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I'm not in Egypt currently; I'm just researching the implications of many possible countries.

NO plans of working: my retirement income¹ is more than enough to live on in many countries.

I've found several web pages, some say nothing at all; others assume working in Egypt.  So I’m wondering whether there are exemptions for pensions or SS like some countries have, or whether they tax the parts USA doesn't (USA says part of my SS in nontaxable). Also, under the treaty, do we file US first and have Egypt tax the difference, or vice versa? (Or is that a question for the finance stack?)

¹SS, pensions, interest; all from USA.

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There's a tax treaty between the US and Egypt.

Article 20 talks about Social Security payments and says that any such payment will be taxed by the country where you reside. So if you live in Egypt and receive Social Security payments from the US SSA, you're not going to pay any taxes on that in the US (regardless of the US partially taxing SS income in some cases), but you will pay taxes on it in Egypt per the laws in Egypt.

Social security payments and similar amounts paid by one of the Contracting States to an individual who is a resident of the other Contracting State shall be taxable only in the other Contracting State. This Article shall not apply to payments described in Article 21 (Governmental Functions).

The rest of your income will be taxed by the US regardless of your Egyptian residency due to a savings clause in the treaty (that specifically exempts Article 20 mentioned above).

You will want to file in Egypt first, in order to claim any tax credit in the US on taxes paid in Egypt.

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  • That's a lot more readable than article twenty of the US-Spain treaty. Thanks for the link. Article twelve, which also would apply to me is not so straightforward.
    – WGroleau
    Sep 22, 2022 at 21:19
  • @WGroleau Interest is not exempted from the savings clause, so the US will tax it as usual.
    – littleadv
    Sep 22, 2022 at 21:43
  • Article nineteen also says pensions are taxable only in the country of residence, unless that "savings clause" (which I haven't found yet) overrides.
    – WGroleau
    Sep 22, 2022 at 23:40
  • @WGroleau savings clause is in article 5 section 3. Exemptions are in section 4, they do include article 19, but that's only private pensions, it doesn't include 401k/IRA distributions.
    – littleadv
    Sep 23, 2022 at 0:02
  • Oh, those paragraphs don't sound like they apply to a retired person not doing business with anyone in either country. Just living there.
    – WGroleau
    Sep 23, 2022 at 0:25

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