Form 8833 (treaty-based return position disclosure)

Treaty-Based Return Position Disclosure Under Section 6114 or 7701(b). §6114 requires disclosure when you rely on a treaty to take a position that overrides or modifies any Code provision and thereby reduces your tax — for example re-sourcing income to make it creditable, or claiming a treaty exemption for a pension. Regulation §301.6114-1(c) waives disclosure for several common situations, which is why many expats claim treaty benefits without ever filing the form. §6712 sets the penalty for a required-but-omitted disclosure at $1,000 for an individual. Filing Form 8833 is a disclosure, not a request for permission: it does not mean the IRS has agreed with the position. For a US citizen the saving clause usually blocks the position in the first place, so the useful question is normally which exception to the saving clause you are relying on.