Taxation of an american citizen working abroad?
I'll soon become a naturalized U.S. citizens. I also intend to go back to my country of origin where my family has business. I will be employed there. My question is regarding taxes which I know I have to file out. My country has an agreement with the U.S. regarding avoidance in double taxation.
So, does my annual income there has an impact on what I'll be taxed. Say I make $ 20 000 there, and I am once being taxed by the locals. Do I still need to pay something to the US ?
Thanks.
Taxation best answer:
Answer by tonalc2
You still need to file. There are any number of deductions and exceptions you can take when filing.
Here's IRS info:
Tax Guide for U.S. Citizens and Resident Aliens Abroad
http://www.irs.gov/pub/irs-pdf/p54.pdf
Foreign Tax Credit for Individuals
http://www.irs.gov/pub/irs-pdf/p514.pdf
U.S. Tax Treaties
http://www.irs.gov/pub/irs-pdf/p901.pdf
Taxation
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