US Tax Filing for Remote Workers Abroad
Working remotely from another country doesn't change your US tax obligations — as a US citizen or green card holder, you still owe an annual federal return on your worldwide income. The good news is that remote workers abroad often qualify for the Foreign Earned Income Exclusion, which can reduce your US tax bill dramatically. We handle everything from FEIE elections to FBAR, reviewed by licensed CPAs.
Get started with your filingWho this is for
- ✓ US citizens or green card holders employed remotely by a US or foreign company from abroad
- ✓ W-2 employees whose company allows them to work internationally
- ✓ Remote contractors and consultants working from foreign countries
- ✓ Americans who recently moved abroad while keeping their remote job
- ✓ Those with foreign bank accounts used to receive salary or pay expenses
What this filing may involve
Every situation is different. The forms below commonly apply — your specific filing may vary.
- 1 Form 1040 (US Individual Income Tax Return)
- 2 Form 2555 — Foreign Earned Income Exclusion (FEIE)
- 3 Form 1116 — Foreign Tax Credit (for remote workers paying local income tax)
- 4 FinCEN Form 114 (FBAR) — for foreign accounts exceeding $10,000
- 5 Schedule C — if providing services as an independent contractor
Documents usually needed
- 📄 W-2 or foreign employer pay statements for the tax year
- 📄 Evidence of physical presence abroad (passport, lease, employment contract)
- 📄 Foreign bank account statements showing maximum balances
- 📄 Records of days inside and outside the US
- 📄 Prior year US tax return
How Nomadic.Tax works
AI-assisted preparation with licensed professional review — every time.
We review your employment arrangement and residency to determine FEIE qualification
Our AI prepares your return applying FEIE or FTC depending on your host country tax rate
FBAR is prepared for any qualifying foreign financial accounts
A licensed CPA reviews every line before we e-file on your behalf
When human review matters
- ⓘ Employer withholding may have continued during your time abroad — over-withholding can generate a refund
- ⓘ Some remote workers owe tax in both the US and their host country — FTC coordination prevents double taxation
- ⓘ State tax obligations may persist if you maintain ties to your home state
[INSERT: customer testimonial, e.g. "remote software engineer in Lisbon, Portugal, saved money and stress using Nomadic.Tax"]
- remote software engineer, Lisbon, Portugal
Relevant plans
Choose the package that best fits your situation, or view all plans.
- ✓ Everything in Standard
- ✓ Schedule C & SE for self-employment
- ✓ Multiple income sources and currencies
- ✓ Everything in Premier
- ✓ Foreign Earned Income Exclusion (Form 2555)
- ✓ Foreign Tax Credit (Form 1116)
- ✓ FBAR filing (FinCEN 114) included
Frequently asked questions about US Tax Filing for Remote Workers Abroad
Can I claim FEIE as a remote employee (not self-employed)?
Yes. FEIE applies to foreign-earned income whether you're employed or self-employed. Your wages from a US company earned while physically working abroad qualify for the exclusion, provided you meet the Physical Presence or Bona Fide Residence test.
My employer still withholds US taxes — will I get a refund?
Potentially yes. If FEIE eliminates your US income tax but your employer withheld throughout the year, you'll receive a refund of the over-withheld amount when you file. You should also consider updating your W-4 with your employer to reduce withholding going forward.
Does my host country tax my salary?
It depends on your residency status in the host country and whether you're employed by a local or foreign entity. If you're subject to local income tax, we apply the Foreign Tax Credit to prevent double taxation.