US tax returns for UK residents

Do you need to file a US tax return?

If your income for the year is above the standard deduction ($12,550 for single taxpayers, $25,100 for married filing jointly taxpayers in 2020), you are required to file a US tax return. If you’re married and filing separately from your spouse, or if you’re married to a non-resident alien (such as a UK citizen) you have a filing requirement if your income exceeds $5. 

It’s not always the tax return itself that is the most important form to file. If you have a financial interest in non-US financial accounts or other overseas assets such as non-US pensions, you may be required to report those assets to the IRS/Treasury Department. If you spend time working in the US while living in the UK, this could also trigger US State tax return filing obligations.

What about UK tax?

If you reside in the UK, you may also be required to file UK tax returns, particularly if you have income which doesn’t have tax withheld at source. Most commonly this will be investment income such as interest or dividend income, or rental income. Essentially it is any income that is not employment income.

How we can help

We can help you to file your US and UK tax returns, or just one or the other if need be. In 2020, we prepared over 1,500 US and 1,100 UK tax returns, each with different needs and circumstances. It’s important to file on time to avoid penalties and interest so if you’re late in filing or new to the process, we’re on hand to help ensure you pay the right tax, to the right taxman, at the right time.

US tax rates, allowances and upcoming deadlines

It can be difficult to stay on top of tax amid day-to-day living, but there are some important dates that you may need to be aware of. Our latest US tax rates and allowances guide contains up to date information on Federal, California and New York tax rates, together with Federal filing and payment deadlines for US persons residing outside the US.

Click here to download your free copy

Why work with Buzzacott?

For more than 50 years, our team of over 55 dually qualified US and UK tax professionals have helped US expatriates understand and comply with ever increasing tax regulations and minimise their tax liabilities wherever possible. We specialise in providing US and UK personal tax services and are a leading provider for cost effective solutions to individuals, companies, partnerships and trusts. We are flexible in the way we work, like to get to know our clients well and are passionate about looking after them. 

Our clients comment on our ability to deliver an exceptional service with empathy and authenticity. We believe the size of our team and regular communication allows the unparalleled opportunity to specialise, while maintaining close personal attention that is vital for you.