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

    Dec 5, 2007, 07:00 PM
    Social security taxes on foreign earned income
    Hi,

    If a person works outside US as an employee, does he have to pay social security taxes in the US on that foreign earned income? The foreign employer has nothing to do with the US. It is in Russia.

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

    Dec 6, 2007, 01:30 PM
    Neither Social Security nor Medicare taxes will be due, because the foreign employer is not liable for such taxes (remeber that the employer matches what the employee pays in these taxes).

    However, as a U.S. citizen, you are probably liable to pay self-employment taxes (which is BOTH sides of the Social Security and Medicare taxes) on the income earned.

Not your question? Ask your question View similar questions

 

Add your answer here.


Check out some similar questions!

State Taxes on Foreign Earned Income [ 5 Answers ]

My husband and I live and work in the Caribbean. We are US citizens and maintain a permanent home in Georgia (where we lived prior to moving to the Caribbean). Our federal tax return allows an income and expenses exemption, up to a specified amount. Apparently, Georgia doesn't allow this...

Foreign income taxes [ 4 Answers ]

My daughter worked in the US for the first six months and in the UK for the last 5 months of 2006. Roughly calculating her taxes she would get a sizeable refund if she only declared her US income and a much smaller refund if she declared all income and filed Form 1116. Must she declare ALL foreign...

2006 taxes: F-1 OPT Income & Foreign Income [ 4 Answers ]

Hi, I have a somewhat complicated question about my 2006 taxes... I came to the US in 2001 on a student visa (F1). After I finished my degree I worked one year under OPT, and I left when my OPT/visa expired in May 2006 and went home to my native country and got a job there. So basically I...

Income Tax on Social Security & Interest Income [ 1 Answers ]

I collect SS, withdraw interest income monthly and sell real estate. I am wondering since my interest income & real estate commissions exceed the SS allowable income cap of $12,000 will my SS for the next year be reduced? Will my real estate expenses be deductible from taxes owed on my...

Social security income [ 1 Answers ]

My only souce of income is my social security check. Can credit card debtors garnish my social security income


View more questions Search