Home / Resources / Americans abroad
US tax for Americans abroad
Living outside the United States does not by itself end US tax-return and foreign-reporting obligations. A proper review separates earned income, foreign taxes, accounts, investments and travel history before choosing foreign earned income exclusion, foreign tax credit or catch-up filings.
Who it may apply to
US citizens and residents living or working in Canada, India or elsewhere, including families with foreign employment, self-employment, bank accounts, investments, pensions or missed US filings.
Records to collect
Foreign tax return and payment records, employer pay slips, travel calendar, bank and brokerage statements, account maximum balances, housing records, prior US returns and notices.
Filing and decision points
Review US residence and tax home, foreign earned income exclusion eligibility, foreign tax credit support, FBAR and Form 8938 requirements, PFIC exposure and catch-up options for missed years.
Common mistakes
Using the foreign earned income exclusion for pension or investment income, overlooking accounts with signing authority, claiming credits without proof of tax paid, or filing late forms before a compliance path is assessed.
Official sources
- IRS Instructions for Form 2555
- IRS bona fide residence test
- Related guide: FBAR and FATCA
- Related guide: streamlined catch-up filings
Reviewed by Gurleen Kaur, CPA licensed in British Columbia and Washington State. Reviewed September 8, 2026.