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Old 02-06-2015, 04:40 AM
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Expat 1099 self employment tax

I am a US citizen contractor (1099) in a foreign country providing services for an US company that does not have presence in the foreign country. The US company credits the invoice amount to my US bank account. The 1099-MISC that they issued does not include the amounts for the work in the foreign country. I approached them and they refuse to include it.

I have read that expats can take foreign earned income exclusion up to a certain amount and my earnings are under that amount. The self employment tax rate is 15.3% and is not reduced by the foreign earned income exclusion or foreign tax credits and I really don't want to pay 15.3% for the little income I earned. Do I have to self declare the amounts that the 1099 left-out?



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Old 02-06-2015, 02:32 PM
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I have read that expats can take foreign earned income exclusion up to a certain amount and my earnings are under that amount. =======>>>>>>>>>>>aslongas you are a qualifying U.S. living and working abroad may be able to exclude from your income all or part of your foreign salary or wages, or amounts received as compensation for your personal services
Please visit here ; Foreign Earned Income Exclusion - Am I Eligible to Claim Either the Exclusion or the Deduction?

The self employment tax rate is 15.3% and is not reduced by the foreign earned income exclusion or foreign tax credits and I really don't want to pay 15.3% for the little income I earned.===>>>>>>>>>>>correct; however you can deduct 50% of your self employment tax, seca tax , Imean on 1040 line 27 on US return; as seca tax of 15.3% is Self-employment tax is a tax consisting of Social Security and Medicare taxes primarily for individuals who work for themselves.


Do I have to self declare the amounts that the 1099 left-out?==========>>>>>>as mentioned above



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