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March 14, 2023

IRS issues guidance for individuals who aren't 'qualified individuals' due to adverse conditions abroad

In Revenue Procedure 2023-19 the IRS provides guidance to individuals who, due to adverse conditions in a foreign country, fail to meet the requirements of a "qualified individual" under IRC Section 911(d)(1), which allows a "qualified individual" to exclude foreign-earned income and to exclude or deduct housing costs from gross income. For these purposes, a qualified individual is a US citizen who has been a bona fide resident of another country for an entire tax year or present in a foreign country for 330 full days during 12 consecutive months.

Published by NTD’s Tax Technical Knowledge Services group; Carolyn Wright, legal editor