For US citizens and green card holders in the Philippines

US Taxes for Americans Living in the Philippines

An American in the Philippines deals with two tax systems. This page sets out the US side: the yearly return, accounts held in the Philippines, double tax relief, social security, and the Streamlined route for missed years.

US returnFBARForm 8938Treaty: yesTotalization: no

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Quick answer

Do US citizens living in the Philippines have to file US taxes?

Yes. The US taxes citizens and green card holders on worldwide income wherever they live. Living in the Philippines gives an automatic extension to June 15, accounts there above US$10,000 in total need an FBAR, and the foreign tax credit or the foreign earned income exclusion (US$132,900 for 2026) usually prevents double tax. The US has an income tax treaty with the Philippines, and there is no social security agreement.

Prepared by Illuminous Accounting · Sources checked November 11, 2026

At a glance

Yearly US return: Yes, on worldwide income; due June 15 automatically when living abroad
US tax treaty with the Philippines: Yes, per the IRS list (saving clause applies to US citizens)
Social security agreement: No, per the SSA list
Accounts in the Philippines: FBAR above US$10,000 in total; Form 8938 above higher limits
Behind on filing: Streamlined: 3 years of returns, 6 years of FBARs

US filing duty for Americans in the Philippines

A US passport or green card keeps you in the US tax system after a move to the Philippines. The IRS expects a return covering income from everywhere, including your Philippine salary or business income, in US dollars (IRS Pub 54).

Timing is a little kinder abroad: if you live and work outside the US on April 15, the filing date moves automatically to June 15, and an extension request takes it to October 15. Tax paid after April 15 still carries interest, so a payment estimate is worth making early.

Will I pay tax twice living in the Philippines?

Most Americans in the Philippines end up owing little or no US income tax, because tax paid in the Philippines or the exclusion of foreign earnings offsets it. The exclusion covers up to US$130,000 of earned income for 2025 and US$132,900 for 2026 (IRS); the foreign tax credit instead uses the income tax you paid in the Philippines.

The US has an income tax treaty with the Philippines (IRS treaty list), but US treaties contain a saving clause: they generally do not reduce US tax for US citizens, with specific exceptions written into each treaty (IRS Pub 54). So the treaty helps at the edges, for example with pensions or the order of tax credits, while the main relief comes from the exclusion or the credit.

See FEIE vs foreign tax credit for how the two compare.

Reporting Philippine bank and investment accounts

Two separate reports cover money held in the Philippines, and many Americans there need both.

Report	Who files	When
FBAR (FinCEN Form 114)	Foreign accounts above US$10,000 in total at any time in the year	April 15, automatic extension to October 15 (IRS)
Form 8938	Living abroad: above US$200,000 at year end or US$300,000 at any time if single; US$400,000 / US$600,000 if married filing jointly	With the tax return; US$10,000 penalty if not filed (IRS)

Pension and savings products in the Philippines can be reportable too, so we list every account before deciding what goes where.

Catching up on US filings

Catching up is usually possible without penalties. The Streamlined Foreign Offshore Procedures ask for 3 years of returns and 6 years of FBARs, with any tax and interest paid, and for eligible people living outside the US the penalties for late returns, information returns and FBARs do not apply (IRS). Eligibility turns on non-willful conduct and on meeting the non-residency test while in the Philippines. See Streamlined filing.

The local side

Americans in the Philippines include veterans and retirees, Filipino Americans who returned and remote workers.

Your tax in the Philippines is a matter for a local adviser. We take their final figures and make sure the US return gives you the relief it should.

How we help

Gurleen Kaur, CPA licensed in British Columbia and Washington State, prepares and signs US returns for Americans living in the Philippines: the yearly return with the exclusion or credit, FBAR and Form 8938, and Streamlined catch-up. Every engagement starts with a fixed written quote after we review the file. See the yearly filing package.

Sources: treaty articles and US law

Treaty and social security

The IRS lists the 1976 income tax treaty. General effective date (IRS Table 3): treaty Jan. 1, 1983 (IRS treaty documents for Philippines; treaty text; IRS Table 3).
Saving clause: Article 6 (General Rules of Taxation), which lets the United States tax its citizens as if the treaty had not come into effect, apart from listed exceptions.
Article 23 (Relief from Double Taxation), on relief from double taxation.
Article 18 (Private Pensions and Annuities) and Article 19 (Social Security Payments), on pensions and social security.
Article 16 (Dependent Personal Services), on employment income.
Social security: no US agreement with the Philippines appears on the SSA list.

US law

Foreign tax credit: Code section 901 (IRS Pub 54).
Form 8938: Code section 6038D and Treas. Reg. section 1.6038D (IRS Form 8938 instructions).
FBAR: 31 USC 5314 and 31 CFR 1010.350 (IRS Internal Revenue Manual 4.26.16).
Green card holders and residency: Code section 7701(b) (IRS Pub 519).
Foreign earned income exclusion: Code section 911 (IRS Form 2555 instructions).

The tax rules of the Philippines also apply to you there; a local adviser covers that side.

Common questions

I moved to the Philippines. Do I still file a US return?

Yes. US citizens and green card holders file a US return on worldwide income wherever they live. Living in the Philippines on April 15 gives an automatic extension to June 15, and tax paid in the Philippines or the foreign earned income exclusion often reduces the US tax to little or nothing.

Does the US-Philippines tax treaty stop double taxation?

Partly. The treaty exists, but its saving clause lets the US tax its own citizens as if there were no treaty, with listed exceptions. The main relief is the foreign tax credit or the foreign earned income exclusion.

Do I pay social security in both the US and the Philippines?

It can happen. There is no US social security agreement with the Philippines, and self-employed Americans owe US self-employment tax even when they use the foreign earned income exclusion.

What if I never filed US taxes while living in the Philippines?

If it was not willful, the Streamlined Foreign Offshore Procedures let you file 3 years of returns and 6 years of FBARs, and eligible people living abroad do not pay the usual failure-to-file, information return or FBAR penalties.

Sources

Every rule and figure on this page links to the IRS, CRA or other official source it comes from. Amounts change; we re-check them before each engagement.

Gurleen Kaur, CPA licensed in British Columbia and Washington State. Last updated November 11, 2026. This page is general information, not tax or legal advice for your situation.

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