The change in the tax deadline is part of the Tax Cuts and Jobs Act, which was passed by Congress in December 2017. The Act includes a number of provisions that affect taxpayers who are living and working abroad.
The new deadline is intended to give expatriate taxpayers more time to comply with the new tax law. However, it is important to note that the deadline is not set in stone. The IRS could change the deadline again in the future.
If you are an expatriate taxpayer, it is important to be aware of the new deadline. This article will explain what you need to know about the 2023 US tax deadline for Expats.
What is the deadline?
The deadline for filing US expatriate taxes has been moved from June 15th to December 31st, 2023. This new deadline applies to both individual taxpayers and businesses.
What is the process?
The process for filing US taxes has not changed. Expatriate taxpayers will still need to file their taxes using the same forms and procedures as before.
What do you need to know?
There are a few things expatriate taxpayers need to know about the new deadline:
- The deadline is not set in stone. The IRS could change the deadline again in the future.
- The new deadline only applies to taxes owed for the 2023 tax year. Taxes owed for previous years are still due on June 15th.
- The new deadline does not apply to state taxes. Expatriate taxpayers who owe state taxes will still need to file their taxes by June 15th.
- The new deadline does not apply to taxpayers who are living and working in US territories. These taxpayers will still need to file their taxes by June 15th.
The benefits of filing early
There are a few benefits to filing your taxes early:
- You will avoid the rush. December 31st is a busy time of year and the IRS is likely to be overwhelmed with last-minute filers.
- You will avoid interest and penalties. Taxes that are paid late are subject to interest and penalties.
- You will get your refund sooner. If you are owed a refund, you will get it sooner if you file your taxes early.
The penalties for not filing
If you do not file your taxes by the deadline, you will be subject to interest and penalties. The interest rate is currently set at 5% per year. The late filing penalty is currently set at 10% of the taxes owed.
If you want to learn more about tax updates, read our blogs or visit our contact page.