2555 Form

What is 2555 Form?

The 2555 Form, also known as the Foreign Earned Income form, is a document that is required by the Internal Revenue Service (IRS) for U.S. citizens or resident aliens who have earned income from foreign sources. It is used to determine if these individuals are eligible for the Foreign Earned Income Exclusion or other tax benefits.

What are the types of 2555 Form?

There are two types of 2555 Forms: 1. Form 2555: This form is used by individuals who qualify for the Foreign Earned Income Exclusion and want to exclude their foreign earned income from their U.S. taxable income. 2. Form 2555-EZ: This simplified form is available for individuals who meet certain criteria and want to claim the Foreign Earned Income Exclusion. It has fewer requirements and is easier to complete.

Form 2555
Form 2555-EZ

How to complete 2555 Form

Completing the 2555 Form may seem daunting, but with the right guidance, it can be done easily. Here are the steps to complete the 2555 Form:

01
Gather all the necessary information and supporting documents, such as your foreign earned income, housing expenses, and other relevant financial information.
02
Carefully read the instructions provided with the form to understand the requirements and eligibility criteria.
03
Fill in your personal information, including your name, Social Security number, and address.
04
Calculate and report your foreign earned income, housing expenses, and any other applicable deductions or credits.
05
Review the completed form to ensure accuracy, and make any necessary corrections.
06
Sign and date the form.
07
Attach any required supporting documents as instructed.
08
Submit the completed 2555 Form to the IRS by the designated deadline.

By following these steps, you can successfully complete the 2555 Form and claim the benefits you're eligible for.

Video Tutorial How to Fill Out 2555 Form

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Questions & answers

Follow these steps to generate Form 2555, Foreign Income Exclusion: Go to the Input Return tab. On the left-side menu, select Deductions. Click on Form 2555 General Info. Fill out the appropriate input fields. Scroll down to the Travel Information section. Click inside the Name of country (if not United States) field.
▶ Attach to Form 1040 or 1040-SR. ▶ Go to www.irs.gov/Form2555 for instructions and the latest information. Next, complete either Part II or Part III.
You must attach Form 2555, Foreign Earned Income, to your Form 1040 or 1040X to claim the foreign earned income exclusion, the foreign housing exclusion or the foreign housing deduction. Do not submit Form 2555 by itself.
The first form TurboTax has available is Form 2555, also known as Foreign Earned Income Exclusion (FEIE), which allows you to exclude a certain amount of foreign earned income from any US tax. For this tax year (2021) you can exclude up to $108,700.
Who needs to file Form 2555? You need to file IRS form 2555 if you want to claim the foreign earned income exclusion. You can claim an exclusion for income you earned abroad if you qualify under the bona fide residence test or the physical presence test and if you have a foreign tax home.
If you qualify, you can use Form 2555 to figure your foreign earned income exclusion and your housing exclusion or deduction. You cannot exclude or deduct more than your foreign earned income for the year.