Do I Need to File My Late Tax Returns? - Questions from Readers

Dear Tax Guide, I am a US citizen and retired about 14 years ago. I have been living abroad for the past ten years. However, I have never filed a US tax return during this time. What do I need to do?

Dear Reader,

If you have had no income whatsoever, you can file a tax return reporting zero income.

If you earned income overseas, then you should file a return and claim the foreign earned income exclusion or the foreign tax credit. This will likely make part or all of your foreign income free of US taxes.

If you have pension or retirement income from US sources, that income cannot be excluded from US income taxes. You should file a return to report that income.

You should start filing your late tax returns right away. Start with the last three years, and work back as far as you can go with the financial records you have. A tax accountant who specializes in late tax returns can help you dig up missing financial documents.

Sincerely,

William