U.S. TAX GUIDE IN FRANCE

Do I need to file a US tax return if I’m living in France?

Yes, all US citizens and green card holders must file a US tax return, regardless of where they live or work.

The requirement for 2023 depends on your income and filing status:

Filing StatusIncome Threshold
Single (under 65)$13,850
Married Filing Jointly$27,700
Married Filing Separately$5
Self-employed IndividualsNet earnings of $400 or more

How does self-employment affect my tax filing?

If you’re self-employed, you must file a US tax return if your net earnings are $400 or more. This applies regardless of where your clients are located.

What unique tax challenges do Americans in France face?

Living in France presents unique tax challenges due to dual obligations under US and French tax laws. Key points to consider include:

  • Double Taxation: Navigating tax treaties to avoid paying taxes twice on the same income.
  • FBAR: Reporting foreign bank accounts if their total exceeds $10,000 at any time during the year.
  • Foreign Earned Income Exclusion (FEIE): Excluding up to $126,500 of income earned in France from US taxes.
  • Tax Credits: Utilizing the Foreign Tax Credit to offset US taxes with French taxes paid.

How can I manage my US and French tax obligations?

It’s advisable to:

  • Consult a Tax Professional: Seek assistance from a tax advisor experienced in expatriate issues.
  • Understand Filing Requirements: Ensure you meet all deadlines and reporting requirements for both US and French tax authorities.
  • Maximize Benefits: Take advantage of exclusions, deductions, and credits available to reduce your overall tax liability.

What should I remember about tax filing deadlines?

  • US Residents: File by April 15.
  • Foreign Residents: An automatic extension extends the deadline to June 15.
  • Further Extension: Request an extension to October 15 if needed.

For a comprehensive understanding and personalized advice, consulting with a tax professional is highly recommended to navigate the intricacies of dual tax obligations and ensure compliance with both US and French tax laws.