MAY 28, 2024
The U.S. Flag flys above the International Revenue Service headquarters building on January 3, 2024, in Washington, D.C. The agency reminded Americans and permanent residents leaving abroad that their taxes were due on June 17. – J. David Ake/Getty Images
The U.S. Internal Revenue Service (IRS) on Tuesday reminded Americans and permanent residents living abroad that the deadline to file their taxes is in a few weeks, according to a statement from the agency.
“The Internal Revenue Service reminds taxpayers living and working outside the United States to file their 2023 federal income tax return by Monday, June 17,” the IRS said. “This deadline applies to both U.S. citizens and resident aliens abroad, including those with dual citizenship.”
This year’s deadline to file taxes was April 15 but in some states it was extended to April17 due to holidays in those areas. But taxpayers who are based outside the country typically get a two-month extension.
To qualify for this exemption, you must be “living outside of the United States and Puerto Rico and their main place of business or post of duty is outside the United States and Puerto Rico [or] are serving in the military outside the U.S. and Puerto Rico on the regular due date of their tax return,” according to the IRS.
“To use the automatic two-month extension, taxpayers must attach a statement to their tax return explaining which of the two situations listed earlier applies.”
The agency also said that a six-month extension may be requested for a variety of reasons, including for those “who need an extension of more than six months to meet either the bona fide residence or the physical presence test to qualify for the foreign earned income exclusion or to exclude or deduct the foreign housing costs.”
“Members of the military stationed abroad or in a combat zone during tax filing season may qualify for an additional extension of at least 180 days to file and pay taxes,” the IRS said. “Spouses of individuals who served in a combat zone or contingency operation are generally entitled to the same deadline extensions with some exceptions.”
The agency also noted that taxpayers abroad may qualify for some tax credits.
“Many taxpayers living outside the U.S. qualify for tax benefits, such as the Foreign Earned Income Exclusion and the Foreign Tax Credit, but they are available only if a U.S. return is filed,” the agency added.
Foreign-earned income is also taxable, the agency said, and needs to be reported in U.S. dollars.
“U.S. citizens or resident aliens’ world-wide income is generally subject to U.S. income tax, including income from foreign trusts and foreign bank and securities accounts,” the IRS said. “Any income received or deductible expenses paid in foreign currency must be reported on a U.S. tax return in U.S. dollars. Likewise, any tax payments must be made in U.S. dollars.”
Courtesy: Newsweek
