Are You Obligated to Pay US Taxes for Income Earned Abroad?
Working in other countries is one of the best ways for you to earn a good amount of money while at the same time explore some cultures you are interested in.
For most Americans, this might sound like a good idea but then they have some tax obligations that can be all too confusing and complicated on their part. What is the amount of money you owe from foreign income? Will earning some income at home be the same in tax conditions as this? Should you be paying taxes for two countries?
When you have plans of working in another country and you want to get more info. about paying for your US taxes with your foreign income, this site will help you out; so, click here for more.
IRS policy understood
To make things clearer, yes, you are most definitely going to pay your taxes as an American when you earn some foreign income. According to the government of the US, all citizens are required to account for the earnings that they have no matter the place where they have made such income. You can view here for more of this explanation.
Basically, as a US citizen, when you earn more than $10,350 and $20,700 if you are filing alone or filing jointly if you are married, respectively, you must file a yearly tax return. When the citizen will not be able to declare the exact amount of money that they earn, they can be facing serious penalties for doing so. For overseas employees, this is something that has been found to be all too common happening to them. To get more info. about this, check it out!
This company you call the IRS will always look for ways in which they can really gather the truth behind the income from foreign countries that some employers are not telling them at all. Always remember that you will come to face to face with very serious consequences if you are not going to be all out in declaring what your foreign investments and earnings are.
What tax filing entails
If you are working overseas, one of the best parts about it when you file your taxes is that you will be given an extension of two months on the declared tax deadline. But then, this service is expected because of how complicated it is to be filing some taxes from foreign countries to the US.
You should not be really stressing a lot about how complicated your US tax requirements might be with earning some income in a foreign land. Leave all your IRS worries behind when you make sure to be honest, committed to double checking your work, and not have to hide anything and there is no doubt that you are good to go.
To learn more about paying your taxes while abroad, click for more now!