@TBG07 wrote:
According to another member on this site "as a citizen you do not have to visit the USA once a year but you cannot be in the USA ( for any purposes) for more than 30 days out of a 12 month test period to comply with the Physical Presence test ( form 2555) in order to preserve eligibility of excluding foreign earned income.
The above is correct but read carefully, it applies to the earned income exclusion only.
As a US citizen you must report all your world-wide income on a US tax return. If you pay foreign taxes, you can take a deduction or credit for those foreign taxes you paid. If you have foreign earned income, you may be able exclude that income from taxation, which is better than including the income and then taking the deduction or credit. The 330 day rule and the "physical presence test" apply to the foreign earned income exclusion only. You said you won't have earned income in Spain, so you really should not pay attention to any postings that talk about the foreign earned income exclusion.
The earned income exclusion does not apply to unearned income (pensions, capital gains, interest and dividends, etc). That is always subject to US tax and you can take the foreign tax deduction or credit if you paid foreign tax on the same income.
