- 75 -
state that the $97 was a “Farm Truck Expense”. The Court finds
that petitioner’s testimony was not credible.
The evidence indicates petitioner’s tax home was in Japan
for approximately 21 years ending on June 8, 1999. Although the
period of bona fide residence must include an entire taxable year,
the entire uninterrupted period of residence may include
fractional parts of a taxable year. See sec. 1.911-3(d)(3),
Income Tax Regs. For the foregoing reasons, the Court finds that
petitioner was a qualified individual under section 911(d)(1) from
January 1 through June 8, 1999. Therefore, petitioner was
entitled to the foreign earned income exclusion under section
911(a) from January 1 through June 8, 1999. See sec. 1.911-
3(d)(2), Income Tax Regs.
The Court also finds that petitioner established his abode in
the United States as of June 9, 1999. Accordingly, he was not
entitled to the foreign earned income exclusion under section
911(a) from June 9 through December 31, 1999.28
B. Maximum Exclusion Amount
Generally, the allowable maximum exclusion from foreign
earned income for a tax year under section 911(a)(1) would be the
lesser of the qualified individual’s foreign income for the
28 Because the Court found that petitioner failed to meet
the tax home requirement under sec. 911(d)(1), the Court does not
need to determine whether petitioner met the bona fide residence
test or the physical presence test under sec. 911(d)(1)(A) or
(B).
Page: Previous 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 Next
Last modified: March 27, 2008