RedeyeAV8r

[QUOTE=MEMFO4Ever;181527]
The company should offer an incentive for putting yourself and your family out to further the company's goals. It goes beyond taking care of the extra money required just to exist over there. It should come in the form of additional income as an incentive for exposing yourself to the issues that come with living in a foreign country.

QUOTE]

Again, What the MGT "Should do" and what they contactually "have to" are 2 different things.

The "other" Employees do not get a 7% "B" fund and their "A" plans were frozen.
The company "Should" still have their A plans.......

Jetjok

If you feel you're "putting yourself and your family out, to futher the company's goals", then perhaps you shouldn't plan on bidding either of these bases. As well, perhaps you can meet with the company and explain to them what type and how much this additional income/compensation should be. I'm sure they'd be more than happy to listen to your suggestions. As for your not seeing why "anyone would want to live there without being adequately compensated.", well, maybe your user name on this site explains it all too well.

FLMD11CAPT

Spoken like a true Kool-Aid swiller.........

fdx727pilot

Say what???

MEMFO4Ever

Done. Not an issue. They are not going to pay enough. It is ONLY about money.

sandman2122

Let's not jump to conclusions and see what ALPA negotiates on our behalf and go from there............this is a chance for our union to redeem itself with the junior folks.........

Falconjet

Man, you put it that way and I get the warm and fuzzies all over.



FJ

R1200RT

What would the Tax obligation be? Anybody know?

Precontact

From the Gboys themselves...

http://www.irs.gov/faqs/faq13-7.html

13.7 Aliens and U.S. Citizens Living Abroad: U.S. Citizens Overseas

I am a U.S. citizen working abroad. Are my foreign earnings taxable?

A U.S. citizen or resident alien is generally subject to U.S. tax on total worldwide income. However, if you are a United States citizen or a resident alien who lives and works abroad, you may qualify to exclude all or part of your foreign earned income. For specific information, refer to Tax Topic 853, Foreign Earned Income Exclusion - General.

If you would like more information on who qualifies for the exclusion, refer to Tax Topic 854, Foreign Earned Income Exclusion - Who Qualifies. For more information on what type of income qualifies for the exclusion, refer to Tax Topic 855, Foreign Earned Income Exclusion - What Qualifies. You may also wish to refer to chapter 4 Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad, for a detailed discussion.

If the information you need relating to this topic is not addressed in Publication 54, you may call the IRS International Tax Law hotline. The number is (215) 516-2000. This is not a toll-free number.

References:

Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad
Tax Topic 853, Foreign Earned Income Exclusion - General
Tax Topic 854, Foreign Earned Income Exclusion - Who Qualifies
Tax Topic 855, Foreign Earned Income Exclusion - What Qualifies

I am a U.S. citizen working for a U.S. firm in a foreign country. Is any part of my wages or expenses tax deductible?

U.S. citizens are taxed on their worldwide income, no matter where they work. Some taxpayers may qualify for the foreign earned income exclusion, foreign housing exclusion, or foreign housing deduction, if their tax home is in a foreign country and they are either a bona fide resident of a foreign country or countries for an uninterrupted period that includes an entire tax year, or are physically present in a foreign country or countries for at least 330 full days during any period of 12 consecutive months. If the taxpayer is temporarily away from his or her tax home in the United States on business (less than a year), the taxpayer may qualify to deduct away from home expenses (for travel, meals, and lodging ) but would not qualify for the foreign earned income exclusion.

References:

Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad
Publication 514, Foreign Tax Credit for Individuals
Publication 463, Travel, Entertainment, Gift and Car Expenses
Form 2555 (PDF), Foreign Earned Income
Form 2555EZ (PDF), Foreign Earned Income Exclusion
Form 1116 (PDF), Foreign Tax Credit
Tax Topic 514, Employee Business Expenses

I am a U.S. citizen living and working overseas. Can I have a tax credit on my U.S. taxes for the taxes I pay to the foreign country?

The foreign tax credit is intended to relieve U.S. taxpayers of the double tax burden when their foreign source income is taxed by both the United States and the foreign country from which the income is derived.

Generally, only income taxes paid or accrued to a foreign country or a U.S. possession qualify for the foreign tax credit. You can choose to take the amount of any qualified foreign taxes paid or accrued during the year as a foreign tax credit or as an itemized deduction.

To choose the foreign tax credit you must generally complete Form 1116 (PDF), Foreign Tax Credit, and attach it to your Form 1040 (PDF). You may claim credit without attaching Form 1116 if all of your foreign source income is passive income (such as interest and dividends) reported to you on a payee statement and the total amount of qualifying foreign taxes you paid or accrued is not more than $300 ($600 in the case of a joint return) and is also reported to you on a payee statement. To choose the deduction, you must itemize deductions on Form 1040, Schedule A (PDF).

You may not take either a credit or a deduction for taxes paid or accrued on income you exclude under the foreign earned income exclusion or the foreign housing exclusion. There is no double taxation in this situation because the income is not subject to U.S. tax.

References:

Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad
Publication 514, Foreign Tax Credit for Individuals
Form 1116 (PDF), Foreign Tax Credit
Tax Topic 856, Foreign Tax Credit

...330 day rule. Would only be allowed to touch US soil for a maximum of 35 days (overseas for 330 days minimum). Could it be done? Possibly. Talk about a nice tax savings if you can however!

RedeyeAV8r

Pretty High

You will pay tax to the US on everything above $80,000.

If you move to France, expect the French government to levy an income tax on you as well. I assume the Chinese Government will the same.

Hopefully the company will cough up some dough for Tax assistance, or a gross up where they pay for any additional taxes that you otherwise wouldn't have had to pay if not living abroad.

Most Corps with expats usually hire an accounting firm like Price Waterhouse or Arthur Anderson (remember them?) to handle tax returns for their expats and usually pay all fees as part of the Package. That is what FedEx should do, what they will do has yet to be determined or at least yet to be seen. They don't currently offer anything for the SFS based folks, and it isn't in the contract. Hopefully it will be addressed as well as medical and other additional costs. Again none of this is currently in the contract.

Maybe some SFS based folks will chime in here on what the feel they should be getting but aren't.