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US Tax Advisor for Americans in Israel
Short answer: If you live in Israel and want a US tax advisor, we prepare your US return and the foreign reporting that comes with it. An Enrolled Agent signs. We handle the US side only and do not prepare Israeli returns.
Key takeaways
A US citizen or green-card holder files a US return from Israel, on worldwide income.
Our work is the US side: Form 1040, Form 2555 or Form 1116, FBAR and Form 8938.
Time to file is longer for people abroad, but interest on unpaid tax starts April 15.
If you have missed years, the streamlined procedures may fit a non-willful case.
Tel Aviv, Jerusalem, Haifa or a kibbutz, everything is done remotely.
Two tax systems, one US return
Your US return follows US rules. What you filed in Israel does not replace it, and what you owe in Israel does not cancel it.
Clients here most often ask about Israeli pensions and savings plans, how Israeli and US returns treat the same income, Israeli social insurance contributions, and how a tax treaty applies. We state no rules on those topics. We look at each one case by case at the free review, and only for what it means on the US side.
What we do and what we do not do
We do:
Prepare your US Form 1040 with Form 2555 or Form 1116.
Prepare your FBAR and Form 8938 reporting.
Catch up on past US years, including the streamlined procedures when they fit.
Put an Enrolled Agent behind the signature, and represent you if the IRS sends a letter.
We do not: prepare Israeli returns, advise on Israeli law or contact Israeli authorities. If a US choice turns on an Israeli number, we use the figure your Israeli preparer gives us.
Who this is for
Americans in Israel: people who moved for work, study, family or retirement.
Dual citizens, including people born in the US or to American parents who now live in Israel.
Green-card holders living in Israel, who are US resident aliens and taxed on worldwide income like citizens.
The US forms you may need
Form 1040. The IRS says the rules are generally the same abroad as in the US. For tax year 2025, a single filer under 65 generally must file at $15,750 of gross income, and income you can exclude still counts toward the test. A self-employed person must file at $400 of net earnings from self-employment.
Form 2555. The foreign earned income exclusion tops out at $130,000 for tax year 2025 and $132,900 for tax year 2026, per person. You need a foreign tax home and either the bona fide residence test or 330 full days abroad in a 12-month period. The foreign housing limit is $39,000 for 2025 and $39,870 for 2026. Pension and annuity payments, including social security benefits, are not foreign earned income. The exclusion also does not reduce self-employment tax.
Form 1116. The foreign tax credit is the other route, and you cannot credit foreign tax on income you exclude. We calculate both and show you which comes out better.
FBAR. Due when foreign financial accounts together exceed $10,000 at any time in the year. It goes to FinCEN, not with the return.
Form 8938. Attached to your return. Living abroad and filing jointly, the thresholds are more than $400,000 on the last day of the year or more than $600,000 at any time.
Deadlines for people abroad
April 15 is the standard date.
June 15 applies automatically if you live and have your main place of business outside the US. Attach a statement to the return.
October 15 comes with Form 4868, ticking the box for out of the country.
December 15 is possible by sending the IRS a letter by October 15.
Form 2350 is for people who expect to meet the residence or presence test only after the return is due.
None of these is extra time to pay. The FBAR extends automatically to October 15.
If you are behind
Plenty of Americans in Israel were never told they had to file. The streamlined procedures cover non-willful failures. For people abroad, that is three years of returns, six years of FBARs and payment of tax and interest. The IRS says these filers are not subject to failure-to-file and failure-to-pay penalties unless an exam finds fraud or a willful FBAR violation, and anyone under civil exam or criminal investigation cannot use them. Speak to us first. The streamlined guide has the detail.
Tel Aviv, Jerusalem, Haifa or wherever you live
Location in Israel makes no difference. You upload documents, we talk by phone, and returns with a foreign address can be e-filed. We work with Americans in all 50 states and abroad, and Los Angeles is only our base.
How to pick a US tax advisor in Israel
Look for a license you can verify. An Enrolled Agent is federally licensed by the IRS. The directory is https://irs.treasury.gov/rpo/rpo.jsf.
Ask what they will not do. A clear answer about the limits is a good sign.
Ask who signs the return.
Get a flat fee in writing before any work, and walk away from promises of refunds or outcomes made before anyone sees your records.
Start with a free review
Call or text (323) 900-0305, or book your free 20-minute review. We give you a flat fee in writing before work starts.
General information, not tax advice for your situation.
Frequently Asked Questions
Do I file a US return if I live in Israel and pay Israeli tax?
Usually yes, when worldwide gross income is above the filing threshold. The exclusion or credit may reduce your US tax.
Do you prepare Israeli tax returns?
No. We prepare the US side only. You need an Israeli preparer for local returns.
Can you help with my Israeli pension?
We review it case by case at the free review. We do not advise on Israeli law.
Do I need an FBAR and Form 8938?
Possibly both. They have different thresholds and are filed in different places. We check each one.
I have not filed for several years. What now?
Book the free review before filing anything. We see which years are missing and whether the streamlined procedures fit.
Last reviewed: October 2026 by Sabih Shafi, EA
Related Reading
Talk to an Enrolled Agent
This article is general information, not individual tax advice. If you want to talk through your own IRS or state balance, book a free 20-minute review or call or text us directly.
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