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Topic: Form 2555 question  (Read 985 times)

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Form 2555 question
« on: February 21, 2013, 08:35:04 PM »
As per every tax year, I forget all that I have learnt from the prior years!

Anyho, I am doing my taxes using turbotax and have come to the section for 2555 form.

It asks me this:

Foreign Earned Income - Deductions
    Enter the deductions allowed in figuring your adjusted gross income (Form 1040, line 37) that are allocable to the excluded income. Also enter the portion that is deducted on Schedule C, C-EZ, or F, or included on Schedule E in partnership net income or (loss).
    Description of allocable deductions:     

    Allocable deductions:     

    Amount deducted elsewhere on this return:     

Enter the total amount of adjustments to income claimed on Form 1040 such as moving expenses, self-employment tax, and business expenses claimed on Schedule C that are allocable to excluded foreign income.
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Huh? I really do not understand what it is asking me. I do not have anything on line 37 yet as I have not completed my taxes. As far as the rest of the question, do not know what they are talking about.

Sometimes I think that the questions are for tax accountant rather than average joes like us.

Thank you for your help!!



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Re: Form 2555 question
« Reply #1 on: February 21, 2013, 09:44:53 PM »
If your only income is normal employment income, not housing exclusion or anything complicated, just use 2555-EZ. You probably can't use tax software for it, but honestly, if you do the paper version, for straightforward returns it will take you 10 minutes.
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Re: Form 2555 question
« Reply #2 on: February 26, 2013, 09:37:25 PM »
Thank you for that!

Would I need to complete the 1040 as well as the 2555Ez?

If so, what figures, if any, would I need to complete on the 1040?

The 2555EZ looks much better and less complicated, however, I wanted to make sure that I can use it. All my income is from employment wages, a little UK bank interest, cost of living allowance (through employer) and reimbursed moving expenses.

Based on this, would I still be able to do the 2555ez?

Apologies for the newbie questions, just find taxes really confusing!

Thanks!


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