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Thanks for the response. I was reading this in the interim: https://tax.kpmg.us/content/dam/tax/en/pdfs/2019/2019-us-taxation-of-americans-abroad.pdf https://t

by muzz 8y ago

Thanks for the response. I was reading this in the interim: https://tax.kpmg.us/content/dam/tax/en/pdfs/2019/2019-us-taxation-of-americans-abroad.pdf https://tax.kpmg.us/content/dam/tax/en/pdfs/2019/2019-us-tax... The answer to my question appears to be on the bottom of page 8, which paraphrased is that FEIE and Foreign Income Tax Credit are exclusive, so high income earners may wish to take the latter rather than the former (and the latter is what prevents double-taxation).

tristor 8y ago
That document is pretty good and relatively thorough. Interestingly enough, when I was working for a US company abroad, they used KPMG Global Mobility Services to help me with my taxes and relocation and all of that. FEIE And Foreign Income Tax Credit are for different situations. In my situation initially, I would have taken FITC to try to avoid double taxation, but in my later situation I wanted to take FEIE but was ineligible and was also ineligible for FITC. Deciding which to take can actually be a complicated question. I don't want to go into further detail on my situation, but I will say that things are greatly simplified if you go all-in on being an expat, without retaining any property in the US and you intend to limit travel outside the country you expatriated to.