If you’re a U.S. citizen living outside the United States, you might be enjoying the beaches of Bali or the streets of Paris—but don’t forget, Uncle Sam is still watching. One thing that doesn’t change no matter where you live? Taxes.
That’s right—being outside the country doesn’t mean you’re off the hook when it comes to your tax obligations. Here’s what you need to know this tax season if you’re a U.S. citizen abroad.
Obligation
The U.S. tax system is one of the few in the world that taxes based on citizenship, not just residency. So, whether you’re living in Los Angeles or London, if you’re a U.S. citizen (even with dual nationality), you’re still required to file a federal income tax return.
It doesn’t matter if you’ve been away for years or if you earn all your money outside the U.S.—your worldwide income is still fair game for the IRS. This includes wages, business profits, investments, and even pensions earned abroad.
Equality
The IRS doesn’t care where you live—it treats all U.S. citizens equally for tax purposes. Living in Tokyo doesn’t change your status compared to someone living in Texas. If you’re a citizen, you’re subject to the same rules, and that includes the chance to benefit from refunds, deductions, and tax credits, too.
So yes, you might be eligible for a refund, especially if you qualify for tax credits like the Foreign Earned Income Exclusion (FEIE) or the Foreign Tax Credit (FTC). But, and it’s a big one—you have to file to get it.
Compliance
The good news? Not every U.S. citizen abroad needs to file. Whether you do depends on your:
- Income level
- Filing status (single, married, head of household, etc.)
- Age
Still, many people are surprised to learn that even if their income is below the U.S. filing threshold, they may still need to file if they meet other requirements—like owning foreign bank accounts (thanks to FBAR and FATCA reporting).
Deadline
So when do you need to file? Here’s what the IRS says:
| Taxpayer Type | Deadline |
|---|---|
| Calendar Year Filer | April 15 of the following year |
| Fiscal Year Filer | 3 months and 15 days after fiscal year ends |
But here’s the twist: if the deadline falls on a Saturday, Sunday, or holiday, you get until the next business day.
Also, U.S. citizens living abroad automatically get an extra two months to file—until June 15. But, interest starts accruing on any unpaid taxes after April 15, so it’s best not to wait unless you’re 100% sure you owe nothing.
Reminder
Just because you’re soaking up the sun abroad doesn’t mean the IRS will forget about you. File your return, report all your income, and claim any exclusions or credits you’re entitled to. And don’t forget to disclose any foreign financial accounts you hold.
Failing to comply could result in steep penalties—even if you didn’t know you were supposed to file. So don’t take the risk. The rules might seem complicated, but with a little preparation (or help from a tax pro), you can keep everything above board and avoid unwanted surprises.
FAQs
Do I need to file U.S. taxes if I live abroad?
Yes, if you are a U.S. citizen, you must file even if abroad.
Is foreign income taxed by the U.S.?
Yes, all worldwide income is taxable by the IRS.
What is the tax filing deadline abroad?
April 15, with an automatic extension to June 15 for expats.
Can I get a refund while living overseas?
Yes, if you file and qualify for deductions or credits.
What happens if I don’t file taxes abroad?
You may face penalties, interest, or enforcement from the IRS.
