If you have taken a job in another country, or have moved for other reasons, it can be tricky to navigate taxes. If you would be required to file taxes in the United States, you will be expected to file them while out of the country. Patriots Tax & Accounting in Fredericksburg, VA has several years of experience working with expatriate taxes and will ensure you file the correct forms at the correct time.
When do I Need to File my Expat Tax Return?
If you are a U.S. citizen or resident and both your tax home and your abode are outside the United States and Puerto Rico on the regular due date of your tax return, you are automatically granted an extension (usually to June 15) to file your return and pay any tax due.
Filing for an additional extension may be a good idea. You may benefit if, on the due date for filing, you have not yet met either the bona fide residence test or the physical presence test, but you expect to qualify after the automatic extension discussed above and you have no tax liability.
Am I Required to Make Estimated Tax Payments?
If you are working abroad for a foreign employer, they might not be withholding all your taxes. This means that when it comes time to file with the IRS, there may be some extra payments due if those withheld amounts were never taken out of your gross pay.
Form 1040 ES, Estimated Tax for Individuals, is used to estimate your tax. The requirements for filing and paying estimated tax are typically the same as those you would follow if you were living in the United States. If your tax year is the calendar year, the due date for filing your income tax return is usually April 15 of the following year.
Expat Tax Services and Forms
Hiring a professional accountant to answer all your questions, ask you the right questions, and file all appropriate forms is recommended. Our expatriate tax services include a full review and filing of all necessary forms to include, but not limited to the following:
- Form 1040 (U.S. Individual Income Tax Return)
- Form 2555 (Foreign Earned Income Exclusion and Housing Deduction)
- Form 1116 (Foreign Tax Credit)