Expat Itemized Deductions

US expatriates can claim many of the same itemized deductions on their US expatriate tax returns as back home.


Casualty disaster and theft losses


The rules and regulations around casualty, disaster and theft losses are the same for both taxpayers living in the US and US expats.


US expats can claim tax deductions for casualty, disaster and theft losses of foreign property on the Schedule A form. To be eligible to claim this type of loss on your US expat tax return you must:

·      Itemize the deduction on Schedule A

·      Be a taxpayer with taxable income.


Charitable Donations


The rules that apply to taxpayers in the US relating to charitable contributions also apply to US expat taxpayers


In order to qualify tax deductions:

·      Charitable contributions must be towards a qualified organization

·      The tax deductions must be itemized on Schedule A

·      You must be a taxpayer with taxable income


Foreign Mortgage Interest Deduction


If you are a US expat that owns a home overseas you may qualify for the mortgage interest deduction on your foreign home.


If you are an American or a green card holder you are able to deduct mortgage interest paid on qualified foreign home if the following criteria are met:

·      The deduction is itemized on your Schedule A form

·      You have an ownership interest in a qualified home on which the mortgage is a secured debt


For more advice on itemized deductions for US citizens living abroad contact us now