Foreign rent goes on Schedule E, with currency conversions and 30-year depreciation you did not expect.
You want every deduction you are owed, but are unsure what truly counts.
Rental deposits and expenses run through a foreign bank account you may need to report.
Once your accounts top $10,000 combined, an FBAR is due on top of your return.
A sale means capital gains, depreciation recapture, and forms like 8949 and Schedule D.
You are unsure which exclusions apply or how foreign taxes paid reduce the bill.
You already pay tax where the property sits and do not want the same income taxed again.
Personal and rental use are mixed, and you want the split and the credits done right.
Greenback maintains a comprehensive library of guides covering nearly every tax topic an American with property abroad faces. Here are the resources our clients reach for most.
Foreign rent is reported on Schedule E, converted to U.S. dollars, with expenses tracked and the property depreciated over 30 years. Our guides to foreign rental income and Schedule E cover the conversions and depreciation, and our guide to deductions on foreign real estate covers what you can claim.
When you pay tax on the rent where the property sits, the Foreign Tax Credit reduces your U.S. tax by the foreign tax you paid, and often erases it. Our guide to the Foreign Tax Credit explains how Form 1116 works for rental income and how to document it.
A sale is reported on Form 8949 and Schedule D, with depreciation recapture and, for a former home, the Section 121 exclusion of up to $250,000 single or $500,000 married filing jointly. Read our guides to foreign capital gains and selling a house while abroad.
Foreign residential rental depreciates over 30 years, and that depreciation is recaptured when you sell. If you use the place yourself part of the year, expenses and depreciation are split between personal and rental use. Our guides to U.S. taxes on foreign real estate and inherited property walk through both, and the different basis rules when a place was left to you.
If the accounts you use for rent and expenses top $10,000 combined at any point in the year, an FBAR is due, and FATCA can apply at higher thresholds. Our guide to FBAR vs. Form 8938 explains which accounts count and how the two reports differ.
Many owners learn late that foreign rent or a sale should have been reported. The IRS Streamlined Filing Procedures let non-willful filers catch up with three years of returns and six years of FBARs, usually penalty-free. Our guide to Streamlined Filing walks through each step.
Foreign rent is reported on Schedule E, converted to U.S. dollars, with expenses tracked and the property depreciated over 30 years. Our guides to foreign rental income and Schedule E cover the conversions and depreciation, and our guide to deductions on foreign real estate covers what you can claim.
When you pay tax on the rent where the property sits, the Foreign Tax Credit reduces your U.S. tax by the foreign tax you paid, and often erases it. Our guide to the Foreign Tax Credit explains how Form 1116 works for rental income and how to document it.
A sale is reported on Form 8949 and Schedule D, with depreciation recapture and, for a former home, the Section 121 exclusion of up to $250,000 single or $500,000 married filing jointly. Read our guides to foreign capital gains and selling a house while abroad.
Foreign residential rental depreciates over 30 years, and that depreciation is recaptured when you sell. If you use the place yourself part of the year, expenses and depreciation are split between personal and rental use. Our guides to U.S. taxes on foreign real estate and inherited property walk through both, and the different basis rules when a place was left to you.
If the accounts you use for rent and expenses top $10,000 combined at any point in the year, an FBAR is due, and FATCA can apply at higher thresholds. Our guide to FBAR vs. Form 8938 explains which accounts count and how the two reports differ.
Many owners learn late that foreign rent or a sale should have been reported. The IRS Streamlined Filing Procedures let non-willful filers catch up with three years of returns and six years of FBARs, usually penalty-free. Our guide to Streamlined Filing walks through each step.
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“What a great experience from start to finish! My CPA always helps me through my tax situation. Working overseas, owning a business, and owning property can get complicated, but she made the process effortless.”
“Been working with Greenback for many years. I live abroad for over 10 years and have investments in real estate and crypto. It’s been a pleasure working with the professionals at Greenback. I will continue to do so.”
“I have been using Greenback for the last 6 years. My taxes have covered scenarios from international work, private business and rental properties. I don’t normally recommend services, but this is definitely one recommendation I can confidently stand behind.”
For property owners filing their yearly U.S. return. We prepare Form 1040 with your rental income and any property sale, and apply the Foreign Tax Credit so the same income is not taxed twice.
For property owners renting out a place abroad. We handle Schedule E in full: currency conversions, expense categories, 30-year depreciation, and the split between personal and rental use, so every deduction is captured.
For property owners with ties to a former U.S. state. We check whether a state return is still required on your rental income or sale, and help you sever residency in sticky states when you can.
For property owners who did not report rental income, a sale, or foreign accounts in past years. We use the IRS Streamlined Procedures to bring you current, usually penalty-free, in one flat-fee package.
For property owners weighing a purchase, a first rental, or a sale. Sit down with an expat tax expert to map the reporting and the tax before you act, so a big transaction is structured right from day one.
Get answers to the questions property owners abroad ask most, from Schedule E and depreciation to what happens when you sell.
Yes. Greenback prepares complete Schedule E reporting for Americans with foreign rental property, whether you have one vacation rental or several. We handle currency conversions, expense tracking, 30-year depreciation, and the split between personal and rental use, and we apply the Foreign Tax Credit so most owners owe little or no U.S. tax on the rent.
Rental income reporting starts at $95 per property, and your return is prepared by a CPA or IRS Enrolled Agent and reviewed with you before filing.
Usually not. You report the rent on your U.S. return, but if you already paid tax on it where the property sits, the Foreign Tax Credit on Form 1116 reduces your U.S. tax by the foreign tax you paid, and often erases it.
We coordinate the timing between the two countries, keep the documentation, and calculate the credit correctly, so the same rental income is not taxed twice.
Yes. We report a sale on Form 8949 and Schedule D, handle depreciation recapture, and apply exclusions like the Section 121 primary-residence exclusion of up to $250,000 single or $500,000 married filing jointly when you qualify.
We calculate the gain with proper currency conversions, count improvements that reduce it, and use foreign taxes paid to offset the U.S. bill. Planning before you sell can save a large amount, and a consultation starts at $250.
Yes. If foreign rental income, a property sale, or foreign accounts went unreported in past years, we help you catch up through the IRS Streamlined Filing Procedures: three years of returns and six years of FBARs, plus Form 14653, the statement you sign explaining why you did not file, which is often simply that you did not know the rules applied.
The package is a flat $1,750, most who come forward owe minimal or no penalties, and the Foreign Tax Credit often erases the tax itself.
Pricing is flat-fee and published up front. A federal return is a flat $565, foreign rental income reporting is $95 and up, FBAR is $125 for up to five accounts, Form 8938 is $120 for up to five accounts plus $65 for each additional five, and the Streamlined catch-up package is $1,750. State returns are $185 and consultations start at $250.
You see your full cost before any work begins, and you do not pay until your return is complete and you approve it.
A dedicated Greenback accountant, a U.S. CPA or IRS Enrolled Agent experienced with foreign rental income and property sales, prepares your return from start to finish. It is never outsourced and never automated. The same professional works with you year after year, so your rental income, depreciation, and any sale are handled consistently and correctly.
Just get started and tell us what you own, where it sits, and whether you rent it out or plan to sell. You do not have to work out which services apply or in what order. Your accountant reviews what you send, confirms what your situation requires, whether that is Schedule E, an FBAR, a sale, or past years, and prepares it together at the published flat fee for each piece.
Work with an accountant who knows rent, depreciation, and capital gains. We file Schedule E, apply the Foreign Tax Credit, and get your FBAR right.
