Instructions for IRS Form 2555 Foreign Earned Income

IRS Form 2555 Foreign Earned Income

This document contains official instructions for IRS Form 2555 , Foreign Earned Income - a tax form released and collected by the Internal Revenue Service (IRS), a subdivision of the U.S. Department of the Treasury. An up-to-date fillable IRS Form 2555 is available for download through this link.

FAQ

Q: What is IRS Form 2555?
A: IRS Form 2555 is used to report foreign earned income.

Q: Who needs to file Form 2555?
A: U.S. citizens or resident aliens who have foreign earned income.

Q: What is foreign earned income?
A: Foreign earned income is income earned from working in a foreign country.

Q: How do I determine if I qualify for foreign earned income exclusion?
A: You need to meet either the physical presence test or the bona fide residence test.

Q: What is the physical presence test?
A: The physical presence test requires you to be physically present in a foreign country for a certain amount of time.

Q: What is the bona fide residence test?
A: The bona fide residence test requires you to establish a bona fide residence in a foreign country.

Q: Can I claim foreign housing exclusion or deduction with Form 2555?
A: Yes, you can claim foreign housing exclusion or deduction using Form 2555.

Q: Are there any penalties for not filing Form 2555?
A: Yes, there can be penalties for not filing Form 2555 or for filing it incorrectly.

Q: Can I file Form 2555 electronically?
A: Yes, you can electronically file Form 2555 if you meet certain criteria and use approved tax software.