Discuss what is needed in order to meet the physical presence test. Under what circumstances can foreign earned income be excluded from gross income? Explain.

This year, Yung Tseng, a U.S. citizen, supported his nephew who is attending school in the United States. Yung is a U.S. citizen, but his nephew is a citizen of Hong Kong. The nephew has a student visa, but he hopes to become a permanent U.S. resident. Other family members hope to come to the U.S. What issues must be considered by Yung?