Foreign Earned Income
U.S. persons are subject to federal income tax on their worldwide income. U.S. persons include resident aliens.
Income taxes paid by U.S. persons to a foreign government can generally be claimed as a credit against U.S. taxes, so the income is not taxed twice.
U.S. persons who earn income is a foreign country and reside outside of the United States for a stipulated number of days can exclude as much as $99,200 (in 2014) from their U.S. taxable income.
ThomasGaitens PC provides tax planning, advisory and reporting services to U.S. persons residing in the United Kingdom, Canada, France, Austria, Hungary, China and throughout Africa and South America.