Question
Catherine is a U.S. citizen who is employed by DSC, Inc., a global company. Beginning on August 1, 2018, Catherine began working in Augsburg, Germany.
Catherine is a U.S. citizen who is employed by DSC, Inc., a global company. Beginning on August 1, 2018, Catherine began working in Augsburg, Germany. She worked for 153 days of 2018. She worked there until March 31, 2019, when she transferred to Kamnik, Slovenia. She worked in Kamnik for the remainder of 2019. Her salary for the first seven months of 2018 was $225,000, and it was earned in the United States. Her salary for the remainder of 2018 was $165,000, and it was earned in Augsburg. Catherine's 2019 salary from DSC was $425,000, with part being earned in Augsburg and part being earned in Kamnik.
Assume the 2019 indexed statutory amount is the same as the 2018 indexed amount. Assume a 365-day year.
When required, round any fractions out to four decimal places. Round final answers to the nearest dollar.
a. Is Catherine eligible for the foreign income exclusion for 2018? Yes
b. Catherine may exclude $ from her gross income for 2018.
c. Is Catherine eligible for the foreign income exclusion for 2019? Yes
d. Catherine may exclude $103,900 from her gross income for 2019.
NEED HELP WITH PART B!
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