Is US rental income eligible for the foreign earned income exclusion or the foreign tax credit if we are living overseas and that US income is taxed in both countries?

raymil114 · ‎January 24, 2020

MinhT1 · ‎January 24, 2020

On your US tax return, US rental income is not foreign income and as such is not eligible for the foreign earned income exclusion or foreign tax credit.

For your foreign tax return, you need to consult a local tax professional.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

Anonymous · ‎January 24, 2020

i disagree in part. no foreign earned income exclusion for rental since it is not earned income. but if he paid both foreign and US taxes on rental income, that should qualify him for FTC on the rental. However, the amount may be very limited due to foreign income exclusion

Is US rental income eligible for the foreign earned income exclusion or the foreign tax credit if we are living overseas and that US income is taxed in both countries?

Deductions & credits

Deductions & credits