Self employed while in a foreign country

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ketanco
Posts: 98
Joined: Wed Jul 24, 2013 7:09 pm

Self employed while in a foreign country

Post by ketanco » Mon Mar 19, 2018 7:20 pm

Hello,
When a US citizen lives in a foreign country, and he is self employed there (as a sole proprietor or just as a taxpayer doing business in his own name, so not a foreign company), does he still need to fill out schedule C or just report this on 2555?
Is it possible to write a foreign address on schedule C?
And to the name of the business he just writes his name, unless he registered with different business name in that foreign country correct?
So if he must fill out schedule C, he will gather all his expenses and income for the year, write these in schedule C, subtract expenses and costs from income, get a result, and then if positive, show this under 2555 and mark self employed there correct? and what about if it is negative? i mean if you are at a loss ? then you just show it in schedule C and then that is all or you dont even need to do a schedule c in that case since you were abroad anyway?

anyway first i must know if foreign address is possible in schedule C, in other words, if it applies to foreign self employment. then the rest of the questions...

123
Posts: 3387
Joined: Fri Oct 12, 2012 3:55 pm

Re: Self employed while in a foreign country

Post by 123 » Mon Mar 19, 2018 7:53 pm

The closest helping hand is at the end of your own arm.

AlohaJoe
Posts: 3453
Joined: Mon Nov 26, 2007 2:00 pm
Location: Saigon, Vietnam

Re: Self employed while in a foreign country

Post by AlohaJoe » Mon Mar 19, 2018 8:01 pm

Publication 54 explains this and much more.

If someone is an American citizen, lives abroad, and hasn't read Publication 54, they are making a mistake.

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