I am a high-earning US citizen in Australia; I am paying about AU $100,000 in taxes this year. I assume I can take this AU$100,000, about US$73,000, and keep it as ca carry over for 10 years against any US taxes I might owe, right?
What, if because of losses on rental property, and tax-deferred contributions, and M-T-M futures, FX and options losses, I have no US income. Or I only owe, say US$10,000 in US taxes. I get to carry over US$63,000 in a US tax credit. right?
Okay, now what if I come back to the states on Dec. 31, permanently. Can I still use my US$63,000 carry over for US taxes?
Someone told me that I can only use this carry over IF I also have foreign income for that same tax year, which means you lose your carry over pretty much when you come home -- if you don't go abroad again. This can't be true can it? Please tell me I can use this, hypothetical, US$63,000 carry over for up to 10 years in the States even if I never earn another buck abroad.