FAQs

Do I need to file a U.S. tax return if I’m an Australian living in the USA?

Yes. If you are a U.S. resident for tax purposes (usually under the Substantial Presence Test or by holding a green card), you must report your worldwide income to the IRS, even income earned in Australia.

Do I still need to file an Australian tax return?

It depends. If you are considered a non-resident for Australian tax purposes, you may only need to report Australian-sourced income (like rent from property in Australia). If you remain an Australian tax resident, you must file a full return in both countries. Residency tests in Australia are strict, so this often requires careful analysis.

Will I be double taxed?

No, not if planned correctly. The Australia–U.S. tax treaty and foreign tax credits generally prevent double taxation. The order in which you file and claim credits matters.

What is the FBAR and do I need to file it?

Yes, if you have more than USD $10,000 combined across foreign accounts (bank, superannuation, brokerage, etc.) at any time during the year, you must file an FBAR (FinCEN Form 114). Penalties for missing this are severe.

Is my Australian superannuation taxable in the U.S.?

Superannuation is a gray area. The IRS doesn’t recognize super as a tax-free retirement account the way Australia does. Contributions and growth may be taxable in the U.S., depending on the type of fund and your contributions. Reporting is always required.

Do I need to report my Australian rental property?

Yes. The rental income and expenses must be reported on your U.S. tax return. Depreciation rules differ between the two countries, so your taxable income may look different in each system.

Can I use Australian taxes paid as a credit in the U.S.?

Yes, in most cases. Foreign tax credits can offset U.S. tax owed, but the rules are complex and don’t always match perfectly.

Do J-1 or F-1 visa holders pay U.S. Social Security and Medicare tax?

Generally no, unless you become a resident for tax purposes and lose the exemption. Australians on certain visas may also benefit from the Australia–U.S. totalization agreement.

What about capital gains in Australia—do I report them in the U.S.?

Yes. If you are a U.S. tax resident, you must report all worldwide gains. This includes property, shares, and crypto sold in Australia. The U.S. and Australia may tax them differently, so timing matters.

Can you help me file in both countries?

Yes. We specialize in Australians in the U.S. We prepare U.S. federal and state returns, and can coordinate with Australian accountants to make sure both returns line up.