- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
tax question regarding foreign income exclusion
Posted on 3/25/15 at 9:36 pm
Posted on 3/25/15 at 9:36 pm
Can someone dumb this down like I'm 5 years old?
Example:
Joe has a 100k a year salary. He works in Mexico the entire year while his company is based in the usa.
So he gets to skip out on personal income tax but pays social security and Medicare?
Is this right?
In my example, how much federal tax is Joe paying?
Example:
Joe has a 100k a year salary. He works in Mexico the entire year while his company is based in the usa.
So he gets to skip out on personal income tax but pays social security and Medicare?
Is this right?
In my example, how much federal tax is Joe paying?
4
Posted on 3/25/15 at 9:55 pm to I Love Bama
You can exclude up to around ~100k in foreign earned income as an expat. So yes in your case he wouldn't have to pay personal income taxes.
Posted on 3/26/15 at 1:34 pm to I Love Bama
I think You only get so many days back in the USA per year before the no tax things begins to erode away
Posted on 3/26/15 at 2:01 pm to I Love Bama
I have not seen a situation (note, I don't do a lot of ex pat work, maybe a few a year) in which Fica and medicare tax were withheld on an expat salary.
Posted on 3/30/15 at 4:22 pm to I Love Bama
I've been working out of the country since 2001 and have used the foreign income exclusion since then.
If you were in Mexico working for 330 days or more you can get the full $99,200 exclusion. You need to use form 2555.
If your company paid foreign taxes for you in Mexico you can also get a break there. You would need form 1116.
I use Stronjy & Stronjy (Jane Stronjy) to do my taxes. She is good and only charges about $400. But it's worth every penny. Just google and give her a call.
If you were in Mexico working for 330 days or more you can get the full $99,200 exclusion. You need to use form 2555.
If your company paid foreign taxes for you in Mexico you can also get a break there. You would need form 1116.
I use Stronjy & Stronjy (Jane Stronjy) to do my taxes. She is good and only charges about $400. But it's worth every penny. Just google and give her a call.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News