02/24/2020
Of the over 9 million Americans living overseas, many still aren’t aware that they have to file US taxes, despite living abroad, and reporting their worldwide income. The IRS has several amnesty programs available for these expats, depending on their circumstances. Two of the most important of these are the Voluntary Disclosure Practice, and the […]
02/20/2020
The majority of Americans use tax software to file their US taxes. In the light of this, it’s strange that the IRS has been changing Form 1040 over the last couple of years, as very few people use it. Instead, the majority either employ a tax preparer, who uses software, or they input their information […]
02/17/2020
One of President Trump’s central election pledges in 2016 was to cut taxes. The result was the signing into law in 2017 of the Tax Cuts and Jobs Act, more often referred to as the Trump Tax Reform. The Act didn’t just cut income and corporate taxes though, it also created some new ones, notably […]
02/13/2020
Americans who move abroad have to continue filing US taxes on their global income. This is because the US taxes all US citizens (and green card holders), wherever they live – including abroad. Most other countries only tax their residents on their worldwide income, or only tax income arising within the country, regardless where the […]
02/10/2020
There are an estimated nine million Americans living overseas, and all of them who earn over $12,200 (in 2019, globally), or just $400 of self-employment income, are required to file a US federal tax return. When they file, expats have to file additional IRS forms to reduce their US tax bill, such as Form 2555 […]
02/06/2020
The US tax system is different compared to other countries, as it requires expats to file US taxes from abroad, reporting their worldwide income, even if they file foreign taxes too. Expats often also have additional reporting requirements that Americans living in the states don’t, such as the requirement to report their foreign bank and […]
02/03/2020
All Americans are required to file US taxes reporting their worldwide income, even if they live abroad. The IRS has provided a number of exemptions, notably the Foreign Earned Income Exclusion and the Foreign Tax Credit, that US expats can claim when they file that for most people mean they won’t end up paying any […]
01/30/2020
All Americans have to file US taxes, reporting their global income. Expat Americans also often have to file additional reporting forms. Many expats aren’t aware though what exactly these additional reporting requirements involve, and in particular the difference between FBAR and FATCA reporting, or Form 114 vs 8938. In this article we’ll attempt to alleviate […]
01/27/2020
2020 US tax filing season has officially begun. As of today, the IRS is now accepting returns for the 2019 tax year. For Americans in the states, the 2020 filing deadline is Wednesday April 15th, and while expats receive an automatic 2 month extension until Monday June 15th, they still have to pay any tax […]
01/24/2020
Good news for American expat small business owners: US tax attorney Monte Silver has won a significant milestone in his lawsuit against the IRS over it’s application of the new Transition Tax (part of the recent Tax Reform, and often referred to as the Apple Tax) to small businesses. Background – Tax Reform and Unintended […]