For many years US citizens living and working abroad have had to walk a tightrope when it comes to filing tax. The United States is one of the very few countries that requires its citizens to file tax returns, even if they are living outside the country.
With increasing regulatory burdens on individuals – many US citizens have renounced their citizenship or have chosen not to file at all, on fears of being fined.
Americans Citizens Abroad, a lobby group for US citizens living outside the US, has been campaigning hard for the last few years in Washington to lessen the burden on US citizens and lift the threat of fines which have the potential to ruin individuals. The new guidelines from US authorities are significantly more relaxed and the ACA say it’s a victory for their work.
Mark Butcher spoke to Marylouise Serrato, the Executive Director of American Citizens Abroad about the new rules and what they mean for the hard working ex-pat US citizen.
US tax payers digest new rules