U.S. Citizens And Resident Aliens Abroad
Tax Samaritan would like to remind U.S. citizens and resident aliens abroad, including those with dual citizenship who have lived or worked abroad during all or part of 2013, that they may have a U.S. tax liability and a filing requirement in 2014.
Filing Deadline For U.S. Taxpayers Overseas
The filing deadline for the 2013 tax year is Monday, June 16, 2014, for U.S. citizens and resident aliens living overseas, or serving in the military outside the U.S. on the regular due date of their tax return.
Eligible taxpayers get one additional day because the normal June 15 extended due date falls on Sunday this year.
Tax Obligation Of Nonresident Alients
Nonresident aliens who received income from U.S. sources in 2013 also must determine whether they have a U.S. tax obligation. At Tax Samaritan, we can assist in determining whether you have a U.S. tax obligation – just request a free quote below and provide us with the details of your tax situation and we can provide a complimentary answer.
Report Worldwide Income
In what is a surprise for many – federal law requires U.S. citizens and resident aliens to report any worldwide income, including income from foreign trusts and foreign bank and securities accounts.
Report Foreign Accounts And Assets
In most cases, affected taxpayers need to fill out and attach Schedule B to their tax return as part of the disclosure of foreign assets. Part III of Schedule B asks about the existence of foreign accounts, such as bank and securities accounts, and usually requires U.S. citizens to report the country in which each account is located.
Certain taxpayers may also have to fill out and attach to their return Form 8938, Statement of Foreign Financial Assets. Generally, U.S. citizens, resident aliens and certain nonresident aliens must report specified foreign financial assets on Form 8938 if the aggregate value of those assets exceeds certain thresholds.
Separately, taxpayers with foreign accounts whose aggregate value exceeded $10,000 at any time during 2013 must file electronically with the Treasury Department a Financial Crimes Enforcement Network (FinCEN) Form 114, Report of Foreign Bank and Financial Accounts (FBAR). This form replaces TD F 90-22.1, the FBAR form used in the past. It is due to the Treasury Department by June 30, 2014, must be filed electronically and is only available online through the BSA E-Filing System website. As a client of Tax Samaritan, if you are required to file the FinCen Form 114, we can file the form electronically on your behalf saving time and aggravation of trying to navigate and learn how to file using the BSA E-filing system.
For details regarding the FBAR requirements, see Learn About The FBAR Rules.
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Tax Samaritan is a team of Enrolled Agents with over 25 years of experience focusing on US tax preparation and representation. We maintain this tax blog where all articles are written by Enrolled Agents. Our main objective is to educate US taxpayers on their tax responsibilities and the selection of a tax professional. Our articles are also designed to help taxpayers looking to self prepare, providing specific tips and pitfalls to avoid.
When looking for a tax professional, choose carefully. We recommend that you generally want to hire an Enrolled Agent, such as Tax Samaritan or other professional licensed to practice before the IRS, such as a CPA or attorney. If you are a US taxpayer overseas, we further recommend that you seek a professional who is experienced in expat tax preparation (most tax professionals have limited to no experience with expat taxes).
Randall Brody is an enrolled agent, licensed by the US Department of the Treasury to represent taxpayers before the IRS for audits, collections and appeals. To attain the enrolled agent designation, candidates must demonstrate expertise in taxation, fulfill continuing education credits and adhere to a stringent code of ethics.
Every effort has been taken to provide the most accurate and honest analysis of the tax information provided in this blog. Please use your discretion before making any decisions based on the information provided. This blog is not intended to be a substitute for seeking professional tax advice based on your individual needs.