Mel Whitney
Articles
PFIC vs CFC: Key differences, tax rules, and reporting requirements for US expats in 2026
A passive foreign investment company is defined by what a foreign corporation earns or holds – specifically, the 75% passive income test or the 50% passive asset test under IRC Sec. 1297(a). A controlled foreign corporation is defined by who owns it – US shareholders owning at least 10% each must collectively hold more than 50% of the...
How to report Wise and Revolut accounts on FBAR in 2026
If you are a US person and your aggregate foreign financial account balances exceeded $10,000 at any point during the calendar year, you must file FinCEN Form 114 – the Repo...
Foreign Earned Income Exclusion (FEIE) guide 2025 returns filed in 2026
The Foreign Earned Income Exclusion lets qualifying US expats exclude up to $130,000 of 2025 earned income on the US tax return filed in 2026. For tax year 2026, the FEIE cap rises to $132,900, but that amount generally applies to returns filed in 2027. FEIE may reduce ...
Foreign Earned Income Exclusion vs Foreign Tax Credit: Which one should you use?
If you're a US citizen or green card holder earning income abroad, one of the first tax decisions each year is whether to use the Foreign Tax Credit (FTC), the Foreign Earned Income Exclusion (FEIE), or both. The choice affects how much US tax you owe, whether you qualify for refundable credits like the Additional Child Tax Credit, and whethe...
FBAR vs. FATCA for US expats: Key differences, filing rules, and when you need both
FBAR and FATCA are two separate US foreign asset reporting regimes. FBAR is filed on FinCEN Form 114 with the Financial Crimes Enforcement Network, a bureau of the US Treasury. FATCA is filed on Form 8938 as an attachment to your Form 1040 with the IRS. Many US expats file both in the same year because the thresholds and asset sc...