Reporting Thai income in the States?

Question

For 2006 I lived in Thailand where I worked as a Teacher. I earned less than $6000 usd. The schools I worked for never gave me an income statement which is typical. Fellow US citizens that have been living in Thailand for awhile tell me not to worry about the income statements (submitting them) and report it as foreign income. They told me they have reported it this way for years without any problems. Is this correct?

By the way I had no US income for 2006. Thai only.

Thanks.

Answer 1

If you have been there long enough you do not have to report the income.

"The physical presence test can be used by any United States citizen or resident alien. You must be physically present in a foreign country or countries for at least 330 full days during any period of 12 consecutive months. The 12–month period can begin with any day of any calendar month."

If you go to the IRS forms & Publicaions site and look up Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad, you will probably learn more on the subject than you need.

Answer 2

If you make less than $US80,000 a year in a foreign country, the US government will not tax you. You can do 2 things here

1. Do not declare the income because you did not receive any income statement from your employer in Thailand. You complete your tax return to the IRS but state that you are unemployed

2. If you wish to declare your income, ask your employer for an income tax statement.

If you need help with what forms you need to complete, let me know. I have worked in Mexico and China so I have gone thru this several years now.

Its good to have a consistent tax history even if you are declaring $0 income. I assume you have some investments in the US that you have to declare right so you have to file your 1040EZ or 1040 anyway.

Answer 3

i would go with what the other US citizens living and teaching in thailand are doing. i am in a similar boat as u...im a US citizen who taught in korea for most of 2006....and received only pymt stubbs...nothing similar to a w-2 from my previous korean employer. from what the head teacher at my school told me and what ive heard, in korea if u make more than 70-75k a year in ur job (which i probably made 1/3 of)...only then will u have to report it in the US. i dont know what the exact wages before u have to report it in thailand but like i said i'd go by what the US citizens say.

i did run into a canadian while at the incheon airport in seoul and he told me that as a canadian he still has to pay taxes though he did not work in canada and is working in a foreign country regardless of the wage amount...which sux.

Answer 4

you should report any foreign income on your tax return. but this is a question you should be asking the IRS not us jail house lawyers, if your in Bangkok now I would check with the American embassy.

Answer 5

You get an automatic $75,000 to $80,000 exception for income earned overseas.

Answer 6

from what i understand, your first $80,000 earned overseas is not taxable in usa - but check for yourself.. ok?

Answer 7

so basically your government wants to tax your already-taxed money? man...