Is it true that a US Green Card holder has to declare worldwide earnings to the US even after leaving?

Question

If so, could you still be liable for US taxes even though you work in Europe, employed by a UK company?

Answer 1

The answer is YES, as a US Green Card holder, you are still liable for US taxes even though you work in Europe employed by a UK company.

I refer you to IRS publication 519 "US Tax Guide for Aliens", page 4 Green Card test and page 5 footnotes 1 and 2. Your Green Card essentially means that you are taxed in the same way as a U.S. citizen, unless you affirmatively abandon U.S. residency (see page 4) or you qualify under a treaty (footnote 2 on page 5).

As a "Green Card" holder, you qualify for the foreign earned income exclusion (requiring you to file form 2555 - see IRS publication 54 pages 11-21, Tax Guide for US Citizens and Resident Aliens Abroad). Alternatively, you can take a foreign tax credit on form 1116 for UK taxes paid on your UK earned income in place of the form 2555 exclusion AND you can take a foreign tax credit on form 1116 related to UK taxes on other types of income (e.g. interest and dividend income).

Answer 2

You should also consult an immigration attorney regarding the effect of an extended absence from the US (or claiming to be a foreign resident for tax purposes) on your green card status.

Answer 3

I doubt it but you never know with this current government
I'd contact the IRS and make sure

Answer 4

Absolutely not. Whoever told you this was mistaken.