Questions tagged [foreign-income]

To be used for questions related to income received from outside the country in which you reside or claim as a primary residence for tax purposes

Filter by
Sorted by
Tagged with
0 votes
1 answer
35 views

exchange rate for taxes paid and reported on form 1116

I am US citizen living in Spain, and received interest income from deposits in Spain and India. I am reporting these on Schedule B and form 1116 to get credit for the taxes I paid on the interest ...
0 votes
1 answer
65 views

double taxation when more than two countries are involved

I am a US citizen living in Spain with a bank account in India as well that earns interest. Conceptually, I understand avoiding double taxation when two countries are involved. But, how does it work ...
0 votes
1 answer
59 views

Foreign Tax Compliance Question

I am writing to seek guidance on my tax compliance situation as a non-immigrant from a foreign country A(where there is no tax-treaty with USA) who came to the USA in mid-2019 on a working visa. In ...
1 vote
1 answer
110 views

Qualified business income in the US

While filing tax returns, I was asked, "Is this business effectively connected with the conduct of trade or business within the United States?" then I got a little confused. I'm a US citizen ...
1 vote
1 answer
49 views

Do I need to declare foreign income below the foreign earned income exclusion?

At the beginning of April 2023 I obtained my green card and became a US resident (resident alien). I resigned my position in Canada and started employment with a US entity. January - April Canadian ...
1 vote
0 answers
77 views

How to report dividend reported on French form 2777

I live in the US, but the parent company of my employer is headquartered in France. It's a privately held corporation, and I received some stock as a bonus a few years ago. Last year they underwent ...
3 votes
1 answer
127 views

Switzerland taxation over income derived from foreign businesses

I'm considering moving to Switzerland permanently (I'm Italian, currently living in Italy), but I would like to know if my income derived from an US LLC (foreign-owned single-member LLC) is exempt ...
2 votes
1 answer
188 views

Income from India to US

I have a pair of married clients from India who lent their son money to buy a restaurant in India. They now reside in the US and are naturalised US nationals, and now that the business is profitable ...
2 votes
0 answers
41 views

CA taxes on invesment income for part time-resident

I lived outside of the US from July 2016 - November 22d of 2017. All my income from this period is investment income. My understanding is that because it is investment income it does not qualify for ...
2 votes
1 answer
1k views

How are RSUs granted in Canada but vested in the USA taxed?

I moved to the USA with a Green Card a couple months ago. My employer awarded me with RSUs a couple years ago, and some have vested after I moved to the USA. I am filing as Dual-Status Alien, so ...
1 vote
1 answer
53 views

Deductibility of short-term foreign capital losses in India

Since short-term capital gains on foreign stocks are taxed at the regular income (slab) rates in India, is one allowed in India to deduct short-term losses on foreign (relative to India) stocks from ...
0 votes
1 answer
224 views

Clarification regarding CA source income for non-resident

I am filing taxes for 2020 as CA non-resident because I have provided a CA address on my US trading account. I have foreign earned income, foreign interest, dividends from the trading account, and US ...
0 votes
0 answers
33 views

[India-US]Taxability of qualified dividends on US mutual funds by Income Tax department of India

AFAIK, dividends paid out by mutual funds are of two categories, ordinary and qualified. The ordinary dividends are taxed as ordinary income while the qualified dividends receive the favourable LTCG (...
2 votes
1 answer
830 views

Taxes for selling property in foreign country

I've been owning half of the house in Russia before I immigrated to the US and I recently inherited the 2nd part of it. Now I'm thinking to sell it. Should I pay any taxes in the US if I sell it? I'm ...
1 vote
1 answer
86 views

New US tax resident 2022 - from Canada. RRSP/bank-accounts/income questions

I moved from Canada to USA on May 30 2022 and work here as a full-time W2 employee. That makes me a US tax resident (alien) for 2022. Here's my detailed situation: I earned a salary until May 26 2022 ...
1 vote
2 answers
319 views

Taxes & Work Authorizations for US Citizen Working in US for Ireland-based Company

I'm applying to a remote job that is based in Ireland. I live in and would work from the US. One of the questions on the application made me pause: "Do you require visa sponsorship?" Obviously, I ...
4 votes
1 answer
66 views

Would a UK resident who pays tax to a foreign country on dividends (of less than <£2,000) need to file Self Assessment for this reason?

