@ccoutin1 wrote:
You certainly know your stuff! Thank you again so much!
We do still have bank accounts, an address and credit cards. I just regret not keeping a US mobile. That was a big mistake.
It sounds like it’s going to get very complicated doing it through turbo tax, so maybe I should just look for an expat accountant here in the UK? There’s a turbo tax CD you can buy? How long does it normally take turbo tax to complete everything from start to finish? I am just worried about time. We will normally be in the UK for over 330 days per year, but weren’t last year as we only moved here in July, so we will most likely have to pay more this year.
Turbotax has always been available as a CD or download to install on your own computer, even though the web-based online site is more popular these days. Review the system requirements before you buy a copy.
https://turbotax.intuit.com/personal-taxes/cd-download/tta-system-requirements
I don't think you can order a CD delivered to an overseas address, though, even through Amazon, I think there's an export restriction for some reason. You may be able to buy a downloadable installer from Amazon or directly from Intuit if you have a US credit card with a US address. Or someone in the states can buy a CD and ship it to you.
How long does it normally take turbo tax to complete everything from start to finish?
I don't quite know what you mean. Turbotax can prepare a return as fast as you can gather and enter all the data. If you have all your information at hand, a few hours will be enough for most people. Note, however, that once Turbotax is installed on your computer, it requires a good internet connection because it must make frequent updates. This year especially, Turbotax is not likely to be ready to file every tax situation until March, partly due to last minute tax law changes and IRS delays. (Turbotax can currently prepare most typical situations except covid-related distributions from retirement accounts.)
Also, you have two extension options to file your tax return. Any taxpayer can get an automatic 6 month extension by filing form 4868 before the regular deadline of April 15. Turbotax will have this functionality in mid-March, or you can mail the form on paper.
Also, as an overseas taxpayer, you have an automatic 2 month extension already, to June 15. However, to use this extension, you must mail your return instead of e-filing and attach a written statement explaining that you live outside the US. If you e-file after April 15, it will be considered late, even if you live overseas, unless you file form 4868 to get the extension through October 15.
https://www.irs.gov/forms-pubs/extension-of-time-to-file-your-tax-return
"we will most likely have to pay more this year. "
Maybe, maybe not. If you pay foreign tax on your income earned from working, you can take a deduction or credit on your US tax return which will at least reduce the burden of double taxation if not eliminate it completely. The ability to exclude foreign earned income if you are overseas more than 330 is a more effective way of avoiding double taxation, but you still have the credit if you are overseas less than 330 days.
