As an expat, no matter where you live, you still have to file US taxes every year, reporting your total worldwide income. This is because the United States taxes its citizens and its permanent residents (Green Card holders) on a worldwide basis, irrespective of their residence. US filing deadlines are different for Americans living abroad though, and in this article, we aim to give clarity to US tax deadlines for expats in 2024 to help you fulfill your obligations and file on time.
If one lives in the. US, the deadline for filing a federal tax return is April 15th. Expats get an automatic extension though, providing an additional two months to file. For the tax year 2023 (filing in 2024), the filing deadline for US taxpayers living abroad is June 17th, 2024, due to June 15th falling on a Saturday.
Expats must complete Form 1040 to report all of their global income, including both income earned abroad and any income from US sources. Failing to file by the deadline can result in late filing penalties, so, it's essential to gather all necessary documents and information and file your return to avoid any potential repercussions.
Note that when you file, you can claim the Foreign Earned Income Exclusion or the Foreign Tax Credit to reduce your US tax bill. Seek advice from a US expat tax professional for further information and guidance to be sure you minimize your US tax liability.
In common with Americans in the States, expats can request a filing extension if you aren’t ready in time or if you miss the June 15th deadline.
If you require more time to prepare your tax return (this is sometimes necessary to qualify for the Foreign Earned Income Exclusion for example), you can request an extension until October 15th. You can request this extension by submitting Form 4868 online.
It's important to remember that while the extension allows for more time to file, any taxes owed must still be paid by the original April 15th deadline to avoid interest penalties. Therefore, if you anticipate owing taxes, it's advisable to estimate your tax liability and make payments by the April deadline to minimize any potential interest and late payment charges.
In certain circumstances, the IRS may grant an additional extension until December 15th, 2024. However, this extension is at the discretion of the IRS and is typically granted in exceptional cases. December 16th, 2024, (December 15th falls on a Sunday) will be the last deadline for expats filing their US taxes abroad. However, unlike electronic requests, there's no online option available for seeking this extension from the IRS, so you must submit it in writing. We don’t recommend resorting to this option.
Some expats will have to pay US taxes, and so will have to pay estimated amounts quarterly. The most common categories of taxpayers who should consider filing estimated quarterly taxes are:
Estimated tax payments are typically due quarterly. Quarterly payments in 2024 are due on the following dates:
Failure to pay estimated taxes on time can result in penalties and interest charges.
FBAR stands for Foreign Bank Account Report, and it must be filed by US taxpayers who hold foreign accounts with a combined value exceeding $10,000 at any time during the year. FBAR isn't a separate tax form and isn't submitted to the IRS; rather, it's an electronic report filed with the Department of the Treasury using FinCEN Form 114.
The deadline for filing FBAR is April 15th, 2024. However, there is an automatic extension until October 15th, 2024. The great majority of expats will therefore file their FBAR at the same time as their tax return.
Consulting with a tax professional who is experienced in working with expats is invaluable when you’re facing the complexities of filing US taxes while living abroad. Staying informed and proactive is the best way to manage your tax obligations without detracting from your enjoyment of the adventure of living abroad.
If you require assistance with your US expat taxes, get started with Wicklow Expat Tax Services today.
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