Hi,
Yes, they'll have to file US tax returns to report worldwide income... They should either live in a country that has a foreign tax so they can take a foreign tax credit (like the UK) or give up their US passports. But that's only on a tax side of things :)
Thanks for the info, ladies. They will have both passports (US/UK) and will grow up in the UK. Guess their 18th birthday prezzies will be a gift certificate to a good tax lawyer! :)
For as long as they are considered the citizens of US, they will have to file for income tax even if they haven't stepped foot in the country. If they don't want to file, it is best to give up their US citizenship and take on their father's?
I was told by the consulate in the country I lived before that YES, they would be required as they are US citizens, just like any other citizen. He was very knowledgeable.
I'm a US citizen (born and raised, lived there for 24 yrs), DH isn't. Our kids will be born outside the US but will automatically be US citizens by birth due to me. Does anyone know if our kids will be required to file US income tax returns when they are grown, even if they never live in the States?