Foreign Income Reporting
A practical starting point
How do foreign earnings fit into a U.S. tax return?
Living overseas can create overlapping reporting systems: salary paid abroad, local tax assessments, foreign investments, and U.S. income documents. The first task is to establish the taxpayer's status and assemble a complete income picture, not assume that tax paid abroad removes every U.S. obligation.
We organize income by source, currency, and tax period, then review the facts relevant to exclusions, credits, and other reporting. Travel dates and foreign tax payment timing can matter. Recommendations depend on the applicable year and circumstances, with separate attention to foreign accounts and assets.
What to agree before work begins
Identify the filings and supporting information in scope. Document the currency treatment and open questions for coordination with your foreign-country adviser.
What we handle
- Foreign Earned Income Exclusion (Form 2555) analysis
- Foreign Tax Credit (Form 1116) optimization
- Foreign self-employment and business income
- Housing exclusion and deduction planning
- Currency conversion and timing
Common questions
Do I have to file U.S. taxes while living abroad?
U.S. citizens and resident aliens abroad generally remain subject to U.S. filing rules, but whether a return is required depends on filing status, income, self-employment, and other thresholds. Exclusions and credits may reduce tax but often require a timely or valid return and do not replace information reporting.
What is the Foreign Earned Income Exclusion?
The FEIE lets qualifying expats exclude a large portion of foreign-earned income from U.S. tax. Eligibility depends on residency or physical-presence tests.
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Let's discuss the work you need.
Tell us about your situation, the records you have, and any deadlines. We will discuss the right scope and next steps before an engagement begins.