How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Lev Your Own Question
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 28081
Experience:  Taxes, Immigration, Labor Relations
Type Your Tax Question Here...
Lev is online now
A new question is answered every 9 seconds

Hello I am thinking about accepting a position in malaysia

Resolved Question:

I am thinking about accepting a position in malaysia and I have a couple of tax questions.
I will be here for 2 years on a proffesional visa. My salary will be 75000. I work for an American based airline out of Norwalk CT. I was told by others that if I am out of the U.S. for 335 days in a year I will be tax exempt. I left the country in March so I think if I file in april 2011 I should be exempt for 10 months. If I am going to be out of country and meet the exemption requirements should I change my status on my w-4 to exempt? I am a MI resident currently. What if any exemptions do I qualify for for MI state taxes? Finally what tax obligations will I have to malaysia under a proffesional visa. The company is also providing housing that they are going to pay at around 1000.00 a month directly to the person I rent from. Thank You Mike
Submitted: 6 years ago.
Category: Tax
Expert:  Lev replied 6 years ago.

As an US person living abroad - you may claim a foreign earned income exclusion.

The person may qualify for the foreign earned income exclusion - he/she should:
-- Work and reside outside the United States for at least 330 days during the year, or
-- Meet either the Bona Fide or Physical Presence tests.
If the person qualifies, he/she may exclude up to $91,500 (2010 in foreign wages -- plus housing allowances (limited to 30% of the earned income exclusion).

To receive that exclusion - the taxpayer should file either form 2555 or 2555EZ.

Here are forms you likely need:

Please be aware that - the exclusion above will not affect self-employment taxes - only income taxes. Only earned income is excludable - income from wages and self-employment. For instance - dividends, investment income, rental income, etc - are not excludable.

Please also be aware that this credit is not granted automatically - you need to file a tax return and claim the credit.


Considering your situation - as you left US on March 1, 2010 - you need to be in a foreign country at least 330 days between March 1, 2010 and March 1, 2011.

The amount you may exclude in 2010 will be 305 (days in a foreign country) / 365 * $91,500


Generally, as you will be in Malaysia for at least 182 days in a calendar year - you will be considered a tax resident. A resident individual is taxed on his chargeable income after deducting personal reliefs at a graduated rate from 0% to 27%.

The chargeable income of resident individuals is computed by deducting the personal reliefs from the total income. -


If the same income is taxable in the US and in a foreign country - you may claim a credit for taxes paid in a foreign country on your US tax return.

To determine the amount of credit -the person should use the form 1116 and attach it to the tax return. -

Here are instructions -


You might find helpful IRS publication 519 -

Let me know if you need any help.

Customer: replied 6 years ago.
Can you give me an estimate on where I will fall in the 2 to 27 percent that will have to pay malaysia. salary 75,000 yearly with 1000.00 a month for housing paid by company directly to the land lord.
Customer: replied 6 years ago.

Hello LEV,


I have never used answer before not sure if you received my reply.



Expert:  Lev replied 6 years ago.
Sorry for delay.

1 MYR = 0.31 USD, so $75000 = 238,762 MYR
minus personal relief 8,000 MYR - your expected taxable income 230,762 MYR
I was not able to access the official tax site - -

The resident individual tax rates are as follows:
on the first 150,000 27,975MYR
on the next 100,000 27%
Above 250,000 28%
See for reference - Malaysia Tax Guide

I may not comment how housing paid by the company directly to the landlord would be treated in Malaysia.
In US that payment should be included into your wages.

Lev, Tax Advisor
Category: Tax
Satisfied Customers: 28081
Experience: Taxes, Immigration, Labor Relations
Lev and other Tax Specialists are ready to help you

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
< Previous | Next >
  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
  • I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight. Bonnie Chesnee, SC
  • Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation. John Minneapolis, MN
  • Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with. Orville Hesperia, California
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA

Meet The Experts:

  • Wallstreet Esq.

    Wallstreet Esq.

    Tax Attorney

    Satisfied Customers:

    10 years experience
< Last | Next >
  • Wallstreet Esq.'s Avatar

    Wallstreet Esq.

    Tax Attorney

    Satisfied Customers:

    10 years experience
  • Mark D's Avatar

    Mark D

    Enrolled Agent

    Satisfied Customers:

    MBA, EA, Specializing in Business and Individual Tax Returns and Issues
  • Richard's Avatar


    Tax Attorney

    Satisfied Customers:

    29 years of experience as a tax, real estate, and business attorney.
  • Robin D.'s Avatar

    Robin D.

    Senior Tax Advisor 4

    Satisfied Customers:

    15years with H & R Block. Divisional leader, Instructor
  • Megan C's Avatar

    Megan C

    Certified Public Accountant (CPA)

    Satisfied Customers:

    Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level
  • jgordosea's Avatar


    Enrolled Agent

    Satisfied Customers:

    I've prepared all types of taxes since 1987.
  • R. Klein, EA's Avatar

    R. Klein, EA

    Enrolled Agent

    Satisfied Customers:

    Over 20 Years experience

Related Tax Questions