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Problem 5-48 (a) (Lo. 2) Catherine is a U.S. citizen who is employed by DSC, Inc., a global company. Beginning on August 1, 2018, Catherine
Problem 5-48 (a) (Lo. 2) 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 c. Is Catherine eligible for the foreign income exclusion for 2019? Yes d. Catherine may exclude from her gross income for 2018. 105,900 X from her gross income for 2019
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