Tax Equalization and W-2

Technical topics regarding tax preparation.
#1
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21
Joined:
7-May-2021 11:59am
Location:
Missouri
first year client came back from a foreign assignment. His return used to be done by an accounting firm hired by his employer. He now parted ways with the employer and works in the U.S. The client received 2020 W-2 from his previous employer for work done in 2019. I believe this w-2 was issued as result of an annual reconciliation of actual vs hypo liability. and W-2 was provided because more tax was withheld than actual liab...? I think I should report this w-2 under form 2555. any concerns there? please help.
 

#2
sjrcpa  
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6477
Joined:
23-Apr-2014 5:27pm
Location:
Maryland
Sounds like it is foreign earned income, but is client eligible for the foreign earned income exclusion in 2020? Did he meet the physical presence or bona fide resident test in 2020?
 

#3
Posts:
21
Joined:
7-May-2021 11:59am
Location:
Missouri
Oh yes. He meets PPT.
 


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