My client works overseas for a foreign US affiliate in oil and gas. She is a bonafide resident of that country and her tax home is in that country. She contributes part of her pay to a company pension plan before income tax. Can I use the "taxable wage" (grosss Income less employee pension contribution) as the foreign income on the 2555 form and possibly the FTC 1116 form? Or must I use the Gross Income amount?
I have looked at some publications like pub 54, and I don't see anything that says I can do it, nor do I see anything that says I cant do it. Please your wisdom is appreciated.
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