The US is the only developed country in the world where your tax duty is based on citizenship rather than where you live or work. This implies that every US citizen (also those with dual nationality) wherever they are born, based or work, has to file US taxes yearly. Whether this implies a tax payment in the US is strongly dependent on your personal situation.

Many countries have treaties with the US to reduce the effects of double taxation for its citizens and companies (Double Tax Avoidance Agreement). This will prevent a person from paying tax twice on for example income from labor (i.e.; both in your home country and the USA).

However, paying taxes in your home country does not necessarily mean that you will not be taxed in the US. In some events, the tax laws differ between the country of residence and the US. What is not taxed in one country can be taxable in the U.S. Example: In your country of residence profit from a sale of a house might not be taxed but in the US it is taxed. This means you would have to pay taxes to the US.

A tax treaty, also if fully applicable, doesn’t dismiss you in any event from your tax-filing obligation.

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