Why do I have to pay US taxes if I live abroad?


Why do I have to pay US taxes if I live abroad? In general, yes — Americans must pay U.S. taxes on foreign income. The U.S. is one of only two countries in the world where taxes are based on citizenship, not place of residency. If you're considered a U.S. citizen or U.S. permanent resident, you pay income tax regardless where the income was earned.


Do I need to file a UK tax return if I live abroad?

As long as you pay tax on your wages in your home country, you will not have to pay tax in the UK. You must file a Self Assessment tax return, together with a completed SA109 form. Use the 'other information' section of your SA109 to include: the dates you were stuck in the UK because of coronavirus.


What is the tax loophole for expats?

The Foreign Housing Exclusion lets expats deduct foreign housing-related expenses from their US tax bill. Qualifying expenses may include: Rent. Utilities (but not phone or TV related expenses)