05/03/2025
Did you know that the US taxes its citizens on worldwide income, no matter where they live? Whether you’re working abroad, are self-employed, or are receiving investment income, you must file a US tax return if you exceed the IRS income thresholds.
Key things to consider:
✅ Foreign Earned Income Exclusion (FEIE) – Exclude up to $120,000+ from US taxation
✅ Foreign Tax Credit (FTC) – Offset US tax liability with taxes paid abroad
✅ FBAR & FATCA Compliance – Required if your foreign assets exceed reporting thresholds
✅ State Tax Considerations – Some states (e.g., CA, NY) may still tax you
Ignoring your US tax obligations can lead to penalties, but with the right planning, you can reduce double taxation and stay compliant.
📖 Read our full guide for a detailed breakdown and expert insights:
https://bambridgeaccountants.com/tax-for-us-citizens-living-abroad