One great aspect about being an Expat: Paying no Income Tax to Fund the Bush Regime

[JCMach1]

and the war.

That always brings a smile to my face!

[Patriot Abroad]

1. hear hear!

Although with the dollar dropping like a lead weighted stone against the Euro, I'm constantly in fear that I'll move into the "taxed overseas" bracket . . .

[Patriot Abroad]

2. I assume you faithfully put in your 2555-EZ form every year?

and thank god I don't have to wrestle with the 1040 anymore.

[JCMach1]

3. I do... Also, my University is an American Corp, so I pay in Soc. Sec.

Yes, the dollar peg is definitely hitting here as we already have inflation because of the incredible growth... Because of the peg, we also import inflation from the eurozone

[Eurobabe]

4. What's a 2555-EZ?

Just curious.

[Angela Shelley]

5. It´s your debt too ...

... unless you NEVER go back. 

What about your close friends and family who are working two
to three jobs to make ends meet, not having adequate health
insurance, surviving from paycheck to paycheck, scared to lose
"the little bit of equity which was built over the past
ten years", wondering why their tax dollars are not being
used for education and improving the infrastructure?

It´s not a war, it was and still is an ATTACK, an INVASION, an
OCCUPATION. 

 

[Eurobabe]

6. AFAIK, the only way

an expat can avoid paying income tax to the American govt. is to renounce citizenship. There was an article in the Washington Post a few months back about Americans showing up at Embassies in droves turning in their little blue books (the war put them over the edge)

The tentacles of the IRS reach far and wide. :(

[JCMach1]

7. Income is exempt up to a certain amount... I think it is 91,000

this year, but don't quote me on that... I am not a tax expert.

[davidpdx]

10. I think it was lowered

my recollection is closer to $75,000. I had heard they almost did away with the exemption at one point. It would suck to pay taxes for both the US and the country you are living with. God forbid McCain gets elected because it might happen.

[Oldenuff]

8. How do you avoid the tax issue?

Hope you don't mind my asking.Does that include pension payments?I have retired in Se Asia,and my income tax preparer says I will have to pay Oregon State Income Tax because my pension was earned there.Ridiculous...I'm not even a resident of Oregon anymore.How the heck can they lay claim to my pension,when I receive no benefit from being a resident?

I sure could use some help figuring this out.


On Edit:It appears that the 2555-EZ form that was referred to is for foreign earned income.Excludes up to $80k of foreign earned income.

http://www.webtaxcenter.com/f2555ez.jsp

[Patriot Abroad]

9. Have no idea if this is true but:

Here's some stuff from a website about expat taxes - basically if you don't live there and maintain residency any more, they claim the state shouldn't be taxing you:

http://www.escapeartist.com/efam5/expat_tax_2.html

Good Luck!