Hey Digital Nomads!
If you are constantly traveling, let’s say a different country every month, how do you handle your taxes? Let’s say your last location of permanent domicile was Colorado hypothetically. Let’s say that was years ago, how do you handle taxes? Do you pay taxes as if you are still living in Colorado while constantly moving countries? Thanks in advance!
PS, asking for a friend 🙄
I’ve lived in 6 countries for a few months at a time the last 3 years. You pay tax by residency. This will make it easier for you. Depending if you make decent money (tax bracket) and if you have any connections/family in low tax US states, change residency to there
Thanks, this is helpful. But for “residency”, would that be the last place you lived? Or would you use a home where a friend or family member live as the address?
It’s where you live now.
But I don’t live anywhere specifically
No, where are you RIGHT NOW. As you type this.
The FEIE has that as the final indicator of where the income originated.
Or just don’t have a state residence anymore