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<<Unfortunately, the reverse is not true. The US *will* claim the right to tax your Swiss income, unless you meet the conditions of being abroad for more than X days in the year (I don't recall X exactly--you should ask in the US about this). Even if you meet these requirements, the US only grants you a tax deduction of $70,000 against your Swiss income, and they will want to tax anything above that.>>

Thanks for the Swiss info, Bradley.

I can't vouch for the Swiss side of things, but I can certainly confirm your above statement.

Uncle Sammy will look for taxes on any foreign earned income unless you can meet the provisions of the Foreign Earned Income Exclusion.

In generaly, to qualify for the FIE exclusion ($70k per person), you must pass either the Bonafide Residence Test (must be a resident for an uninterrupted period that includes an entire tax year), or the Physical Presence Test (must be physically present in a foreign country 330 full days during a period of 12 consecutive months).

For additional information on the Foreign Earned Income Exclusion, see IRS Publication 54. You can obtain Pub 54 by calling IRS at 1-800-TAX FORM. Or you can visit their web site by setting your browser to:

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