As an American expat, balancing your adventurous life with the practicalities of tax season is crucial. As 2025 unfolds, Bright!Tax is here to simplify the US tax process for you. This guide is your essential companion for the 2024 tax season, packed with all the key dates and insights to navigate your tax responsibilities with ease and confidence. Let’s get started.
Everything you need to know about filing for the 2024 tax season
For the sake of clarity, note that the 2024 tax season refers to the taxes you file in 2025.
The tax season is an important part of the year because all American citizens must file their tax returns regardless of where in the world they call home. The same applies to permanent residents, also known as green card holders, and Accidental Americans (those who are unknowingly considered U.S. citizens but may have little or no ties to the United States).
Tax season essentials for Americans Abroad
- Universal Filing Requirement: Remember, all American citizens, including expats, must file their tax returns, irrespective of their global location. Taxpayer Identification Number (TIN): To file your taxes, you’ll need a TIN. For most, this will be your Social Security Number (SSN). This applies to both citizens and permanent residents.
- Special Cases for Non-Citizens and Green Card Holders: If you’re living abroad without US citizenship or a Green Card but are generating income in the US, you might still need to file a tax return. In such cases, the IRS allows the use of an Individual Taxpayer Identification Number (ITIN) instead of an SSN.
Understanding your filing obligations
The starting point of understanding your US tax filing obligations is to determine whether you meet the filing threshold. While some may fall below the required income level to file and technically don’t need to submit an annual return to the IRS, there could be financial benefits to filing regardless, such as claiming a refund of withholdings or other IRS benefits.
US taxpayers seeking to better understand their tax requirements should start with the table below to determine whether they must file. Minimum Filing Threshold for Taxpayers Younger Than 65
Tax Year | Single | Married Filing Separately | Married Filing Jointly | Head of Household |
2024 | $14,600 | $5 | $29,200 | $21,900 |
2023 | $13,850 | $5 | $27,700 | $20,800 |
2022 | $12,950 | $5 | $25,900 | $19,400 |
Minimum Filing Threshold for Taxpayers 65 And Older
Tax Year | Single | Married Filing Separately | Married Filing Jointly | Head of Household |
2024 | $16,550 | $5 | $30,750 for one spouse $32,300 for both spouses | $23,850 |
2023 | $15,650 | $5 | $30,700 | $22,600 |
2022 | $14,700 | $5 | $28,700 | $21,150 |
Note: The tax filing requirement for self-employed individuals is much lower, starting at just $600 of gross earnings. If you are self-employed or run a small business, it’s best to check with a tax professional to better understand your requirements.
Tax Filing in 2025: When the Season Begins
As an American living abroad, it can sometimes feel like tax season goes all year round. The IRS typically starts processing returns in late January, though the exact date varies each year. For 2025, mark your calendar: the IRS will begin accepting tax returns on Monday, January 27, 2025.
Keeping an eye on IRS announcements ensures you’re ready to file at the earliest opportunity.
2025 US Tax Filing Deadline
The primary deadline for filing and paying your 2024 taxes as an individual taxpayer is Monday, April 15, 2025. It’s essential to gather tax documents and information well in advance of this date, ensuring a smooth filing process.
Extensions for American Expats
American expats and Green Card holders benefit from additional flexibility with extended tax-filing deadlines:
- Two-Month Extension: An automatic extension for expats (defined as those who live abroad on April 15th) extends the filing deadline to June 17, 2025. This extension is applied automatically, requiring no additional forms or requests beyond a statement on your tax return.
- Automatic Extension: If you need more time beyond June 17, you can request a second extension using IRS Form 4868. This extends your filing deadline to October 15, 2025.
- Final Expat Extension: In certain situations, a further extension to December 15, 2025, may be available, ensuring you have ample time to file without penalties.
