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International & Expat

Foreign Earned Income Exclusion (§911 — $130K+/yr)

Exclude ~$130K/yr of foreign-earned income + housing exclusion — bona fide resident or 330-day test.

Overview

IRC §911: US citizens/residents living/working abroad can exclude ~$130K (2025 indexed) of earned income + a housing exclusion (varies by city, $50K+ in Dubai/Zurich/Singapore). Requires either bona fide residency in a foreign country OR physical presence 330 days in any 12-month period. Doesn't help W-2 remote workers with US employer/US-based clients unless truly abroad. Combine with foreign tax credit for high-tax countries.

Best fit
Digital nomads with foreign clientsRemote workers relocating abroadExpat W-2 earners
Estimated impact
$30K–$70K/yr federal tax elimination

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