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This is misleading. Income of up to $101,300 is excluded. Also, tax credits are given if the amount you pay in the country you live in is higher than what you w
by johnomarkid 10y ago
This is misleading. Income of up to $101,300 is excluded. Also, tax credits are given if the amount you pay in the country you live in is higher than what you would have been paid in the US.
Given that a salary of $101k in Europe is unlikely, and that taxes are almost always higher in Europe than the US, you do not need to worry about paying income tax to the US.
You do, however, need to file a tax return.
I don't support these policies, but I wanted to clarify things for people who could get scared away by your comment. It really isn't that bad.
When U.S. Citizens Living Abroad Owe U.S. Tax:
http://www.nolo.com/legal-encyclopedia/when-us-citizens-living-abroad-owe-us-tax.html http://www.nolo.com/legal-encyclopedia/when-us-citizens-livi...
- futhey 10y agoCorrect. One thing to remember, the $102,100 Foreign Earned Income Exclusion only applies if you spend 330 days of the tax year abroad or have legal residency in the other country (and even in that case you're not supposed to spend more than a few months residing in the US).