Which of the Following Is Not True Concerning the Taxation

question 42

Multiple Choice

Which of the following is not true concerning the taxation of expatriate income?

• A) The taxpayer must have been a resident outside of the United States for an uninterrupted period that includes less than an entire taxable year or less than at least 330 full days during any twelve consecutive months.
• B) The taxpayer can exclude from U.S. taxation the lesser of the individual's foreign earned income or $70,000.
• C) The $70,000 exclusion is an increase from the prior year.
• D) A housing allowance is permitted.

---

Definitions:

Legislation

Laws that have been enacted by a governing body or the process of making or enacting laws.

Total

The complete amount or sum of parts.

Yugoslavia

A former country in Southeast Europe that existed from 1918 to 1992, known for its diverse culture and ethnicity.

Overhead Costs

Expenses associated with running a business that are not directly tied to a specific product or service, such as rent and utilities.