160to4

ICN corrected

md11pilot11

It seems to me even with the growth of new A/C that the total number of flights is very reduced. How is this affecting the airline? Are people concerned with lack of opportunities for the airline in the future? As someone looking in from the outside without any information other than what is available to the public. I don’t doubt WGA will find business but it seems like they have a lot of airplanes to fly ANC-ICN-ANC which is almost all I see now. How does the pilot group view this?


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Wingdeagle11

It is correct that most of WGA’s flying is on the ANC-ICN route which extends to multiple airports in China, Hong Kong and Vietnam. Yet this is not due to lack of opportunities, but this is where the opportunities currently lie; since Covid, cargo rates out these places are at an all time high, so this is the reason for most of the flying going to this region. How does the pilot group view this ? Some love going to Asia, while some miss the previous type of flying which took them to many different places around the globe and some new hires have hardly been outside the country. My question: would a certain point of view from the pilot group change any route or marketing strategy ? I highly doubt it. Fact is, WGA had to weather some attrition like any other carrier and without a doubt it had some impact on the amount of flying. With recent improvements hiring and upgrading is back in full swing and hopefully this will generate more growth.

4dalulz

Are the guys with international bases able to qualify for the FEIE (Foreign Earned Income Exclusion)?

ObadiahDogberry

That would depend on whether you meet the requirements. Generally speaking though, any flying in international airspace is not considered "foreign income". But don't trust some guy on a message board. Visit a legitimate tax professional or the IRS.

4dalulz

I have, and the question always come down to "home base" and where your "financial ties" are... whether the flying is foreign or not (or even domestic), if one is based overseas, and is entirely tied to their presence overseas would (in the legitimate tax professional's view) allow one to qualify for the FEIE based on "bonafide residence" (and negate the need to show 330 days overseas), meaning the time spent overseas wouldn't even be a question due to the actual base being overseas. With WG's language the "needs a US address for tax reasons" has me questioning how WG is structuring their basing/tax structure. That's not a dig at WG, but rather a genuine point of inquiry since I've been getting hosed by the IRS with the concept that my "home base" is a city in the US I have not step foot in for over 20 years. If WG pilots are able to quality for FEIE based on bonafide residence that is a potentially huge advantage in yearly net pay (around 30k-35k).

Wingdeagle11

OK, I will try a simple clarification: the overseas bases the airline offers are designed to give pilots the option to start and end their rotations at these airports. They are considered their “home bases”. They are not designed to give a pilot any sort of a tax break by claiming a bona fide residence or whatever. It’s up to the individual pilots to claim residency in the US or overseas.
As already suggested in a previous post, it’s highly advisable to contact a CPA who specializes in foreign income exclusions to have these questions answered correctly. I hope this helps.

4dalulz

So yeah, discussed with CPA... it's that "US Address for tax purposes" statement in the employment listing that seems "out of place" insofar as claiming an overseas tax location. That's all I was trying to clarify. But if the treatment of the company is the use they foreign base as the operating base then it would be a no brainer to claim an overseas base (bonafide residence) in the view of my CPA who has dealt with international pilot taxes for decades.

yoke jerker

I just flew in Asia for 10 years. I had to catch-up on my returns when they passed the LAW requiring to disclose foreign bank account numbers . Afterwards , it was clear to me that to get the FEIE, you had to live outside the 330 days a year. They even have a chart to list your entry exit dates on the 2555 form. As always , check with your CPA . Cheers

ObadiahDogberry

There are two different ways to claim the foreign income exclusion, bonafide residence or physical presence. The physical presence test is the 330 days test, where you must be outside of the United States for 330 days per year. The bonafide residence test is where your financial and social ties are outside of the United States. Unlike the physical presence test, the IRS does not have a blanket, one size fits all policy for the bonafide residence test. The IRS decides bonafide residence on a case by case basis. Some of the factors that go in to determining the bonafide residence include other citizenships, where your immediate family permanently resides, length of time abroad, location of bank accounts, etc. A person who has been determined to have met the bonafide residence test is not bound by the 330 days physical presence criteria.

Regarding a U.S. address, you can get a mail forwarding service and use that address. This is similar to a UPS Store mailbox, but specializes in forwarding U.S. mail to overseas addresses. So you do not need an actual home or residence for the U.S. address requirement.