Taxes and working contract

tremulant

I have been working contract since March of 2009 for the same company. I reside in South Korea and my employer is in the USA. Does anyone know who I pay taxes to? I am so completely confused by this....I received a Form 1099-MISC with my wages in box 7. I had no taxes taken the entire year.

Also I am a citizen of the USA, but a resident, as of Feb 19 2009, of south korea. Any info about tax forms or anything helps guys!!

thanks

jipe

I believe you have to pay taxes in the U.S. no matter where you reside; this is according to the accountant of a friend who lives and works in France but is a U.S. citizen. And seeing as how your employer is based in the U.S. and you received a 1099-MISC, I think the IRS will know what you earned and be expecting you to pay taxes on that.

For a definitive answer you should talk to a good accountant -- any kind of complicated situation and they are well worth the money. And although this won't help right now, in the future I would talk to them a little more in advance.

Ninjas

I think if you have lived a full tax year overseas you can get an overseas tax credit-- something like 95K

http://taxes.about.com/od/taxhelp/a/ForeignIncome.htm

jipe

Ah, good deal. Hopefully tremulant qualifies!

tremulant

Hey Jipe thanks for the info! Thank you also Ninjas, I new about that credit, which is a life saver! I automatically get an extension until June since I live overseas, so I am not too worried yet about turning this behemoth in.

I will be calling in and talking to an expert soon, and I will post up the conclusion when I find out.

Thanks again guys!