Publication 516 - Introductory Material


Future Developments

For the latest information about developments related to Publication 516, such as treaties effective after it was published, go to www.irs.gov/pub516.

Reminders

Combat zone participants. If you were a civilian who served in a combat zone or qualified hazardous duty area in support of the U.S. Armed Forces, you can get certain extensions of deadlines for filing tax returns, paying taxes, filing claims for refund, and doing certain other tax-related acts. For details, see Publication 3, Armed Forces' Tax Guide.

Death due to terrorist or military action. U.S. income taxes are forgiven for a U.S. Government civilian employee who dies as a result of wounds or injuries incurred while employed by the U.S. Government. The wounds or injuries must have been caused by terrorist or military action directed against the United States or its allies. The taxes are forgiven for the deceased employee's tax years beginning with the year immediately before the year in which the wounds or injury occurred and ending with the year of death. If the deceased government employee and the employee's spouse filed a joint return, only the decedent's part of the joint tax liability is forgiven. For additional details, see Publication 559, Survivors, Executors, and Administrators.

Form 8938. If you have or had foreign financial assets, you may have to file Form 8938 with your return. See Foreign Bank Accounts, later.

Introduction

If you are a U.S. citizen working for the U.S. Government, including the foreign service, and you are stationed abroad, your income tax filing requirements are generally the same as those for citizens and residents living in the United States. You are taxed on your worldwide income, even though you live and work abroad.

However, you may receive certain allowances and have certain expenses that you generally do not have while living in the United States. This publication explains:

  • Many of the allowances, reimbursements, and property sales you are likely to have, and whether you must report them as income on your tax return, and

  • Many of the expenses you are likely to have, such as moving expenses and foreign taxes, and whether you can deduct them on your tax return.

U.S. possessions.   This publication does not cover the rules that apply if you are stationed in American Samoa, Guam, the Commonwealth of the Northern Mariana Islands, the Virgin Islands, or Puerto Rico. That information is in Publication 570, Tax Guide for Individuals With Income From U.S. Possessions.

Comments and suggestions.   We welcome your comments about this publication and your suggestions for future editions.

  You can send your comments to:

Internal Revenue Service 
Tax Forms and Publications Division 
1111 Constitution Ave. NW, IR-6526 
Washington, DC 20224

  We respond to many letters by telephone. Therefore, it would be helpful if you would include your daytime phone number, including the area code, in your correspondence.

  You can send us comments from www.irs.gov/formspubs/. Click on “More Information” and then on “Give us feedback.

  Although we cannot respond individually to each comment received, we do appreciate your feedback and will consider your comments as we revise our tax products.

Ordering forms and publications.   Visit www.irs.gov/formspubs/ to download forms and publications, call 1-800-829-3676, or write to the address below and receive a response within 10 days after your request is received.

Internal Revenue Service 
1201 N. Mitsubishi Motorway 
Bloomington, IL 61705-6613

Tax questions.   If you have a tax question, check the information available on IRS.gov or call 1-800-829-1040. We cannot answer tax questions sent to either of the previous addresses.

Useful Items - You may want to see:

Publication

  • 54 Tax Guide for U.S. Citizens and Resident Aliens Abroad

  • 463 Travel, Entertainment, Gift, and Car Expenses

  • 514 Foreign Tax Credit for Individuals

  • 519 U.S. Tax Guide for Aliens

  • 521 Moving Expenses

  • 523 Selling Your Home

Form (and Instructions)

  • Schedule A (Form 1040) Itemized Deductions

  • 1116 Foreign Tax Credit

  • 2106 Employee Business Expenses

  • 2106-EZ Unreimbursed Employee Business Expenses

  • 3903 Moving Expenses

  • 4868 Application for Automatic Extension of Time To File U.S. Individual Income Tax Return

  • 8938 Statement of Specified Foreign Financial Assets

  • FinCEN Form 114 Report of Foreign Bank and Financial Accounts (FBAR)

See How To Get Tax Help near the end of this publication, for information about getting these publications and forms.


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