If you’re a U.S. citizen living or working abroad, you still must file a federal individual income tax return. Generally, IRS rules for filing income, estate and gift tax returns and paying estimated tax are the same for those residing abroad as for those in the United States. The United States taxes its citizens on their income, no matter where it’s earned or received. Double taxation can often result because the country where the U.S. citizen lives or works also typically taxes the income. Fortunately, these three tax provisions can help: 1) the foreign earned income exclusion, 2) the foreign housing exclusion or deduction, and 3) the foreign tax credit. Contact us for more details. © 2024