While most individual U.S. tax returns are due on April 15, U.S. citizens and resident aliens living abroad have a special filing deadline of June 15. Taxpayers qualify for this filing deadline if their tax home and abode are both outside the United States and Puerto Rico. Those serving in the military outside of the United States and Puerto Rico also qualify for the June 15 deadline.
While tax payments are due June 15 as well, the IRS does charge interest on tax payments made after April 15 but by June 15. Tax payments made after June 15 are subject to a late payment penalty in addition to interest charges.
If you would like more time to file your U.S. tax return, you can file an extension using IRS Form 4868 for an October 15 filing deadline. However, an extension only provides you with more time to file your return—any required payments are still due on June 15. (See our recent blog on filing an extension for more information.)
Those living abroad should also keep in mind that federal law requires U.S. citizens and resident aliens to report worldwide income, including income from foreign trusts and foreign financial accounts. Some taxpayers may also have to file Form 8938, Statement of Foreign Financial Assets and FinCEN 114, Report of Foreign Bank and Financial Accounts.
It is important to meet IRS tax deadlines to avoid interest charges and penalties. If you are living overseas and have questions about how to file your tax return, please feel free to contact Sciarabba Walker’s International Tax Group.