring a smooth transition into a work-from-anywhere lifestyle that mirrors the lives of many of his clients.
Interviewer: Was the market ready for you?
Dimov: "There's such a shortage of accountants that as soon as I opened up my doors as an accountant... I was just packed from day until night."
By recognizing accounting as an underserved profession, especially for people with multi-state, freelance, or international tax needs, Dimov captured a wave of unmet demand. Within weeks of opening, he had hired six employees and was operating out of a Midtown Manhattan office. It was a textbook case of what Dimov calls a "blue ocean opportunity," offering what others could not or would not. Building a Big-Four Skill Set with a Small-Firm Feel
Interviewer: What sets Dimov Tax apart from traditional accounting firms?
Dimov: "We have a Big Four accounting skill set in a small‑town firm environment and culture."
That contrast is intentional. Dimov's firm combines technical precision, often found in national firms, with a boutique-level client experience. Clients aren't routed through call centers or ignored for weeks. Instead, they receive personalized attention with the same technical rigor they'd expect from a top-tier consultancy.
Dimov: "People hire us and then expect things to be like AI... and we're just going to spit it out like a machine. But unfortunately, there's a human element."
He's candid about the realities of tax work: It's not instant, and it shouldn't be. Good tax planning requires collaboration and critical thinking. Setting realistic expectations from the start helps Dimov build trust—and results—in a process that's more art than automation. The Power of Proactive Planning
Interviewer: What's the most critical mindset shift you want your clients to adopt?
Dimov: "The difference between tax preparation and tax planning is huge—tax planning has to be done proactively, rather than retroactively, and the best time to do tax planning is May, June, July."
That window, after tax season but before year-end, is when clients can still make impactful decisions, such as funding retirement accounts, electing S-corp status, adjusting estimated payments, and more. Dimov's team works year-round to help clients fine-tune those moves for maximum savings.
Interviewer: How do you get clients more engaged?
Dimov: "Treat tax preparation and your tax advisor as a collaborative process—you're still responsible for your own taxes, so you do have to review and understand your returns."
By treating clients as partners, not just customers, Dimov inspires financial literacy. He encourages clients to ask questions, check their drafts, and understand the strategies behind their filings. That transparency serves as both a safeguard and an opportunity for making smarter decisions. Relationship-Driven Growth
Interviewer: What's your long-term vision for Dimov Tax?
Dimov: "I want to have long-term relationships with happy clients that use us every year and refer all their friends and family to us."
It's not just a marketing strategy—it's a business philosophy. For Dimov, sustainable growth comes from loyalty, not churn. His goal is to deliver such a high level of service that clients return year after year, bringing others with them.
Interviewer: How do you manage deadlines and volume during the busy season?
Dimov: "If you have your documents ready in February or March, hold your horses—there are 1,000 other people who paid for their returns a month ago, so we'll work in the order you came in."
Dimov is firm about capacity planning. He avoids burnout by setting expectations early. Clients who plan are rewarded; those who delay are queued based on the order in which their submissions are received. It's a system built for fairness and quality control.
Interviewer: One complaint people often have about accountants is communication. How do you address that?
Dimov: "We have a one‑day response‑time requirement embedded in our company culture to ensure clients never get ghosted."
In an industry where unanswered emails can stretch for weeks, that commitment stands out. Even in the off-season, Dimov's team responds within 24 hours. That responsiveness is especially critical for tech professionals, digital nomads, and business owners who can't afford delays. Serving the Complex and the Global
Interviewer: Who do you serve best?
Dimov: "I want to be the de facto firm that people use if they have a complex tax situation and are comfortable working online."
His firm thrives in complexity, serving ex-pats, freelancers with multiple income streams, remote employees relocating mid-year, and families juggling equity compensation and rental properties. Dimov's cross-trained team excels at handling that complexity.
Dimov: "My firm has EAs and tax attorneys across all 50 states—and a Canadian CPA, too—so we handle any US or cross‑border tax issue."
This multidisciplinary structure means clients with foreign income, dual residencies, or multiple business entities don't have to consult separate experts. Everything's integrated under one roof. Negotiating Economic Cycles and Global Tax Codes
Interviewer: You launched during a time of great uncertainty. How has that shaped your approach?
Dimov: "Even during the 2008 crash, I wasn't affected—I hustled at small firms, and demand for accounting never wavered."
Accounting, Dimov notes, is a recession-resilient field. Financial uncertainty often leads to increased demand for advisory services. That reliability gave him the confidence to go all in.
Interviewer: What should American expats living abroad know before filing their taxes?
Dimov: "As a US tax resident, you may be eligible to exclude up to $130,000 in foreign earned income for 2025 by filing Form 2555, provided you: Live and work in a foreign country.
Pass either the Physical Presence Test (330 full days abroad in 12 months) or the Bona Fide Residence Test (a full calendar year of residency in another country)."
Dimov explains that the Foreign Earned Income Exclusion (FEIE) only applies to active income, not to passive income, such as dividends or capital gains. But there's more.
Dimov: "If you pay income tax to a foreign government, you can usually claim a foreign tax credit to reduce your US tax liability. This prevents double taxation on the same income."
His team helps clients decide whether to use the exclusion, the credit, or both, depending on their situation. In high-cost cities, they may also qualify for a housing exclusion if their employer provides rent coverage. The Human Side of Tax Expertise
George Dimov didn't build a tax firm that churns out generic returns. He engineered a firm for the overlooked: professionals with remote jobs, overlapping income streams, or complex equity comp. And he built it with a clear philosophy: serve well, communicate early and often, and plan.
Learn more about George Dimov and his firm at dimovtax.com or connect with him on LinkedIn at linkedin.com/in/georgedimov.