{ "_meta": { "title": "US expat tax constants, verified", "canonical": "https://expatcpatax.com/facts.json", "human_readable": "https://expatcpatax.com/expat-tax-facts/", "publisher": "ExpatCPATax.com", "last_full_review": "2026-08-09", "note_on_2026": "The 2025 inflation-adjusted FBAR penalty amounts remain the current amounts for 2026 because the government's 2026 adjustment was canceled (OMB Memorandum M-26-11)." }, "tax_year_2025": { "feie_cap_usd": 130000, "standard_deduction_single_usd": 15750, "standard_deduction_mfj_usd": 31500, "child_tax_credit_per_child_usd": 2200, "child_tax_credit_refundable_actc_usd": 1700, "self_employment_tax_rate": 0.153, "social_security_wage_base_usd": 176100, "filing_threshold_mfs_usd": 5, "filing_threshold_self_employment_usd": 400 }, "fbar": { "filing_threshold_usd": 10000, "filing_threshold_source": "31 U.S.C. §5314; 31 CFR 1010.350; $10,000 set by 31 CFR 1010.306(c)", "penalty_nonwillful_max_usd": 16536, "penalty_willful_min_usd": 165353, "penalty_source": "31 CFR 1010.821 inflation adjustment, for penalties assessed on or after 2025-01-17; FinCEN" }, "form_8938_thresholds_abroad": { "single_year_end_usd": 200000, "single_any_time_usd": 300000, "mfj_year_end_usd": 400000, "mfj_any_time_usd": 600000 }, "renunciation": { "fee_usd": 450, "fee_effective": "2026-04-13", "fee_previous_usd": 2350, "source": "Federal Register 2026-04931 (final rule, 2026-03-13)" }, "statutory_quotes": { "q0": { "label": "Specified tax-deferred accounts, deemed distributed the day before expatriation", "source": "IRC §877A(e)(2)", "url": "https://www.law.cornell.edu/uscode/text/26/877A", "verbatim": "an individual retirement plan (as defined in section 7701(a)(37)) other than any arrangement described in subsection (k) or (p) of section 408, a qualified tuition program (as defined in section 529), a qualified ABLE program (as defined in section 529A), a Coverdell education savings account (as defined in section 530), a health savings account (as defined in section 223), and an Archer MSA (as defined in section 220)", "verified": "2026-08-08" }, "q1": { "label": "Criminal tax limitations period (3-year general rule; 6 years for listed offenses including evasion)", "source": "IRC §6531", "url": "https://www.law.cornell.edu/uscode/text/26/6531", "verbatim": "No person shall be prosecuted, tried, or punished for any of the various offenses arising under the internal revenue laws unless the indictment is found or the information instituted within 3 years next after the commission of the offense, except that the period of limitation shall be 6 years— (1) for offenses involving the defrauding or attempting to defraud the United States or any agency thereof, whether by conspiracy or not, and in any manner; (2) for the offense of willfully attempting in any manner to evade or defeat any tax or the payment thereof", "verified": "2026-08-09" }, "q2": { "label": "Form 8854 failure-to-file penalty", "source": "IRC §6039G(c)", "url": "https://www.law.cornell.edu/uscode/text/26/6039G", "verbatim": "such individual shall pay a penalty of $10,000 unless it is shown that such failure is due to reasonable cause and not to willful neglect", "verified": "2026-08-08" }, "q3": { "label": "Net Investment Income Tax", "source": "IRC §1411(a)(1)", "url": "https://www.law.cornell.edu/uscode/text/26/1411", "verbatim": "there is hereby imposed (in addition to any other tax imposed by this subtitle) for each taxable year a tax equal to 3.8 percent of the lesser of", "verified": "2026-08-08" }, "q4": { "label": "Additional Medicare Tax on wages", "source": "IRC §3101(b)(2)", "url": "https://www.law.cornell.edu/uscode/text/26/3101", "verbatim": "a tax equal to 0.9 percent of wages which are received with respect to employment", "verified": "2026-08-08" }, "q5": { "label": "PFIC default excess-distribution regime", "source": "IRC §1291", "url": "https://www.law.cornell.edu/uscode/text/26/1291", "verbatim": "the taxpayer's gross income for the current year shall include (as ordinary income) only the amounts allocated", "verified": "2026-08-08" }, "q6": { "label": "Foreign trust reporting penalties (Forms 3520 / 3520-A)", "source": "IRC §6677(a) and (b)", "url": "https://www.law.cornell.edu/uscode/text/26/6677", "verbatim": "the person required to file such notice or return shall pay a penalty equal to the greater of $10,000 or 35 percent of the gross reportable amount", "verified": "2026-08-08" }, "q7": { "label": "Expatriation date for post-2008 expatriations", "source": "IRC §877A(g)(4); Instructions for Form 8854", "url": "https://www.law.cornell.edu/uscode/text/26/877A", "verbatim": "A citizen shall be treated as relinquishing his United States citizenship on the earliest of", "verified": "2026-08-08" }, "q8": { "label": "Form W-8CE notification deadline for eligible deferred compensation", "source": "Instructions for Form 8854", "url": "https://www.irs.gov/pub/irs-pdf/i8854.pdf", "verbatim": "you must file the Form W-8CE with the payor on the earlier of: The day before the first distribution on or after your expatriation date, or 30 days after your expatriation date", "verified": "2026-08-08" }, "q9": { "label": "Non-grantor trust election requires an IRS letter ruling", "source": "Instructions for Form 8854; Rev. Proc. 2025-1", "url": "https://www.irs.gov/pub/irs-pdf/i8854.pdf", "verbatim": "Before