Suppose an American expat taxpayer living in the United Kingdom earns dividends on U.S. stocks that fall below the UK's tax-free dividend allowance of £2,000, and this is the only income they have ...
5 votes
1 answer
103 views

AMS points as taxable income when living and paying taxes in EU

I have been invited by Mathematical Reviews to perform reviews of articles. As compensation, I received some AMS points, which are redeemable as credit toward future purchases of books, etc, from the ...
2 votes
1 answer
89 views

Is Foreign Income taxable In India

I was abroad from 2 years(so NRI currently), Now returned to India in April and working for Portuguese company individually and they need me to send invoices monthly for the payment. Now this company ...
0 votes
1 answer
61 views

As an overseas company owner, what are my tax obligations to the UK?

I'm a dual resident of the UK and Country X for tax purposes. I'm not employed in the UK or Country X. However, I have a single company registered in Country X, which has regular income. The income ...
0 votes
2 answers
1k views

Where to report foreign earned income on 2022 1040 form

In 2021 and earlier (PDF), line 1 of the 1040 form said "Wages, salaries, tips, etc. Attach Form(s) W-2". So I would include foreign earned income in that line (and then deduct it further ...
0 votes
1 answer
181 views

H4 visa spouse Taxes : Joint or Separate

I'm working on H1B visa since Oct 2019 in the US and married in 2022. My spouse (on H4 visa) is working in Canada and has income in Canada. She doesn't have any income in the US and has no W2 and SSN/...
0 votes
1 answer
94 views

Taxes: What is the correct way to file freelance income?

I've been living and working remotely as a freelance software developer in America, but for European clients. Each month I write them an invoice for my contract hours and they pay me (in EUR, if that ...
2 votes
1 answer
151 views

the correct place to report foreign income

Doing taxes by both Turbotax (TT) and TaxAct (TA), I get different answers to my relatively simple situation. Here is the summary of their respective calculations: line# Entry Turbotax TaxAct 1 ...
-1 votes
1 answer
261 views

Where can I find the form, schedule and line where the interest/dividends/royalties etc from foreign accounts are reported, when those values are 0?

I am a US resident. I have a non-US bank accounts. Therefore, I fill form 8938 on Turbotax. In form 8938, I need to indicate the "schedule and line" and the "form and line" where ...
17 votes
1 answer
4k views

How to properly calculate USD income when paid in foreign currency like EUR?

Say I live and work in the United States, but mostly do contract work for European organizations. This would mean that I very often invoice and get paid in EUR, which initially might go into a EUR ...
2 votes
1 answer
40 views

Foreign tax credit carryover is less than foreign tax refund

I have foreign tax credit carryover for $14,000 in 2022 US tax return. In 2023 I will be getting a foreign tax refund of $21,000. What happens when I file 2023 tax return? Will I have $7000 tax due?
2 votes
1 answer
49 views

Change of Residence 1040-X

I work for an American company but live and pay taxes abroad. I filed my 2021 taxes (w-2 employee) without taking advantage of the foreign income deduction (ex. I put a US mailing address as my ...
1 vote
1 answer
122 views

How much net passive source income goes on Form 1116 when capital losses are way over the $3,000 limitation?

For U.S. tax year 2021, I have a large passive-category foreign source capital loss (mostly long-term), a medium-size domestic capital loss (mostly long-term), and a small passive category foreign ...
2 votes
1 answer
169 views

Independent contractor taxes with J1 visa

I have a J-1 visa as Research Scholar to pursue full-time research at an American university. The visa is sponsored by the university and expires on June 2023. I am planning to move back to Europe ...
0 votes
1 answer
90 views

Can I use the standard single deduction amount on form 1040 line 9 (12,200) if I am filing a 2555?

I need to amend my 2019 taxes as I filled out the deductions incorrectly (need to submit 1040x). I have filed 1040s and 2555s for the past 5 years with a tax home in Germany. Can I use the standard ...
1 vote
0 answers
70 views

Correctly file income from NSOs as non-resident citizen

I'm a dual citizen (Belgium - USA) and have lived / worked in Belgium always. Because I pay taxes in Belgium, I've been using the Foreign Earned Income Exclusion (FEIE) to offset my wages and paying $...
0 votes
1 answer
97 views

Can submitting a form 12203 Request for Appeals help me in my situation when I am a month past last date to respond?

