Do I have to file tax returns during my retirement abroad?

2 min

What happens with my tax filing obligations when I decide to settle outside of the United States during my retirement? Do I have to file tax returns during my retirement abroad? Yes, you certainly do. Among the various things you will have to remember when planning your retirement abroad, there is the yearly tax filing with the IRS. When you leave the United States to live abroad you still have the US tax obligation. This obligation remains even if you don’t have any assets in the United States anymore.

Remember that during your retirement abroad you also must fulfill any tax obligations of the country of your residence. Many countries have tax treaties with the United States that prevent double taxation. These double taxation treaties describe taxes that are and aren’t credible. However, these treaties generally do not exempt US citizens from their obligation to file a tax return.

Please note that income that is not taxed in your country of residence might be taxed in the US. This means you would unfortunately still need to pay the US tax.

I wasn’t born in the US, nor have I ever lived, worked, or visited the US. Do I still have to file taxes after my retirement?

Yes, you do if you are considered American. You have to file taxes, based purely on your American citizenship. Whether filing will result in you paying actual taxes in the US depends on personal circumstances and double taxation treaties made with the country in which you live and or work. Not filing taxes in the US is a criminal offense. We therefore advise you to have your personal retirement situation screened by one of our Tax Advisor Partners.

Questions about retiring America and American tax obligations?

Two dual nationals living abroad founded Americans Overseas. In the costly and exhausting process of finding the right experts, they realized they had not only accumulated a mountain of knowledge but also built up a solid network of tax and legal experts. This could be of great benefit to others in similar situations. Americans Overseas informs and connects US persons to a select network of specialized US tax consultants to help them avoid double taxation and become compliant. Do you need more information about the American tax obligations during your retirement abroad/retiring America? Do not hesitate to contact us.


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