US Expat Taxes Explained: Common Expat Tax Forms
- Form 1040.
- Form 2555 – Foreign Earned Income Exclusion (FEIE)
- Form 1116 – Foreign Tax Credit (FTC)
- Form 8938 – Statement of Specified Foreign Assets.
- Form 8833 – Treaty-Based Return Position Disclosure.
Do you need to file US taxes if you live abroad?
Do I still need to file a U.S. tax return? Yes, if you are a U.S. citizen or a resident alien living outside the United States, your worldwide income is subject to U.S. income tax, regardless of where you live. However, you may qualify for certain foreign earned income exclusions and/or foreign income tax credits.
How to report payments made to foreign independent contractors?
A US person or company paying a non-US citizen should examine facts whether the payment is US source income and report the amount to the IRS using Form 1042 and 1042-S, Foreign Persons’ US Source Income Subject to Withholding. Should I report payments made to foreign independent contractors?
Can a US company hire a foreign independent contractor?
Hiring the right people can make or break your business. Many companies are seeking talents outside the US, but they are often not aware of legal consequences of cross-border work relationship. I cover legal issues companies should consider when they hire an independent contractor from a foreign country.
Can a u.s.contractor who is working abroad file jointly?
Months spent in the U.S. on job-related training cannot be included in the selected 12 months period. If your spouse and children reside in the U.S. you can still file jointly even though you are working abroad. You have the right to file jointly (MFJ) or separately (MFS).
Can a US company withhold taxes from a foreign contractor?
As a result, a US company is not obligated to withhold or report taxes if the contractor does all his work outside of the US. If a foreign contractor performs any part of his service in the US, certain conditions should be met to avoid tax obligations. 4. Which of the following cases applies to your ‘hiring independent contractor’ situation?
