Resident and nonresident aliens are allowed exclusions from gross income if they meet certain conditions. An exclusion from gross income is generally income you receive that is not included in your U.S. income and is not subject to U.S. tax. This chapter covers some of the more common exclusions allowed to resident and nonresident aliens.taxmap/pubs/p519-009.htm#TXMP445ee4e1
You may want to see:
Publication 54 Tax Guide for U.S. Citizens and Resident Aliens Abroad 523 Selling Your Home taxmap/pubs/p519-009.htm#en_us_publink100039044
See chapter 12
for information about getting these publications.
Resident aliens may be able to exclude the following items from their gross income.taxmap/pubs/p519-009.htm#en_us_publink100039045
If you are physically present in a foreign country or countries for at least 330 full days during any period of 12 consecutive months, you may qualify for the foreign earned income exclusion. The exclusion is $87,600 in 2008. In addition, you may be able to exclude or deduct certain foreign housing amounts. You may also qualify if you are a bona fide resident of a foreign country and you are a citizen or national of a country with which the United States has an income tax treaty. For more information, see Publication 54. taxmap/pubs/p519-009.htm#en_us_publink100039046
The term "foreign country" means any territory under the sovereignty of a government other than that of the United States. The term also includes territorial waters of the foreign country, the airspace over the foreign country, and the seabed and subsoil of submarine areas adjacent to the territorial waters of the foreign country.