(I have another question related to my situation but since it was getting too long, I am breaking down my questions so it will be manageable.) The IRS recently reclassified my reported income of tax ...
2 votes
1 answer
56 views

Specific Foreign Earned Income IRS form 2555 question

I live in a western European country and qualify under the IRS Form 2555 Bona Fide Residence Test. While living overseas, I continued to work for a US small company. My work had nothing to do with ...
6 votes
1 answer
150 views

Tax exclusion for American Expats

I am an American Citizen. I work remotely for a company based in the US. Working remotely means that I can live wherever I want. If I move to a foreign country and live full-time there and ...
0 votes
1 answer
500 views

Can I send money to indian saving account from Canada bank account?

I am confused about how to send money from Canada bank account to my Indian Saving account since I came to Canada only for work assignment for 1 year. I came to Canada in November,2018 and moving ...
4 votes
0 answers
108 views

Working remotely for a Japanese company as a non-resident outside Japan

As the title suggests, I am currently performing remote work as an intern for a Japanese company. I am non-Japanese nationality residing outside of Japan. Am I subject to the flat non-resident tax of ...
4 votes
1 answer
2k views

Online Hackathon prize money taxation and exceptions

I've participated in one of the Hackathon competition on DevPost and won the prize amount of $3000 USD. However, the claiming section asked me to fill-up the W-8BEN tax form as I'm not a US resident. ...
4 votes
1 answer
732 views

sold property in the Philippines and asked money to be sent here in US

Parents sold their property in the Philippines and asked their money to be sent to their bank account here.They have their green card. Will they have to pay taxes on that?
0 votes
1 answer
342 views

How would I need to prove to the IRS I paid foreign taxes if I take the Foreign Earned Income Exclusion?

I'm a US citizen (I have no other citizenships) who's been living in Ukraine for several years. I've passed the 330 days out of US test. I have a permanent Ukrainian residency permit, and I'm married ...
1 vote
1 answer
68 views

How do you report a foreign bank or brokerage account UK

How do you report foreign bank or brokerage accounts as a UK tax resident? Is it enough to just fill out the foreign income, interest and capital gains section of the tax return? Or do I have to ...
3 votes
2 answers
86 views

Liability for US taxes on foreign company held by non-US citizen spouse?

I am a U.S. citizen, but my wife is not. If I own a foreign company, I am subject to Section 965 Transition Tax, Form 5471 and Self Employment Tax regardless of where I live. If we are living outside ...
3 votes
1 answer
93 views

As a U.S. citizen, how does income tax work for income from non U.S. companies?

I've done freelance work online previously mainly for U.S. companies, and the tax forms were either 1099-MISC or 1099-NEC. 2020 was my first time doing freelance work online for foreign companies. ...
1 vote
1 answer
71 views

Bermuda missing from S&P's list of Withholding Tax Rates - what's the rate?

S&P Dow Jones publishes a list of Witholding Tax Rates by country here. For some reason, Bermuda is not on this list. What is the rate for Bermuda?
1 vote
1 answer
558 views

Where to report foreign income on 1040 Individual income tax return form

The 1040 Individual Income tax return form asks in field 1 to report wages/salaries/tips/etc and to attach forms W-2. If one received both income in the US, and some income abroad, and is tax liable ...
0 votes
1 answer
91 views

Am I required to use form 2555 even if I earn less than the standard deduction?

I am trying to file my U.S. taxes as an expat in Sweden to try to claim the stimulus check money. I received around $5000 in student grants (which do not need to be repaid) and $5,000 in loans. I am ...
1 vote
1 answer
166 views

Filling out form 2555 (Foreign Earned Income exclusion)

Browsing these forums for questions regarding Form 2555, for issues not mentioned in instructions it seems that there is no official answer. For example, during this year I got sick with the ...
2 votes
2 answers
185 views

Does the (non-resident alien) owner of an LLC (as a disregarded entity) pay income taxes on (non-US) profits?

Let's assume the owner is the sole owner of the LLC. Let's also assume the owner is tax resident in a country with no double tax treaty with the U.S. Let's also assume the profits are not income ...
1 vote
2 answers
41 views

Is the FEIE tax reduction, based on Physical Presence Test, prorated based on how many days you were outside of the country in the year?

Let's suppose that I am out of the USA from January 1st 2020 to December 31st 2020 for 335 days of the year. So I do qualify, but instead of the full ~100k reduction, would I only get (335/365) * 100k ...
2 votes
0 answers
532 views

Foreign earned income exclusion for PhD student income

I am a US citizen. I live abroad and am enrolled in a PhD program at a foreign university, for which I receive ~20kUSD/year. I will refer to the money received from the university non-specifically as ...