American expats living abroad have plenty of career choices. Some of them prefer to work for an employer and have a steady paycheck. Others might venture and start their own businesses. Owning a foreign corporation (FC) is rewarding and challenging. Moreover, it is accompanied by additional US expat tax requirements....
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Expat Guide
What is Foreign Earned Income Exclusion
Citizenship-based taxation is the foundation of US tax system. Consequently, US citizens and resident aliens of the United States are taxed on their worldwide income even if they live abroad. However, Americans living abroad can exclude from their income a certain amount of foreign earnings by utilizing the foreign income...
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State Return Tax Requirements for Expats
Americans living abroad have to file US expatriate tax returns annually if they meet the US tax filing rules. Many American expats move overseas and believe that state return tax requirements do not apply to them. However, US expats must be aware that some states will come after Americans living...
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1116 Form Instructions
Form 1116 is another important US tax form for American expats as well as other US taxpayers with foreign income. Earlier we discussed form 2555. Americans living abroad can claim the foreign earned income exclusion and foreign housing exclusion if they meet either the physical presence test or bona fide...
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IRS Form 2555 Requirements
Form 2555 is one of the major US tax forms for American expats. Americans living abroad are subject to US expat tax filing requirements and have to report their worldwide income. However, US expats can file IRS forms 2555 or 2555 EZ to claim the foreign income exclusion and foreign...
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