Who Qualifies for Foreign Earned Income Exclusion or Foreign Housing Deduction and what are the Requirements?

In order for an individual to make a claim for the foreign earned income exclusion, the foreign housing exclusion, or the foreign housing deduction the individual must be able to provide proof of foreign earned income. The home of your taxes must be that of another country. There are also various other requirements that the individual must meet in order to meet the requirements. Some of these requirements include; being a United States citizen who is a resident of an abroad country or countries of an entire tax year, a United States resident who maintains citizenship of a country where the United States upholds a tax treaty, or a United States citizen or a resident alien of the United States where the individual is physically present in abroad for an amount of three hundred thirty days or longer during any time of twelve continuous months.

In order for an individual to meet the bona fide residency test or the physical presence test, the individual must live or be present abroad. This means that the individual must be present in a territory which includes air and water areas that are under the supervision of a government other than the United States government. As of the 2008 tax year, the amount of the Foreign Earned Income Exclusion has been revised. As of now, the Foreign Earned Income Exclusion has been increased under the 911 section of the Code of Internal Revenue. The new total for the Foreign Earned Income Exclusion is now eighty seven thousand six hundred dollars. There has also been a revision of the 515 section of the Tax Increase Prevention and Reconciliation Act of 2005 adjusts the computation of the Maximum Housing Amount Exclusion in the 911 section of the Internal Revenue Code.

It is important to speak with an individual regarding your unique situation where you are back and forth between foreign countries and territories. This will allow you to become familiar with whether or not you may qualify for foreign earned income exclusions, foreign housing exclusions, and foreign housing deduction programs. You may want to contact the Internal Revenue Service in order to make inquiries regarding these types of programs and how they could affect or pertain to you and your situation. You may be able to receive these types of benefits if you contact the Internal Revenue Services to acquire information regarding whether or not you qualify for these types of programs and procedures.

Information regarding these programs can be obtained by contacting the Internal Revenue Services by telephone or by accessing the website of the Internal Revenue Service which provides interested information with ample amounts of information regarding the subject and situation. Individuals can receive information about procedures and the different countries and territories that the United States maintains these types of relations with. You can discover which areas are not applicable for these types of programs or procedures.