Which IRS tax form do I need to use if I received income from the USA and overseas?

Question

I'm currently living in Australia for a few months. I moved here last November so part of my income for 2006 was from my company in the USA and part was from a company that I worked for in Australia. What forms do I need to use to file my US taxes when I have income from two countries?Also, do I have to claim my overseas income if it was below a certain amount? Thanks.

Answer 1

US citizens are subject to US taxes on their world-wide income from all sources. Where you live doesn't impact that.

You file Form 1040. You may be eligible to take a credit for foreign income taxes paid. File Form 1116 to do that. You don't qualify for the Foreign Earned Income Tax Exclusion as you don't meet the time or residency requirements yet.

Get a copy of IRS Pub 54 from the IRS website. It will tell you everything you need to know about US taxes when living abroad.

Answer 2

You need form 1040 (not 1040EZ). You should speak to a professional about your other questions. Tax laws change every year, and you need to make sure that you do not file something wrong, or forget something all together. You could get a tax program, like Turbotax, or something reputable to help you also. These programs are great.