Yearly Average Currency Exchange Rates

What Currency Exchange Rate Do I Use When Preparing my Tax Return?

When you are a US expat, green card holder or a US resident who received income or paid any expenses in a foreign currency, you must translate the foreign currency into US dollars when preparing your tax return. The only exception relates to some qualified business units (QBUs) which are generally allowed to use the currency of a foreign country.

Allowable Currency Exchange Rates

What is important to remember is that the Internal Revenue Service has no official exchange rate. The IRS will normally accept any posted exchange rate that is used consistently. When preparing your Form 1040, Form 2555, Form 1116 or any other necessary tax form use the rate that applies to your specific facts and circumstances.

What exchange rate do I use if I received income such as interest or dividends in a single transaction in a foreign currency? If you have a single transaction such as interest income, dividend income or the sale of a business that occurred on a single day, use the exchange rate for that day.

What exchange rate do I use if I earned income or paid expenses in a foreign currency evenly throughout the year? You can translate the foreign currency to U.S. dollars using the yearly average currency exchange rate for the tax year.

Yearly average currency exchange rates

The table below published on the IRS website at http://www.irs.gov/Individuals/International-Taxpayers/Yearly-Average-Currency-Exchange-Rates includes yearly average exchange rates for prior years. It was revised on November 1, 2011, to reflect the typical cash exchange rates for the listed countries and years. For additional exchange rates, refer to Foreign Currency and Currency Exchange Rates.

How do I use the table below? To convert from foreign currency to U.S. dollars, divide the foreign currency amount by the applicable yearly average exchange rate in the table below. To convert from U.S. dollars to foreign currency, multiply the U.S. dollar amount by the applicable yearly average exchange rate in the table below. (Source: www.irs.gov)

Country

Currency

2018

2017

2016

2015

2014

2013

2012

Afghanistan

Afghani

73.598

71.086

70.645

63.653

59.771

57.822

53.130

Algeria

Dinar

117.409

115.876

114.431

104.883

84.242

83.339

81.301

Argentina

Peso

28.167

17.227

15.359

9.617

8.448

5.704

4.738

Australia

Dollar

1.340

1.358

1.400

1.345

1.154

1.078

1.005

Bahrain

Dinar

0.395

0.395

0.395

0.395

0.394

0.395

0.395

Brazil

Real

3.655

3.322

3.632

3.468

2.451

2.249

2.035

Canada

Dollar

1.297

1.350

1.379

1.329

1.149

1.071

1.040

Cayman Islands

Dollar

0.833

0.884

0.886

0.885

0.883

0.873

0.872

China

Yuan

6.620

7.030

6.910

6.489

6.394

6.446

6.573

Denmark

Krone

6.319

6.864

7.000

6.991

5.844

5.843

6.025

Egypt

Pound

17.809

18.586

10.462

8.044

7.399

7.185

6.348

Euro Zone

Euro

0.848

0.923

0.940

0.937

0.784

0.783

0.809

Hong Kong

Dollar

7.838

8.105

8.073

8.062

8.065

8.067

8.068

Hungary

Forint

270.441

285.583

293.083

290.638

242.076

232.771

234.421

Iceland

Krona

116.379

111.231

126.256

137.471

121.574

127.323

130.282

India

Rupee

68.422

67.809

69.956

66.768

63.469

60.936

55.911

Iraq

Dinar

1193.478

1241.677

1236.453

1231.234

1228.786

1225.266

1224.581

Israel

New Shekel

3.596

3.746

3.997

4.052

3.723

3.759

4.014

Japan

Yen

110.424

116.667

113.138

125.911

110.101

101.517

83.008

Lebanon

Pound

1511.677

1593.969

1593.639

1588.880

1591.284

1589.155

1583.096

Mexico

Peso

19.227

19.679

19.435

16.505

13.840

13.275

13.695

Morocco

Dirham

9.389

10.230

10.279

10.206

8.828

8.829

9.064

New Zealand

Dollar

1.447

1.465

1.494

1.492

1.255

1.270

1.285

Norway

Kroner

8.143

8.606

8.745

8.392

6.558

6.117

6.056

Qatar

Rial

3.642

3.850

3.791

3.790

3.794

3.796

3.798

Russia

Rouble

62.845

60.692

69.685

63.659

40.118

33.165

32.407

Saudi Arabia

Riyal

3.753

3.903

3.903

3.903

3.902

3.901

3.902

Singapore

Dollar

1.349

1.437

1.437

1.430

1.318

1.302

1.300

South Africa

Rand

13.258

13.859

15.319

13.281

11.286

10.037

8.553

South Korean

Won

1100.587

1178.585

1211.121

1179.128

1098.233

1142.933

1175.380

Sweden

Krona

8.703

8.894

8.910

8.775

7.138

6.780

7.048

Switzerland

Franc

0.979

1.024

1.025

1.001

0.952

0.964

0.976

Taiwan

Dollar

30.152

31.683

33.586

33.089

31.566

30.945

30.849

Thailand

Baht

32.317

35.372

36.778

35.679

33.841

32.027

32.456

Tunisia

Dinar

2.710

2.513

2.237

2.044

1.771

1.695

1.629

Turkey

New Lira

4.849

3.794

3.146

2.834

2.276

1.982

1.874

United Arab Emirates

Dirham

3.673

3.821

3.821

3.821

3.821

3.821

3.821

United Kingdom

Pound

0.750

0.808

0.770

0.681

0.632

0.665

0.656