U.S. Tax Center
U.S. Taxes for Americans Living Abroad
Understand your filing obligations, the FEIE, foreign accounts, and the forms you may encounter — without the jargon.
This information is not tax advice.
Do Americans still pay U.S. taxes overseas?
Yes — generally. The United States taxes its citizens and resident aliens on worldwide income, regardless of where they live. Moving abroad does not, by itself, end your U.S. filing obligation.
However, several provisions can reduce or eliminate double taxation:
- Foreign Earned Income Exclusion (FEIE) — excludes a set amount of foreign-earned income (indexed annually).
- Foreign Tax Credit (FTC) — credits U.S. tax for income taxes paid to a foreign country.
- Foreign Housing Exclusion/Deduction — addresses certain foreign housing costs for qualifying individuals.
- Tax treaties — may resolve specific residency and sourcing questions.
Key concepts to understand: tax home, the Physical Presence Test, the Bona Fide Residence Test, self-employment tax (which the FEIE does not cover), estimated taxes, and state tax residency/domicile.
FEIE educational checklist
Answer the questions to surface potentially relevant U.S. tax considerations. This is an educational tool — not a personalized legal or tax conclusion.
U.S. citizen or resident alien?
Do you have a foreign tax home?
Income type
Foreign income tax paid?
0 / 330 days — 0%
Potentially relevant U.S. tax considerations
Answer the questions above to see considerations. This is not tax advice.
Educational only. Verify with the IRS and a qualified tax professional.
The 330-day physical presence test
One way to qualify for the FEIE is the Physical Presence Test: being present in a foreign country or countries for at least 330 full days during any consecutive 12-month period.
A 365-day window — 330 foreign days required
A "full day" is a 24-hour period. Partial days in the U.S. (e.g., travel days) generally do not count. The 12-month period can be any consecutive 12 months — it does not have to be a calendar year.
Meeting the physical-presence test does not by itself determine every tax issue. Self-employment tax, state residency, and foreign account reporting may still apply.
Foreign bank accounts: FBAR & FATCA
If you have foreign financial accounts, you may have reporting obligations — even if no tax is owed.
- FBAR (FinCEN Form 114) — filed electronically with FinCEN if the aggregate maximum value of foreign accounts exceeds $10,000 at any time during the year.
- Form 8938 — filed with your IRS return if specified foreign asset thresholds are met (thresholds are higher and vary by filing status and residency).
- FATCA — a U.S. law requiring foreign financial institutions to report on U.S. account holders; it affects how your accounts are treated abroad.
Having a foreign bank account is not automatically illegal or a tax problem.
Reporting requirements may apply. The key is disclosure — file the correct forms on time when thresholds are met.
FBAR (FinCEN 114)
Form 8938
Filed with FinCEN (not the IRS return). Threshold: aggregate foreign accounts > $10,000.
Filed with your IRS tax return. Higher thresholds; covers specified foreign financial assets.
Tax forms library
What each form is, who may encounter it, and the official source.
Form 1040
U.S. individual income tax return — the base filing for U.S. citizens and residents.
Who: All U.S. taxpayers above the filing threshold.
Official sourceForm 2555
Foreign Earned Income Exclusion — excludes a portion of foreign-earned income from U.S. tax.
Who: Qualifying expats meeting the physical presence or bona fide residence test.
Official sourceForm 1116
Foreign Tax Credit — credits U.S. tax for income taxes paid to a foreign country.
Who: Expats who paid foreign income tax and don't (or can't fully) use the FEIE.
Official sourceForm 8938
Statement of Specified Foreign Financial Assets — reports certain foreign assets.
Who: Taxpayers exceeding specified asset thresholds.
Official sourceFinCEN Form 114 (FBAR)
Report of Foreign Bank and Financial Accounts.
Who: Anyone with foreign accounts aggregating over $10,000 at any time in the year.
Official sourceForm 8822
Change of Address — notifies the IRS of a mailing address change.
Who: Anyone whose address of record with the IRS has changed.
Official sourceForm 4868
Application for Automatic Extension of Time to File.
Who: Taxpayers needing extra time to file (extension to file, not to pay).
Official sourceFind a CPA or tax professional
Understand the credentials, then use the IRS directory to find one.
CPA
Certified Public Accountant — licensed by a state board; can represent taxpayers before the IRS and prepare/audit financials.
Enrolled Agent (EA)
Federally licensed by the IRS; specializes in taxation and can represent taxpayers before the IRS nationwide.
Tax Attorney
Attorney specializing in tax law; best for complex legal, controversy, or structuring matters.
Tax Preparer
May hold credentials (e.g., AFSP) or be uncredentialed; check the IRS directory for qualifications.
IRS Directory of Federal Tax Return Preparers
Filter by credential (CPA, Enrolled Agent, Attorney), state, and ZIP code.
Open IRS DirectoryQuestions to ask your CPA
Interview at least two professionals before choosing one.
Educational use only: Verify with official agencies & qualified professionals. Not legal, tax, financial, or immigration advice.