It is optional.... some people on the forum have submitted the form after leaving the US.

 

1. It is only optional in that IRS has limited ability to enforce it and I believe they do not monitor or actively enforce compliance, in part because it would require DHS or the State Department to provide information on departures to the IRS, or at the very least require the carrier to check and validate, 1) if one was required and 2) if it was valid. Or alternative set up exit checkpoints . I recall reading an Auditor General's report that basically the requirements of Sec. 6851(d) are the least complied with tax requirement of all tax forms DHS would have to return to the practice of outbound port controls

PRO - you are compliant with Sec. 6851(d) and can thing smug thoughts about your compliance while carrying a doc no one will ever ask for.. but are safe and secure in the knowledge that if at some point in the future you return to the US and policy has changed that you did the right thing.
CON - Its a PITA to get. I believe you actually have to make an in person appointment at your local IRS office within 2-4 weeks of your departure (you cannot apply more than 30 days before your departure, potentially bringing your tax paperwork for the past 3 years along with you and you you may have to pay a bond to cover any potential tax owed.

2. You are way overthinking it. There is no automatic audit, there are no rubber gloves and forensic audits involved.

3. Its going to depend a bit on your bank. Some will not care that you are no longer a US person, some will want to close your . Make discrete inquiries now on that regard and plan accordingly. You won't loose access to your funds by virtue of abandoning your green card, but do bear in mind transacting on the may be harder once you are no longer in the US. So you need to think now about how and when you might want access to any funds you leave behind. Of course if you don't have a foreign bank now, it may be very difficult to create a before you return due to know your customer laws that are common worldwide.

 

Thank you everyone

 

I just talked with expat lawyer and he told me the best way for me would be to leave in December and file I-407, so I don't have problems with substantial presence test.
And that I can file taxes later, like in February. I was planning on leaving on 20 of December and send I-407 form as soon as I land. Do you think it sounds like a solid plan?
Also, if I already know my income for 2024, don't you think it's better to file my taxes before 2024 as well since I want to close my bank s before I leave. Or that could be problematic and unnecessary?

 

Also, if I already know my income for 2024, don't you think it's better to file my taxes before 2024 as well since I want to close my bank s before I leave. Or that could be problematic and unnecessary?

You normally can't file taxes for year N until late January, N+1. The forms for a given year usually don´t get finalized until December of the year, and the IRS doesn't open up filing until late January of the following year.

 

Also, for my driver license, can I use it after I file I-407 in other countries? Should I make it international or take any other steps now?

 

I just called US consulate and they said they don't accept I407 in person for many years already. Is there any way to know how many days prior to New Year I should file I-407 with DHL to be confident my date of relinquishment is in 2024 not 2025? Is December 20 too late? Still didn't get tickets and very confused