International Tax Law FAQs
Q.When returning to the United States as a US citizen from a foreign country, am I subject to any taxes?
- Duty and internal revenue tax are required to be paid on articles acquired abroad. US citizens are allowed to bring back $400 worth of merchandise duty free. If you are returning directly from a Caribbean Basin Economy Recovery Act country, the limited value of duty free merchandise allowed is raised to $600. The next $1,000 worth of items you bring back are dutiable at a flat 10% rate.
Q. If I am a US citizen but have been living outside the United States, must I file a tax return?
- Yes. Just because you have been living outside of the United States, you are not relieved of having to file a tax return. You may, however, be entitled to various deductions, exclusions and credits under the US tax laws, international tax treaties and conventions between the United States and a number of foreign countries.
Q.If I work outside the United States, do I still need to file a tax return?
- A.Yes. Working outside of the United States does not mean that you are exempt from having to file a tax return. You may be entitled to various deductions, exclusions and credits under the US tax laws, international tax treaties and conventions between the United States and other countries.
Q.If I am employed outside of the United States, do I have to report income earned outside the US on my tax return?
- A.US citizens must report their worldwide income on their federal income tax returns. You may be required to pay tax on this income earned abroad.
Q.I am a US citizen living abroad. Where can I find forms, information and instructions for filing my US tax return while in a foreign country?
- A.During the filing period, you can usually obtain the necessary federal income tax forms from the nearest US embassy or Consulate. In addition, the IRS has put together a package of forms and instructions called Publication 776 for US citizens living abroad.