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Subject:  Foreign Taxes - how to retain more income Date:  10/31/1999  1:57 AM
Author:  QunSelika Number:  20250 of 127522

I am seeking some information on working overseas. Several friends are in the same situation, so I shall describe the major issues which apply to all. They work overseas as self employed people, entertainers, pay all their own expenses - housing, meals, health insurance, transportation etc., and are resident in the USA (in other words are in the US more than 33 days in a year and maintain a residence stateside). The foreign tax is 30%, they pay approximately 20% commission to agents and then must do their living expenses. The expenses are not fully deductible and they must pay FICA and estimated Fed and State taxes. By our estimation out of every $100US earned they keep 17 - 25%. So if they make 75 - 100 thousand in a year they only get to keep what's left after being ravaged by expenses, FICA and taxes. Seems obscene to me. What to do? Any ideas? (Please don't say get another line of work!) Thanks.
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