For US citizens and green card holders in the United Kingdom
US Taxes for Americans Living in the United Kingdom
Moving to the United Kingdom does not end your US tax filing. Here is what Americans living there file each year, how the treaty and the social security rules between the two countries work, and what to do about missed years.
Quick answer
Do US citizens living in the United Kingdom have to file US taxes?
Yes. The US taxes citizens and green card holders on worldwide income wherever they live. Living in the United Kingdom 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 United Kingdom, and a social security agreement has been in force since January 1, 1985.
At a glance
- Yearly US return
- Yes, on worldwide income; due June 15 automatically when living abroad
- US tax treaty with the UK
- Yes, per the IRS list (saving clause applies to US citizens)
- Social security agreement
- Yes, in force since January 1, 1985
- Accounts in the UK
- FBAR above US$10,000 in total; Form 8938 above higher limits
- Behind on filing
- Streamlined: 3 years of returns, 6 years of FBARs
The yearly US return for Americans in the United Kingdom
Living in the United Kingdom changes where you pay most of your tax, not whether you file with the IRS. US citizens and green card holders report worldwide income every year (IRS Pub 54).
| Date | What happens |
|---|---|
| April 15 | Normal due date; any US tax owed is due now, and interest runs from here |
| June 15 | Automatic extended date for a US citizen or resident living and working outside the US on April 15 |
| October 15 | Further extension if requested in time |
Amounts earned in pounds sterling are reported in US dollars.
Is there a US tax treaty with the United Kingdom?
The US has an income tax treaty with the United Kingdom (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.
| Tool | What it does | Watch for |
|---|---|---|
| Foreign earned income exclusion | Excludes up to US$130,000 (2025) or US$132,900 (2026) of foreign earned income | Only earned income; does not reduce self-employment tax (Pub 54) |
| Foreign tax credit | Credits income tax paid in the United Kingdom against US tax on the same income | Works best where the local tax is at least as high as the US tax |
We run the figures both ways before choosing. More in FEIE vs foreign tax credit.
Money kept in the United Kingdom
The US wants to know about money you keep in the United Kingdom. Once your non-US accounts together pass US$10,000 at any point in the year, an FBAR is due, normally April 15 with an automatic extension to October 15 (IRS).
Larger balances bring Form 8938 as well. For someone living abroad the starting point is US$200,000 at the end of the year or US$300,000 at any time (double for a joint return), and the penalty for leaving it out is US$10,000 (IRS).
Missed years while living in the United Kingdom
Behind on US filings while living in the United Kingdom? Eligible non-willful filers who live abroad can use the Streamlined Foreign Offshore Procedures: file the last 3 years of returns and 6 years of FBARs, pay any tax and interest, and the IRS does not charge the usual failure-to-file, information return or FBAR penalties (IRS). More in our Streamlined guide.
Working with your adviser in the United Kingdom
Americans in the UK range from finance and tech employees in London to dual citizens born in the US who have lived in Britain most of their lives.
We do not advise on the tax law of the United Kingdom. A local adviser handles your return there; we prepare the US return and filings and use the tax you paid in the United Kingdom for the credit. For the wider picture, see US tax for Americans in Europe.
How we help
Gurleen Kaur, CPA licensed in British Columbia and Washington State, prepares and signs US returns for Americans living in the United Kingdom: 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.
Treaty and law references: the US and the United Kingdom
Treaty and social security
- The IRS lists the 2001 income tax treaty, signed July 24, 2001, amended by a protocol and exchange of notes listed for 2001. General effective date (IRS Table 3): treaty Jan. 1, 2004 (IRS treaty documents for United Kingdom; treaty text; IRS Table 3).
- Saving clause: Article 1 (General Scope), which lets the United States tax its citizens as if the treaty had not come into effect, apart from listed exceptions.
- Article 24 (Relief from Double Taxation), on relief from double taxation.
- Article 17 (Pensions, Social Security, Annuities, Alimony, and Child Support), on pensions and social security.
- Article 14 (Income from Employment), on employment income.
- Social security: the US agreement with the United Kingdom entered into force on January 1, 1985 (SSA).
US law
- Foreign earned income exclusion: Code section 911 (IRS Form 2555 instructions).
- 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).
The tax rules of the United Kingdom also apply to you there; a local adviser covers that side.
Americans in other countries
All country pages: US tax for Americans by country.
- Germany
- The Netherlands
- France
- Spain
- Italy
- Portugal
- Ireland
- Switzerland
- Sweden
- Austria
- Belgium
- Denmark
- Norway
- Greece
- Poland
- Australia
- New Zealand
- Japan
- South Korea
- Israel
- Singapore
- Thailand
- The Philippines
- Costa Rica
- Panama
- Chile
- The Czech Republic
- Finland
- Iceland
- Estonia
- Latvia
- Lithuania
- Slovakia
- Slovenia
- Turkey
- Romania
- China
- South Africa
- Brazil
- Uruguay
- Argentina
- Vietnam
- Hong Kong
- Malaysia
Common questions
Do Americans in the United Kingdom pay US tax?
Yes. US citizens and green card holders file a US return on worldwide income wherever they live. Living in the United Kingdom on April 15 gives an automatic extension to June 15, and tax paid in the United Kingdom or the foreign earned income exclusion often reduces the US tax to little or nothing.
Does the US-United Kingdom 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 United Kingdom?
Generally not. The US-United Kingdom social security agreement, in force since January 1, 1985, assigns your work to one system.
What if I never filed US taxes while living in the United Kingdom?
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.
- IRS: Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad
- IRS: United States income tax treaties, A to Z
- SSA: U.S. International Social Security Agreements
- IRS: Foreign earned income exclusion
- IRS: Report of Foreign Bank and Financial Accounts (FBAR)
- IRS: Comparison of Form 8938 and FBAR requirements
- IRS: U.S. taxpayers residing outside the United States (Streamlined)
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.
Related guides: Yearly filing package, FEIE vs foreign tax credit, Streamlined filing.
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Self-employment and social tax in the United Kingdom
Self-employed Americans abroad owe US self-employment tax even when the foreign earned income exclusion removes the income tax (IRS Pub 54). In the United Kingdom, the totalization agreement in force since January 1, 1985 usually prevents paying both countries' social taxes on the same earnings (SSA). Which system you belong to depends on the agreement's rules for your situation.