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    Nirvana2Hell's Avatar
    Nirvana2Hell Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Jul 3, 2012, 01:59 PM
    New US Resident Alien, Foreign Income Exclusion
    Hi,

    Here's my situation.

    I'm an Indian citizen and have been working there till March this year.
    I moved to US on H1B and would continue to do so for the full year. This would make me pass the substantial presence test to file taxes next year as a Resident Alien.

    My question is am I eligible to claim "Foreign Income Exclusion" for the months of Jan - March for the salary back in India?

    Is the FIE rule only for existing US taxpayers moving out to another country or also for anyone moving to US.

    Thanks for you help.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #2

    Jul 5, 2012, 01:17 PM
    To claim the exclusion, you must be overseas for a whole year while being a U.S. resident for tax purposes. You cannot meet that critetia.

    You can claim the Foreign Tax Credit for the Income taxes paid to India.
    Nirvana2Hell's Avatar
    Nirvana2Hell Posts: 2, Reputation: 1
    New Member
    		  
    #3

    Jul 5, 2012, 05:32 PM
    Thanks for your answer.

    You ad responded a similar question previously where you suggest the person to claim Foreign Income Exclusion.

    https://www.askmehelpdesk.com/taxes/...us-239943.html

    Any specific reason I'm ineligible? Thanks again.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #4

    Jul 6, 2012, 12:04 PM
    At that time (2008), I was not aware of the full-year residency requirement.
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