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Revision as of 14:27, 15 October 2024
There is much confusion about what constitutes foreign earned income with respect to the residency location, the location where the work or service is performed, and supply of the salary or fee payment. Foreign residency or extended periods abroad from the tax payer is often a qualification to avoid double taxation.
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Aside through obvious, rich people can't simply demand tax debt relief based on incapacity to pay. IRS won't believe them whatsoever. They can't also declare bankruptcy without merit, to lie about it would mean jail for these people. By doing this, it might just be led to an investigation and eventually a bokep case.
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Contributing an insurance deductible $1,000 will lower the taxable income in the $30,000 1 year person from $20,650 to $19,650 and save taxes of $150 (=15% of $1000). For your $100,000 12 months person, his taxable income decreases from $90,650 to $89,650 and saves him $280 (=28% of $1000) - almost double the amount!
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