Tax Basics for US Citizens with Foreign Income
Posted on Wednesday, October 7th, 2009
Living in another country and earning money from another country are two tax situations where there is a lot of misunderstanding. If you are a US citizen and you live outside of the United States or if you are a US citizen living in the United States but you earned money from another country, here are some things that you need to know.
A Citizen Owes
Being a citizen of the United States means that all of your income is subject to taxes. It does not matter where you are when you earn that money. And, it does not matter where the person or company is that pays you.
When to File
Citizens who earn foreign income while living in the US have the same filing obligations as a citizen who lives and works in the United States. You must pay any taxes you owe by April 15th if you file by calendar year. If you file by fiscal year, you must pay your taxes 3 months and 15 days after the end of your fiscal year.