AmyC
Expert Alumni

Deductions & credits

 

See Publication 54, page 24 for items affected by the exclusion.

 

Do you have deductible IRAs? You have to have more items in your tax return that are being affected. Something else is changing. Can you see your actual forms to know what is changing instead of just the summary?

 

If you exclude income under the foreign earned income exclusion or the foreign housing exclusion, you must add back the excluded amounts in determining your compensation for purposes of the IRA limits.  Likewise, for purposes of determining the IRA limits, do not reduce your compensation by any foreign housing deductions.

 

@mm1232  

 

 

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