Expat US tax deadlines and their extensions are a critical date an expat must consider. As an Expat US taxpayer must pay tax liabilities using an estimation tool if they are not able to file and report their US tax and FBAR on the due dates. That been said the extensions are for submitting the taxes not for the payments. If a US expat expecting to owe IRS taxes, he/she must pay an estimated amount on or before April 15th.
Many US expat taxpayers ignore the US tax payments deadline because they usually don’t owe any US taxes as a result of their annual income is less that the foreign income exclusion. ($103,900 for 2018, $105,900 for 2019, $107,600 for 2020, and $108,700 for 2021). In addition, an expat can deduct certain foreign housing expenses as well as taking advantage of the foreign tax credit for all taxes paid in their cautery of residence.
USA Tax Filing Deadline for Expats: Automatically extended to 15th of June
As a US expat living, working, and investing abroad, you get an additional 2 months to file your US tax and FBAR. The extended deadline is June 15th.
All American taxpayers including the expats can request to extend the due dates to their US tax and FBAR filing to October 15th. This extension must be requested using IRS form 4868 which must be submitted on or before April 15th for American and residents of the United States and on or before June 15th for American and green card holders on or before June 15th.
15th of October – FBAR Deadline
The 15th of October is the FBAR (FinCin 114) deadline, once a US citizens or green card holder live in the United States or live abroad and own a bank account or have a signature authority (no financial interest) on a bank account that exceed the $10,000 at any day during the calendar year.
Same rules applied if the US citizens or green card holder live in the United States or live abroad and own specified foreign financial assets (specified domestic entities) (form 8893 required) that exceed $75,000 during the calendar year or $150,000 at the end of the year for a single filer. For Married filed jointly they must file the form 8938 on or before October 15th once their specified foreign financial assets exceed $300,000 during the calendar year or $600,000 at the end of the year.
Note: specified foreign financial assets examples includes:
- Savings, deposit, checking, and brokerage accounts held with a bank.
- Stock or securities issued by a foreign corporation.
- A note, bond or debenture issued by a foreign person.
- An interest rate swap, currency swap
- A partnership interest in a foreign partnership.
- An interest in a foreign retirement plan or deferred compensation plan.
- An interest in a foreign estate.
- Any interest in a foreign-issued insurance contract or annuity with a cash-surrender value.
If you own and of the following, they are not specified foreign financial assets, and you are not required to report the 8938 form
- Cash in Foreign Currency
- Foreign real estate
- Directly held tangible assets i.e. art, antiques, cars …
- Directly held precious metals, such as gold
- Safe deposit box is not a financial account.
- Financial account maintained by a U.S. financial institution