Foreign Earned Income Exclusion & I-864

[karppi 6]

Hi,

 

My spouse and I are figuring out our options for the Affidavit of Support I-864. We both live and work abroad in Ireland. I have filed my tax returns for the past three years, but have always used the Foreign Earned Income Exclusion, giving me $0 income for the I-864. Since my spouse works in Ireland as well, we are also unable to use his income.

I am a bit confused around whether in my next tax return 2021, I can refuse the exclusion and therefore claim my income and subsequently pay taxes. My foreign income would otherwise be over the 125% poverty line. Is it possible to forgo the exclusion, and would this satisfy the financial requirement? If so, would it matter if I claimed the exclusion the previous tax returns but for my most recent I didn’t claim it?

 

Or is it pointless, given there is a condition that any income earned overseas doesn’t count since it can’t be guaranteed in the future? Is this an official condition or is it more best practice than anything else?

 

Many thanks!

 

 

[Lil bear 4,201]

Overseas income will not meet the  I864 requirement. Either you return to the US and gets work ahead of her interview .. or you get a joint sponsor 

Edited June 14, 2021 by Lil bear

[Crazy Cat 41,850]

15 minutes ago, N&E said:

Hi,

 

My spouse and I are figuring out our options for the Affidavit of Support I-864. We both live and work abroad in Ireland. I have filed my tax returns for the past three years, but have always used the Foreign Earned Income Exclusion, giving me $0 income for the I-864. Since my spouse works in Ireland as well, we are also unable to use his income.

I am a bit confused around whether in my next tax return 2021, I can refuse the exclusion and therefore claim my income and subsequently pay taxes. My foreign income would otherwise be over the 125% poverty line. Is it possible to forgo the exclusion, and would this satisfy the financial requirement? If so, would it matter if I claimed the exclusion the previous tax returns but for my most recent I didn’t claim it?

 

Or is it pointless, given there is a condition that any income earned overseas doesn’t count since it can’t be guaranteed in the future? Is this an official condition or is it more best practice than anything else?

 

Many thanks!

 

 

Your foreign income can't be counted anyway, if it is not going to continue after relocating back to the US.  I would find a well-qualified joint sponsor.... or find a qualified source of income which will follow you back to the US.

Edited June 14, 2021 by Lucky Cat

[pushbrk 12,883]

Read carefully the I-864 form question about current income AND the step by step instructions and you will see that you cannot "use" your non-continuing income "to qualify".  You would be paying the taxes for no reason.

[karppi 6]

Thanks, that’s what I figured. Didn’t know if there was some sort of work around there.