Americans never fully escape US tax obligations by moving to Sint Maarten — but with correct planning, the burden can be dramatically reduced. We coordinate FBAR, FATCA, FEIE, and Foreign Tax Credits alongside your SXM Penshonado strategy.
These are the thresholds that determine whether you must report. Exceeding them without filing carries severe penalties.
| Obligation | Filing Form | Threshold | Deadline | Penalty for Non-Filing |
|---|---|---|---|---|
| FBAR | FinCEN 114 | Foreign accounts exceeding $10,000 at any point in the year | April 15 (auto-extended to Oct 15) | Up to $10,000/year (willful: greater of $100,000 or 50% of account value) |
| FATCA | Form 8938 | Foreign assets exceeding $200,000 at year-end (or $300,000 at any time); $50,000/$75,000 if US-based | April 15 with tax return | $10,000 base penalty + $50,000 if not filed after notice |
| FEIE | Form 2555 | Earned income from outside US while meeting bona fide residence or physical presence test | April 15 with tax return | Forfeiture of exclusion; potential back-taxes + interest |
| Foreign Tax Credit | Form 1116 | Any foreign income taxes paid — no minimum threshold | April 15 with tax return | Missed credit opportunity; no penalty for not claiming |
* Thresholds and deadlines are based on 2026 IRS guidance. All figures in USD. This is informational, not legal advice — CaribTax coordinates with qualified US tax counsel for all American clients.
We don't just flag problems — we build a coordinated US/SXM tax position that minimizes your combined global burden.
We review all foreign financial accounts for FBAR thresholds and prepare your FinCEN 114 filing, including multi-year late filers and penalty mitigation under the Streamlined Program.
Form 8938 preparation, foreign asset threshold analysis, and coordination with your Sint Maarten bank and investment accounts.
We maximize your Foreign Earned Income Exclusion and Foreign Tax Credit claims, modeling which combination reduces your US tax burden most effectively alongside your SXM Penshonado position.
Your US and Sint Maarten positions must be coordinated — not filed in isolation. We ensure your Penshonado structure doesn't inadvertently create US tax complications.
For Americans who have not been filing required reports, the IRS Streamlined Foreign Offshore Procedures offer a path to compliance with significantly reduced penalties — if properly structured.
We coordinate with vetted, expat-specialist US CPAs for matters requiring licensed US tax practitioners — ensuring both sides of your filing are handled by specialists.
CaribTax provides Sint Maarten tax advisory and US/SXM coordination services. US federal and state tax advice requiring a licensed CPA or attorney is provided in coordination with our vetted US practitioner network.
We do not provide US legal advice or represent clients before the IRS independently. All compliance information above is educational and subject to change based on IRS guidance.
Whether you're planning your move, already in Sint Maarten and not fully compliant, or looking to optimize your combined US/SXM tax position — we'll assess your situation and map a clear path forward.
