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LokiMiri
New Member

is the self-employment tax different/new for 2024? I used to be able to exclude all foreign income, and this year it says I owe taxes.

 
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1 Reply
pk
Level 15
Level 15

is the self-employment tax different/new for 2024? I used to be able to exclude all foreign income, and this year it says I owe taxes.

@LokiMiri , 

Self-employment taxes  requirement  for all active  earnings is not new .  It has always been there .  The problem often is that when you use FEIE, there is no flag to tell you that , you are still subject to  FICA / SECA taxes.

If you are employed abroad by a US entity, then  FICA is automatically taken care of.

If you are employed by a foreign entity, then you probably participated in that country's  "Social Security" equivalent.  But US  FICA/SECA is still required for all US persons ( citizen/GreenCard ).

 US SSA has  " Totalization Agreement" with many countries.  In such a case you can choose to pay SECA to only one country.  See here -->  U.S. International SSA Agreements | International Programs | SSA

 

Which  country is your current Tax-home ?

 

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