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New Member
posted Apr 2, 2020 11:55:39 PM

Can I claim exempt when working an overseas contract in the Middle East? I reside in south America and never go to the U.S., can I be exempt?

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1 Replies
Expert Alumni
Apr 3, 2020 6:34:21 AM

You can exclude up to $105,900 of your income from being taxed in the United States.  If your income is higher than that you can take a credit for any foreign tax you paid on the amount that exceeds the $105,900.

 

To take the exclusion go to

  • Wages & Income
  • Less Common Income
  • Foreign Earned Income and Exclusion

To take the foreign tax credit go to 

  • Deductions & Credits
  • Estimates and Other Taxes Paid
  • Foreign Taxes

Choosing the Foreign Earned Income Exclusion

 

@johnrdavila