I am a German, married to a US citizen, now living and working in the UK, since Sept 2012. I already did my first self assessment
here (and a US joint tax
return with my wife for 2012). We payed quite a bit of taxes in the US, and almost no in the UK for 2012 (I will have to pay like 20 Dollars in January 2014.
Before that, we used to live in Boston MA. We got married in 2011, I got my temp green card in May 2012 and we do not intend to go back to America (maybe in 5 years, once my wife has her EU passport, who knows, but for now, we are here, I am going to surrender my green card before the year ends!)
My question is now, how would our tax payments
look like next year? What is the best strategy? Are we going to file for extension for the US tax declaration, and then do both our UK tax declarations, hoping, that we pay more UK taxes, so we eventually don't owe any US taxes!? Or would we do our US taxes, get the tax return, and then do our UK taxes, and pay the UK tax due minus the US tax payed?
How is the usual approach here? I just wonder, most of all, if I need to put money aside for April to pay the IRS...