[buncomom]

Hi, I'm an American who lived and worked in Switzerland part of 2008. When I report my Swiss income, do I report the "gross wages" or "net wages?" Also, do any other mandatory contributions to Switzerland count as taxes paid to Switzerland, or can they be deducted?

Thanks!

[AtlantaTaxExpert]

You report GROSS wages.

You can claim the Foreign Tax Credit on the INCOME taxes you paid to Switzerland. The other taxes are NOT creditable.

[Five Rings]

Switzerland has both federal and cantonal taxation of income. Both are creditable on Form 1116.

What do you mean by mandatory contributions?

[AtlantaTaxExpert]

Good catch, Five Rings; I should have thought of the cantonal income tax.

The mandatory contributions is likely the Swiss equivalent to our Social Security and Medicare taxes.

[MukatA]

You may have another filing requirement.. Form TD F 90-22.1.
If at any time during the year, you have an interest in or a signature or other authority over a financial account in a foreign country, such as a bank account, securities account, or other financial account and the total amount at any time in the year was $10,000 or more. Your U.S. Tax Return: U.S. Citizen or Resident with Foreign Income