Ask Experts Questions for FREE Help !
Ask
    overseas's Avatar
    overseas Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Feb 17, 2011, 10:51 AM
    Can someone help with IRS Form 2555?
    I've read the Instructions for Form 2555 and meet the eligibility for Foreign Income Exclusion, but still have some questions.
    I will also say that I called the IRS at international rates and stayed on the phone 45 minutes and the woman I eventually talked to had absolutely no clue about this form.

    Here's my questions, thanks in advance if you can help.
    - another section says that my Standard Deduction is also affected, but I cannot find a good reference for that. Can anyone direct me to that? Also how is my IRA deduction affected? I'm not covered by a retirement plan at work.
    - the Form 2555 has areas to break out one's wages, housing allowance, cost-of-living allowance, etc, but my employer lumps this all together on my W-2, even though my pay statements clearly break this out (salary, housing allowance, COLA), so should I put all my income in the first box or break it out for the IRS on the Form 2555?
    Thank you again.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #2

    Mar 9, 2011, 01:15 PM
    It is clear that you need professional help filing your return.

    The Form 2555 can be intimidating for the first-time user.

    Your standard deduction should NOT be affected by using Form 2555. The IRA deduction may be, because if your income is completely excluded, you may not show any earned income on which to based the IRA contribution. Besides, if the income is completely excluded, there is NO tax advantage to a traditional IRA.

    You the breakout on your pay stubs to determine how the allocate the income on the W-2.

    If you need professional help filing your return, email me at [email protected].
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

FBAR vs 2555 form/1116 form [ 1 Answers ]

Should I file FBAR if I have filed 2555 form ? I have filed 2555 form and excluded full amount of 91,500 and for remaining income from oversea I have used form 1116. All my source of income was salary. I have two bank accounts in Europe where my salary was sent. Do I still need to report...

Form 2555 income listed as negative on form 1040 [ 3 Answers ]

I am a citizen of a country(India) with which US has a tax treaty(http://www.irs.gov/businesses/international/article/0, id=169600,00.html) where I worked from Jan 1, 2009 to Aug 10, 2009. From Aug 21, 2009 to Dec 31, 2009 I was working in U.S. on a non-immigrant visa. For tax purposes, I am U.S...

Can we use Form 2555 and/or Form 1116 [ 1 Answers ]

My son's fiancé arrived in US in June 2009 on K-1 Visa. Previously (for several years) she had lived and worked in her native country, Spain. They married in August and she began work (self-employed) in November after getting her green card. They will file married filing jointly since she is...

Form 2555 & Form 1116 [ 2 Answers ]

Dear All - Can a taxpayer, who is a Lawful Permanent Resident of US, file Form 2555 - Foreign Income Exclusion for the income earned by him in another country (outside US) and claim Foreign Tax Credit for the same income? What are the reporting requirements to file Form 2555? Which one of...

Form 3903 and Form 2555 [ 1 Answers ]

1) Can I claim moving expenses for my wife's air travel. She is not working here. 2) For form 2555 - What is Bona fide test. I am resdent of India. I came to USA in Jan 2007 and in 2006 travelled to China (late 2006) for 90 days. So am I Bona fide resident of India. 3) In form 1116 what...

View more questions Search