Originally Posted by
FDXLAG
Good, how does that work in hong Kong where I would owe 24K of HK taxes (150K income) and almost no uncle sugar taxes?
Under the mesa formula I would make out. In paris I wouldnt.
You would think some one at ALPA national would have a flyer in the drawer!
If you read the IRS publications, the tax on income over your exclusion is the same as if you had no exclusion, i.e. 33%, so your tax on $150K (+the $24K the company gave to pay HK taxes) is about 33% of 150+24-82.4 or about$30K. Not quite almost none, unless you have some monster deductions.