Where Form 8865 Expat 2023-2024

Wherever in the world you live, if you're a US citizen or green card holder and you earn over $10,000 or just four hundred dollars of yourself employed, you're required to file a US federal tax return. - Any taxes that need to be paid are due by April 15th, just like in the US. However, the filing deadline for expats is June 15th, with a further extension available until October 15th. - Additionally, if you have over $10,000 in total and accounts outside the US at any time during the year, you need to file Form 114, also known as an FBAR (Foreign Bank Account Report). - The Foreign Account Tax Compliance Act (FATCA) also requires you to attach Form 8938 to your annual return if you have foreign assets worth over $200,000, excluding your home if it's owned in your name. - Now, let's look at some of the best US expat tax-saving strategies. - The Foreign Earned Income Exclusion (FEIE) allows you to exclude around $100,000 of foreign earned income from US tax liability. This benefit can be claimed using Form 2555 and is often utilized by most Americans living overseas. - Another strategy is the Foreign Tax Credit, which prevents you from paying taxes twice on your foreign income by allowing you to claim a $1 credit for every dollar of tax you've already paid in your country of residence. This credit can be claimed alongside the FEIE, although sometimes it's more advantageous to claim just one. - If you're renting your home abroad, you can claim housing expenses, including rent, utility bills, insurance, and parking, as deductions, typically up to a maximum value of 30% of the FEIE. - Thank you for watching! At Brett Tax, we proudly serve clients in over 150 countries, and...