Americans living in Italy are still required to file U.S. taxes each year, even if they earn income abroad. The United States taxes its citizens based on worldwide income, which means expats must report foreign earnings and bank accounts to the IRS. This guide explains the 2026 tax deadlines, extensions available to Americans abroad, and the key forms you may need when filing from Italy.
A Guide for U.S. Citizens and Resident Aliens
Living in Italy—or anywhere outside the U.S.—doesn’t exempt you from your American tax obligations. U.S. citizens and resident aliens are required to file federal tax returns each year, regardless of where they reside. If you’re an American living abroad, here’s what you need to know to stay compliant with the IRS.
Key U.S. Tax Deadlines for Americans Abroad (2026)
For the 2025 tax year filed in 2026, Americans living abroad benefit from additional filing time.
Important dates include:
- April 15, 2026 – Standard tax filing deadline and payment due
- June 15, 2026 – Automatic filing extension for Americans living abroad
- October 15, 2026 – Final filing deadline if Form 4868 extension is requested
Even though Americans abroad receive an automatic extension to June 15, any taxes owed must still be paid by April 15 to avoid interest charges.
See IRS guidance on filing deadlines for U.S. citizens abroad.
Who Needs to File?
If your income is above a certain threshold, you are required to file a federal tax return. These thresholds vary based on your filing status, age, and income type.
👉 Use the IRS Interactive Tax Assistant to check if you need to file.
How to File from Abroad
You can file your return electronically using approved tax software, through a tax professional, or by mailing it to the appropriate IRS address for international filers.
Check where to send your return: Where to File Paper Tax Returns
Foreign Earned Income Exclusion (FEIE)
If you qualify, you can exclude up to $130,000 (2025) of foreign-earned income using Form 2555.
You must meet one of these tests:
- Bona Fide Residence Test – you lived abroad for the entire calendar year
- Physical Presence Test – you were outside the U.S. for 330 full days in a 12-month period
Read more about the Foreign Earned Income Exclusion.
Avoid Double Taxation: Foreign Tax Credit
If you paid taxes in Italy or another country, you might be able to claim a Foreign Tax Credit using Form 1116, reducing what you owe the IRS.
More info: Foreign Tax Credit
Reporting Foreign Bank Accounts (FBAR)
Americans living abroad may also need to file an FBAR (Foreign Bank Account Report).
You must file an FBAR if the combined balance of your foreign financial accounts exceeded $10,000 at any point during the year.
FBAR deadlines:
- April 15, 2026 – Standard filing deadline
- October 15, 2026 – Automatic extension
FBAR reports are submitted separately through the FinCEN system, not through the IRS tax return.
Source: https://www.fincen.gov/report-foreign-bank-and-financial-accounts
FATCA and Form 8938
In addition to FBAR, you may need to file Form 8938 under the Foreign Account Tax Compliance Act (FATCA) to report foreign financial assets.
Read about FATCA requirements here.
Get Help If You Need It
U.S. expat tax laws can be complicated, but you don’t have to navigate them alone. Consider hiring a tax professional who specializes in international returns or use expat-friendly filing software.
Visit the IRS International Taxpayers page for more resources and updates and https://www.irs.gov/individuals/international-taxpayers/us-citizens-and-resident-aliens-abroad
Article by Easy Milano editorial staff
Last updated: March 2026
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