They still have to file income taxes. But, most places have higher taxes than the USA. Most places also have reciprocal tax agreements with the US. There’s also a deduction of something like $100k, so the first $100k (or local equivalent) you earn in another country isn’t taxed. As a result, unless you’re making high six figures, you don’t actually owe any American taxes.
OTOH, just filing US taxes is a real pain in the ass. In the US it’s made very slightly easier by your employer, bank, etc. all supplying you with the tax forms you need. If you’re overseas, you need to figure out the info you’d need to supply on that form yourself.
They still have to file income taxes. But, most places have higher taxes than the USA. Most places also have reciprocal tax agreements with the US. There’s also a deduction of something like $100k, so the first $100k (or local equivalent) you earn in another country isn’t taxed. As a result, unless you’re making high six figures, you don’t actually owe any American taxes.
OTOH, just filing US taxes is a real pain in the ass. In the US it’s made very slightly easier by your employer, bank, etc. all supplying you with the tax forms you need. If you’re overseas, you need to figure out the info you’d need to supply on that form yourself.