Your buddy takes the housing so he doesn’t get the allowance of appx 180,000 aed/year. So just like I said in my previous post he makes about 180k with a free villa (bonuses and other allowances). Or he could choose to make about 220- 230k and be responsible for his own housing. I’m not sure why I would “cook the books” to over report my income to the IRS. Your tax obligations to Uncle Sam back home are a function of how much you can deduct. Some can’t be bothered to look into it deeply.