If you have an income while living abroad for more than a year could qualify for foreign earned income exclusion, exclusion and foreign housing deduction housing foreigners. This combination could give you as much as $ 91,400 of foreign income for 2009 excluded. Like living abroad and pay taxes in the United States is a complex issue, you should consult an attorney with questions concerning this tax.
United Statesdouble taxation agreements with many countries, taxes may be paid in full or assume you can exclude from abroad is to tax. It ‘important to know where your country of residence is within the range of DBA.
A U.S. citizen must renounce still pay U.S. taxes for ten years.
In general, you do not need the U.S. Social Security or Medicare taxes paid on foreign income when you perform the services for which you are paid or in combination with an American ship or aircraft, the contract-Board was established in the United States, ship or aircraft you are employed you are on U.S. ports affected by one, you will be put to work in a country with which the United States in a bi-national agreement on social security, you are working for an American employer, or who are the working conditions of a foreign branch of a U.S. company, the deal was completed with a volunteer> American employer and the U. S. Treasury Department.
If you live and / or work in Europe, you may be subject to VAT. You can deduct from their income taxes for your world, but you can not avoid.
There is nothing wrong with maintaining a foreign bank account, if you live abroad or not. But be sure to inform the IRS of the existence of this account and report the income generated and deposited with theAccount.
If you have to pay a citizen of the United States of America imposed by the IRS, no matter where you live. Some of the penalties for not reporting foreign income can be as high as $ 10,000. be the safest way to pay taxes in the United States