As a long time expat let me tell you this is a nightmare
You still have to fill the mountains of US tax documents.
Second when you do return to the US you WILL BE audited and you WILL be found to have improperly filed the returns while living overseas. The tax code is very specific if you live overseas you are assumed to be a tax cheat.
The real question should be: If you live and work outside the US and do not spend more than 30 days inside the US why do you still owe US taxes at all?
If Obama would have the US tax code redone so that the US taxed on residency (Like the rest of the world)rather than citizenship, as much as I hate him, I’d consider voting for him for a third term. The US tax laws for expats are simply evil.
So please don’t think it is any kind of break in your taxes
If we just used a sales tax and abolished the IRS, we wouldn’t have any of these problems.
(But that would take away power from the government.)