Instructions for Paying Your US Tax Liability While Living Overseas

Ines Zemelman, EANov-05-2015

The majority of US Expats are able to completely eliminate US tax liability after taking advantage of all the exclusions and deductions available to those living and working overseas.  There are times, though, when there is still some tax liability.  If you are a US Expat who owes taxes to the IRS, here are the steps to take to make the proper payment(s).

If you have a US bank account, you are able to transfer funds from your bank account to the IRS.  To pay using your bank account, go to:  http://www.irs.gov/Payments/Direct-Pay. Then take the following steps:

If you don’t have a US bank account, you will be able to make a payment using your credit card.  Keep in mind that this is a ‘convenience’ offered by the IRS, so there are additional charges in processing your credit card payment.  To take advantage of this option, visit http://www.irs.gov/uac/Pay-Taxes-by-Credit-or-Debit-Card and take the following steps:

If you don't have U.S. bank account and you don't have a credit card then the last option is wire transaction from the foreign bank to the IRS: https://www.irs.gov/individuals/international-taxpayers/foreign-electronic-payments

You are going to want to pay special attention to the address you listed on your US expat tax return.  If you made any abbreviations on your return to make it fit in the lines, be sure to use the same abbreviations on your electronic payment.

TFX - Ines Zemelman
Ines Zemelman, EA is the founder of TFX
She may be reached at: +1-646-397-2887
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