On january 10, 2015, Roberta left the United States for Germany, where she had a

Question

On january 10, 2015, Roberta left the United States for Germany, where she had accepted an appointment as vice president of foreign operations. Her employer, USA Corporation, told her the assignment would last about two years. Roberta decided not to establish a permanent residence in Germany because her assignment was for only two years. Her salary for the year is $403,200. What is Roberta's foreign income earned income exclusions?

A. $403,200

B. $0

C. Cannot determine with the income provided

D. $100,800

Explanation / Answer

As per IRS,

If you are a U.S. citizen or a resident alien of the United States and you live abroad, you are taxed on your worldwide income. However, you may qualify to exclude from income up to an amount of your foreign earnings that is adjusted annually for inflation

This amount is 100800 for the year 2015

Hence option D is correct

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