Podcast #5: The burden of US persons overseas
Welcome to episode 5 of the American Overseas Podcast: The burden of US persons overseas
America is the only first-world country in the world that enforces a tax duty on American citizens, wherever they live or work.
I’m Linda Mabelis and in this episode, I am talking about the burden of US persons overseas and the initiatives initiated by the organizations Americans Overseas and American Citizens Abroad in search of sustainable solutions for Americans abroad with Daan Durlacher, experience expert and Marylouise Serrato, executive director of Americans Citizens Abroad.
The subject: The burden of US persons overseas
What burden are we talking about? From American expats to coincidental Americans, they are all facing the same issue: and that is having to deal with citizen based taxation.
Americans Overseas
We, the founders of Americans Overseas, were born in the Netherlands and obtained our American nationality through our (American) mother. When we heard about this for the first time around 2013, we were in total disbelief (it can’t be true!), anger (how can they do this?), fear (am I going to get fined or pick up other problems?), and panic (what should I do?).
It is (unfortunately) true that there is an additional American tax levy. But there’s no information from the local government, and when approached, the consulate referred us to the IRS, and the IRS was impenetrable.
That’s why we started this initiative to help people from all over the world by providing proper information to avoid unnecessary panic and offering help free of obligation and free of charge. If needed, we have a network of affordable professionals (accountants) who can help you with your tax obligations.
If you have more questions about American citizen-based taxation, you can contact us at Americans Overseas.
Frequently asked questions
Understanding the US tax system, the obligations, and all the additional terms can be difficult. Especially if one lives outside of America. Is your question not answered? Contact us.
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Who is required to file taxes in the US?
U.S. citizens and resident aliens who live abroad are generally required to file a federal income tax return and pay taxes on their worldwide income.
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Do US citizens living abroad still have to file taxes in the US?
Yes, US citizens are required to file taxes on their worldwide income, regardless of where they are living.
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How can I cash my US check?
Received an American check? You can cash your check in the following ways: cash the check at your own bank, transfer to another person (endorsement), cash checks using an online service or cash the check by another bank.
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Are there any special tax forms required for US citizens living abroad?
US citizens living abroad may be required to file Form 2555 and/or Form 1116 to claim the foreign-earned income exclusion.
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What is FBAR filing?
FBAR (Foreign Bank Account Report) filing is the requirement for certain U.S. individuals and entities to report their foreign financial accounts to the Financial Crimes Enforcement Network (FinCEN) of the U.S. Department of Treasury. The FBAR filing requirement applies to U.S. persons who have a financial interest in, or signature authority over, one or more foreign financial accounts if the aggregate value of those accounts exceeds $10,000 at any time during the calendar year.
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