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I’ve entered my Foreign Earned Income and qualified for the exclusion, do I also need to enter my income under another tab (like the Business Income and Expenses)? Thanks

I was in the US for 3 months (at the beginning of the year) then I moved to Brazil where I stablished my self-employed event planner business. I did not work in the US at all for this tax year. My question is, do I only enter my income under “Less common Income - Foreign Earned Income and Exclusion” or do I ALSO have to enter this Income in another section, like Business income (or any other)?

Thank you

(I am a citizen)

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1 Best answer

Accepted Solutions
DanaB
Expert Alumni

I’ve entered my Foreign Earned Income and qualified for the exclusion, do I also need to enter my income under another tab (like the Business Income and Expenses)? Thanks

You will have to enter the income in both sections; under less common Income - Foreign Earned Income and Exclusion and also under Business income. Please see attached picture for more detail.

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4 Replies
DanaB
Expert Alumni

I’ve entered my Foreign Earned Income and qualified for the exclusion, do I also need to enter my income under another tab (like the Business Income and Expenses)? Thanks

You will have to enter the income in both sections; under less common Income - Foreign Earned Income and Exclusion and also under Business income. Please see attached picture for more detail.

I’ve entered my Foreign Earned Income and qualified for the exclusion, do I also need to enter my income under another tab (like the Business Income and Expenses)? Thanks

Thanks for your answer. When I enter my income under Foreign Income, it shows that I don’t have to pay anything, but when I also enter under Business income, it says I have to pay $1.000. Is that because I’m self-employed? I haven’t worked at all in the US and I only made under $10.000.
Does this seem right to you?
Thanks again
DanaB
Expert Alumni

I’ve entered my Foreign Earned Income and qualified for the exclusion, do I also need to enter my income under another tab (like the Business Income and Expenses)? Thanks

Yes, it is most likely because of the self-employment tax which is 15.3% of your net profit. You can see the amount of self-employment tax on Schedule 4 line 57.
ardavli
New Member

I’ve entered my Foreign Earned Income and qualified for the exclusion, do I also need to enter my income under another tab (like the Business Income and Expenses)? Thanks

Hi, I had a similar question. However, when I enter the (one) income under both sections,  under less common Income - Foreign Earned Income and Exclusion and also under Business income, then my income doubles and the SE tax becomes 30% not 15%. Could you please help fixing this?

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