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dannyb1
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As an expat I pay zero federal taxes due to the foreign earned income exclusion. Does this land me in the 0% bracket for long term capital gains?

I currently live and work as an expat, and therefore am eligible for the foreign earned income exclusion. My earnings from my job are ~$80,000 which is less than the $102,100 exclusion, and therefore pay zero Federal income tax. What is my long term capital gains rate in this scenario? Does this land me in the 0% bracket as I pay no federal income tax? For example, if I sold a stock and made $100,000 long term capital gain.

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As an expat I pay zero federal taxes due to the foreign earned income exclusion. Does this land me in the 0% bracket for long term capital gains?

No, your capital gains tax rate is based on Modified Adjusted Gross Income, which adds back the excluded income.  Nice try, though.

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