Trying to understand Form 2555.
Foreign self-employment income only. No other income.
So technically could qualify for FEIE and Housing Deduction?
If I pay rent for an apartment, where would I enter that on Form 2555?
If entered on Line 28 only, then Part IX doesn't calculate since Line 27 = Line 43.
What am I doing wrong?
You may qualify for the foreign earned income exclusion. You would enter the rent you pay for your apartment on Form 2555, line 28. Your housing allowance must exceed $20,800 in 2025 to be deductible per this IRS article on foreign housing exclusion or deduction , I believe that is likely why you are not getting your housing deduction in part IX of Form 2555.
Thank you for the response. I do qualify for the FEIE with foreign self-employment income.
And my rent is > $20,800.
But apparently since the rent I pay is technically not a "Housing Allowance", unfortunately there is no Housing Deduction. (Unless my income would exceed the FEIE max of ~$130k).
I could be wrong, but that's how the math looks to me.