The Internal Revenue Service (IRS) advises that U.S. citizens and resident aliens living outside the United States can use IRS Free File to prepare and file their federal tax returns electronically.
IRS Free File is brand-name software that is offered exclusively at IRS.gov, through a partnership with the tax software industry. There are five companies that accept foreign addresses. Taxpayers should review the list of tax forms supported by the company to ensure it meets their needs, especially Form 1116, Foreign Tax Credit, and/or Form 2555, Foreign Earned Income.
To be eligible, taxpayers’ adjusted gross income in 2010 must be $58,000 or less. Some overseas taxpayers may exclude $91,500 of their 2010 foreign earnings, which would make more people eligible for IRS Free File [...]
All U.S. citizens or resident aliens must report their worldwide income, even if you live abroad. Your worldwide income is subject to U.S. income tax, regardless of where you reside. But don’t fret! Just because you have to file a tax return doesn’t necessarily mean you owe taxes (there is a bilateral tax treaty between the U.S. and Germany).
If you reside overseas, or are in the military on duty outside the U.S., you are allowed an automatic 2-month extension to file your return until June 15. However, any tax due must be paid by the original return due date (April 15) to avoid interest charges.
Answers to your federal tax questions can be found at the IRS website – www.irs.gov. The website has tabs that address individual, business, charity & non-profit, government entities taxpayers as well as tax professionals, the retirement plans community, and the tax exempt bond community. International and the military taxpayers are specifically addressed under the individual tab.
All IRS forms and publications are available at www.irs.gov and can be downloaded and printed on any computer. This is your 24/7 resource for U.S. Federal tax information.
The IRS office in Frankfurt will accept tax returns, tax payments, W-7 applications, and taxpayer correspondence. [...]
Our colleagues at the IRS sent us this great information below on fraud schemes targeting U.S. taxpayers. We think there’s some excellent information in it, especially that the IRS never contacts taxpayers by email or fax and will never ask for your personal information.