A U.S. citizen living overseas and earning less than the foreign earned income exclusion amount should still file a U.S. tax return. Even if your income is below the exclusion threshold (which is $112,000 for 2023), the IRS requires U.S. citizens and resident aliens to report their worldwide income. This requirement applies regardless of where you live or where your income is earned.If your foreign earned income is below the exclusion amount, you may not owe any U.S. taxes, but you must still file Form 1040 and Form 2555 to claim the foreign earned income exclusion. Additionally, filing a return can help you establish a record of your earnings and protect your rights to social security benefits or other future claims.It's also important to note that there may be other filing requirements, such as reporting foreign bank and financial accounts (FBAR) if you have accounts that exceeded certain thresholds at any point during the year.