Understanding Tax Payment Due Dates
It’s important to note that while extensions delay the filing deadline, they do not extend the payment due date. For instance, as an individual taxpayer, any taxes owed must still be paid by April 15, 2025, to avoid interest, even if you’ve obtained an extension for filing. The two month expat extension does delay failure-to-pay penalties until June 15th, but to achieve maximum tax savings, we recommend paying your tax due by April 15th.
Navigating 2025 Estimated Payments
For taxpayers who expect to owe more than $1,000 to the IRS, you are expected to pay taxes on your income as you earn it throughout the year in the form of estimated payments. For expats,it’s crucial to remember that US income taxes typically are not automatically withheld from your pay. To avoid penalties and interest, it’s wise to stay ahead of your tax obligations rather than waiting until the April 15th due date.
If you’re self-employed, run a business, or have additional income like a side hustle, and anticipate owing at least $1,000 in taxes for 2025, you’ll need to make quarterly estimated tax payments. These payments are due on the following dates:
- April 15, 2025
- June 17, 2025
- September 15, 2025
- January 15, 2026
Staying on top of these deadlines ensures compliance and helps you avoid a big tax bill at tax time.
Business tax deadlines in 2025: Plan ahead based on your business type
As you navigate 2025, business owners and entrepreneurs must be aware of the key tax deadlines specific to their business structure. Staying informed helps ensure timely filings and avoids last-minute rushes.
Here’s a quick guide to the 2025 business tax deadlines based on your business type:
- S corporations: March 17, 2025
- Partnerships: March 17, 2025
- Multi-member LLCs: March 17, 2025
- Sole proprietorships: April 15, 2025
- C corporations: April 15, 2025
- Single-member LLCs: April 15, 2025
Each business structure comes with unique tax obligations and filing requirements. Meeting these deadlines is crucial for maintaining compliance and optimizing your financial strategy.
FBAR and FATCA: Other 2025 Expat Tax Deadlines
As a US expat, staying on top of your tax obligations means understanding a variety of critical forms and requirements. Two of the most important are the FBAR and FATCA, each with its own set of rules and deadlines.
Let’s break these down to ensure you’re fully prepared for the 2025 tax season.
FBAR 2025 filing deadline: Reporting foreign bank accounts
- What is the FBAR? The Foreign Bank Account Report (FBAR) is a mandatory disclosure for Americans who have over $10,000 in foreign financial accounts at any point during the year. This electronic filing is straightforward but essential for compliance as it attracts steep penalties of $10,000 or more.
- FBAR Deadline: The primary deadline for FBAR filing is April 15, 2025. However, there’s an automatic extension to October 15, 2025, meaning you can submit your report by this later date without any additional paperwork.
FATCA 2025 reporting deadline: Disclosing offshore financial assets
- Understanding FATCA: The Foreign Account Tax Compliance Act (FATCA) requires US expats with significant offshore financial assets to report them. This is part of the broader effort to prevent tax evasion and ensure transparency.
- FATCA Reporting Threshold: If your offshore financial assets are valued at $200,000 or more, you’ll need to report them using Form 8938, filed along with your federal tax return.
- FATCA Deadline: The deadline for FATCA reporting aligns with your federal tax return. For the 2024 tax season, this falls on June 17, 2025.
Late Tax Filings and Catching Up In 2025: Solutions and Support
Missed the 2025 tax filing deadline or playing catch-up with your tax obligations? Don’t worry, there’s a solution.
The IRS offers the Streamlined Procedures, a penalty-free way to file your returns, especially helpful if your delay wasn’t intentional. This program is designed to bring you back into compliance without undue stress.
The Long-Term Benefits of Staying Tax Compliant
Consistently filing your taxes and maintaining compliance is more than just fulfilling a legal obligation; it’s an investment in your financial confidence. While the US tax system may seem to operate on a ‘voluntary’ basis, the reality is that non-compliance can lead to significant financial and legal consequences. Regular filing is key to avoiding these complications and ensuring a smooth expat experience.