you can make the election, you must get a letter ruling from the IRS as to the value, if ascertainable, of your interest in the trust as of the day before your expatriation date", "verified": "2026-08-08" }, "q10": { "label": "Principal residence gain exclusion", "source": "IRC §121(a), (b)(1), (b)(2)", "url": "https://www.law.cornell.edu/uscode/text/26/121", "verbatim": "The amount of gain excluded from gross income under subsection (a) with respect to any sale or exchange shall not exceed $250,000", "verified": "2026-08-08" }, "q11": { "label": "Foreign tax credit denied for sanctioned countries", "source": "IRC §901(j)", "url": "https://www.law.cornell.edu/uscode/text/26/901", "verbatim": "no credit shall be allowed under subsection (a) for any income, war profits, or excess profits taxes paid or accrued (or deemed paid under section 960) to any country if such taxes are with respect to income attributable to a period during which this subsection applies to such country", "verified": "2026-08-08" }, "q12": { "label": "Section 962 election: individual taxed at corporate rates on GILTI/subpart F", "source": "IRC §962(a)", "url": "https://www.law.cornell.edu/uscode/text/26/962", "verbatim": "the tax imposed under this chapter on amounts which are included in his gross income under section 951(a) shall (in lieu of the tax determined under sections 1 and 55) be an amount equal to the tax which would be imposed under section 11 if such amounts were received by a domestic corporation", "verified": "2026-08-08" }, "q13": { "label": "Nonexempt employees' trust (foreign pension) treatment", "source": "IRC §402(b)(1), (b)(2)", "url": "https://www.law.cornell.edu/uscode/text/26/402", "verbatim": "shall be included in the gross income of the employee in accordance with section 83 (relating to property transferred in connection with performance of services)", "verified": "2026-08-08" }, "q14": { "label": "Controlled foreign corporation definition", "source": "IRC §957(a)", "url": "https://www.law.cornell.edu/uscode/text/26/957", "verbatim": "any foreign corporation if more than 50 percent of", "verified": "2026-08-08" }, "q15": { "label": "Form 3520/3520-A exemption for tax-favored foreign retirement trusts", "source": "Rev. Proc. 2020-17", "url": "https://www.irs.gov/pub/irs-drop/rp-20-17.pdf", "verbatim": "exempts from section 6048 information reporting an eligible individual's transactions with, or ownership of, an applicable tax-favored foreign trust", "verified": "2026-08-08" }, "q16": { "label": "FIRPTA withholding on disposition of a US real property interest", "source": "IRC §1445(a)", "url": "https://www.law.cornell.edu/uscode/text/26/1445", "verbatim": "the transferee shall be required to deduct and withhold a tax equal to 15 percent of the amount realized on the disposition", "verified": "2026-08-08" }, "q17": { "label": "Election to treat a nonresident alien spouse as a US resident", "source": "IRC §6013(g)(1)", "url": "https://www.law.cornell.edu/uscode/text/26/6013", "verbatim": "shall be treated as a resident of the United States", "verified": "2026-08-08" }, "q18": { "label": "IRM: delinquent FBAR, when a penalty will not be asserted", "source": "IRM 4.26.16.3.11 (Manual Transmittal 2025-08-26, superseding 2021-06-24)", "url": "https://www.irs.gov/irm/part4/irm_04-026-016", "verbatim": "A penalty will not be asserted for an account if it is determined that the failure to report the account on a timely filed FBAR was not willful, the failure to report the account on a timely-filed FBAR was due to reasonable cause, and the account was properly reported on the delinquent FBAR", "verified": "2026-08-08" }, "q19": { "label": "Criminal penalty for willful BSA/FBAR violations", "source": "31 U.S.C. §5322(a)", "url": "https://www.law.cornell.edu/uscode/text/31/5322", "verbatim": "A person willfully violating this subchapter or a regulation prescribed or order issued under this subchapter (except section 5315, 5324, or 5336 of this title or a regulation prescribed under section 5315, 5324, or 5336), or willfully violating a regulation prescribed under section 21 of the Federal Deposit Insurance Act or section 123 of Public Law 91–508, shall be fined not more than $250,000, or imprisoned for not more than five years, or both", "verified": "2026-08-08" }, "q20": { "label": "General federal criminal statute of limitations", "source": "18 U.S.C. §3282(a)", "url": "https://www.law.cornell.edu/uscode/text/18/3282", "verbatim": "Except as otherwise expressly provided by law, no person shall be prosecuted, tried, or punished for any offense, not capital, unless the indictment is found or the information is instituted within five years next after such offense shall have been committed", "verified": "2026-08-08" }, "q21": { "label": "FBAR $10,000 filing trigger (operative fragment of 31 CFR 1010.306(c))", "source": "31 CFR §1010.306(c), implementing 31 U.S.C. §5314 via §1010.350", "url": "https://www.law.cornell.edu/cfr/text/31/1010.306", "verbatim": "with respect to foreign financial accounts exceeding $10,000 maintained during the previous calendar year", "verified": "2026-08-09" } }, "us_totalization_agreements_asia_pacific": { "in_force": [ "japan", "south_korea", "australia" ], "no_agreement": [ "singapore", "hong_kong", "china", "thailand", "india", "uae", "philippines", "vietnam", "malaysia" ] } }