OTHER, TAXES & LICENSES
Foreign Earned Income Exclusion
If you are a U.S. citizen or if you are taxed as a U.S. citizen (resident aliens) your income from all over the world may be subject to taxation. The good news is that if you meet certain requirements you may be able to exclude some or all of your foreign earned income when calculating your U.S. tax liability through the foreign earned income exclusion. Like most things tax related, there are many limits and fine print you need to look out for, but if you meet the requirements you may be able to exclude $104,100 of foreign earned income in 2018 (102,100 in 2017). Rather than deduct a portion of your foreign income, use Form 2555 to calculate the amount of foreign earned income you should include in the income section of your 1040.