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SensibleandHourly
Level 6
May 2, 2026
Question

Ex Pat unsure of when to file

  • May 2, 2026
  • 2 replies
  • 0 views

Greetings! 

Hope everyone survived tax season. 🙂 

I'm working on an ex-pat return. Client messaged me today and had the following question after reviewing her Norwegian tax page which stated: "The tax return shows that you have underpaid tax. This means you will receive your tax assessment notice in June at the earliest. Unfortunately, we cannot give you a specific date, but we will let you know.

"Do I need to wait to file my US Tax returns until I know how much I’ve paid in Norwegian tax?"
 
I think, yes, in case she qualifies for the foreign earned income exclusion credit? 
 
Always appreciate everyone's input!
Dawn 
 

2 replies

Level 15
May 2, 2026

@SensibleandHourly wrote:
in case she qualifies for the foreign earned income exclusion credit? 

 

If she uses the Foreign Tax Credit, the amount of foreign tax could affect things, depending on if she uses "paid" or "accrued".

If she does not use the Foreign Tax Credit and only uses for the Foreign Earned Income Exclusion, the amount of foreign tax they pay has no effect.  They can file now.

 

SensibleandHourly
Level 6
May 2, 2026

Hmmm..... I'm looking at her prior year return. She did pay foreign taxes but did not have a foreign tax credit resulting from those taxes. But she did use the foreign income exclusion. 

So, no need to wait.

Thank you!!

 

Level 15
May 2, 2026

@SensibleandHourly wrote:

I'm looking at her prior year return. She did pay foreign taxes but did not have a foreign tax credit resulting from those taxes. But she did use the foreign income exclusion. 


 

Just because the prior year didn't have the Foreign Tax Credit doesn't necessarily mean the current year won't have one.

Have you CHECKED if it will make any difference?  If they have non-earned income (or Earned income in excess of the limits for the exclusion), then the Foreign Tax Credit might apply.  Check it out before you file.

 

BobKamman
Level 15
May 2, 2026

@SensibleandHourly "The tax return shows that you have underpaid tax. This means you will receive your tax assessment notice in June at the earliest. "

Norwegian returns are due April 30.  Looks like the return was filed.  Likely, it shows the amount of tax.  As in the U.S., the tax is not owed until it is assessed by the tax agency (here, the IRS).  We do it within weeks, but Norway apparently takes a closer look at each return and waits until June to make the assessment.  (In some cases, they say it might take until November.)

But if this is someone who owes no US tax because their income is less than the exclusion amount, you don't need to worry about foreign tax. However, the fact they did not claim the credit last year, when their income might have been below the exclusion amount, doesn't mean they won't need to claim it this year, if their income increased above the exclusion amount.