Working in Africa

[imjulier]

I have a client who work for University of California but works in Africa. W-2 says wages are from CA. Should she be doing anything to file taxes in Africa (whatever that is like) and then taking foreighn tax credit? Just looking for some input as I'm not sure what the requirements might be in this sitaution.

Thanks,

Julie

[TAXBILLY]

Africa is a big continent. Could you be more specific?

taxbilly

[imjulier]

Africa is huge....I haven't checked on specifics with the client yet. I was just trying to figure out if it matters or if I should just claim all income as CA income.

[TAXBILLY]

It certainly can matter but we don't know if we don't have all of the facts.

taxbilly

[ed_accountant]

See form 2555 and the 2555 IRS instructions. To claim the Federal $80,000 foreign income deduction, your client must be out of the country 330 days out of 12 consecutive months.

Thanks

[imjulier]

This is consistent with what my client was told by the employer. They told her that there was no difference to her US taxes since she works out of the country 9 months out of the year rather than 11 months. I filed US and CA taxes without making any adjustments for her neing out of the country. Thanks for responding.

Julie

[TAXBILLY]

Your original post was about foreign tax credit, not whether the income was taxable to U.S and CA, which it is.

taxbilly