As an American expat, do I need to file a US Federal Tax Return?

Overall, US citizens and Green Card holders are required to file a US Federal Tax Return each year if their income is over the minimum threshold.

No matter where you have earned this income, what currency it is earned in, or whether you have also paid taxes in the country in which you reside, you are required to file in the US if your income is above these levels. 

The thresholds for taxable income earned in 2021 are: 

  • $12,550 for single filers
  • $12,550 for married couples filing separately
  • $18,800 for heads of households
  • $25,100 for married couples filing jointly
  • Self-employed individuals need to file if their income is over $400 

Depending on which state you used to live in, you may need to file state taxes as well. You’ll also need to file taxes for your small business operating overseas. If you open foreign financial accounts while living abroad, you may also be required to file additional reports including Form 8938 (FATCA) and the Foreign Bank Account Report (FBAR or FinCEN Form 114) to report assets held overseas. 

The cost to file a federal return with Greenback is $485 USD and includes all of the relevant forms expats typically need.  

The cost to file a state return with Greenback is $155 USD.  

The FBAR is required if you have a financial interest in one or more overseas financial accounts and the total value of all of the financial accounts combined was $10,000 or more during any point during the tax year. This is cumulative, so if you have several accounts amounting to more than $10,000, you need to file. The cost is $100 for up to 5 accounts, and $50 for each additional 5 accounts. 

Here is a link to our pricing page for more information.