@tanyamedukha , generally confused but also agreeing with my colleagues @DaveF1006 , @MarilynG1 and @Vanessa A .
If I assume that you are a US person ( citizen/GreenCard) , single and having left the USA on 05/xx/2023 with a self-employed foreign income of US$60,813 and ignoring any US income for this discussion
(a) you will not meet the Physical Presence Test ( on form 2555 ) till after 05/xx+2/2024. This assumes that host country is in Europe ( leaving US , taking an overnight flight, arriving next morning and the first full day in that country being 2 days later. Thus the test period of continuous is 05/xx+2/2023 till 05/XX+1/2024.
(b) only foreign earned income during 05/xx+2/2023 till 12/31/2023 are eligible for Foreign Earned Income Exclusion.
(c) I am assuming here that you entered the Foreign Income using Schedule-C ( because it is self-employment) and then make sure " Foreign Earned Income Exclusion" is worked on p--- TubroTax should automatically import the schedule-C income as foreign earned income for purposes of form 2555
(d) Schedule-C income would have triggered a Schedule-SE fill -- you don't have to do anything on and also enter 1/2 of SECA income as an adjustment on form 1040.
(e) thereafter you can enter any US income .
Is this what you did or ?
Note that even though the foreign income is excluded from US taxes, the tax bracket on any non-excluded income ( foreign or US sourced ) is based on your world income without regard to exclusion -- thus pushing you into a higher marginal rate.
Does this make sense ? or am I in total left field
By the way which country are you in ?
pk
