I'm not sure who else to go to on this question. I have a job here in Peru, and residency. I am filing a 1040 in the USA, and State through Massachusetts. I don't have W2s from my Peruvian job, it will appear as though I don't have income on my taxes. I looked up on the IRS website, and I qualified to fill out the 2555-EZ (exclude foreign income) to the 1040. Since I have a retirement account in the USA, and I have added to that account last year, they say I will have a penalty because my contribution to my account was higher than my income (since I can't list it on the 1040), although my income is indeed higher, it's just I can't list it on the form, but I don't want to leave the contribution off the form to avoid the penalty, if you know what I mean. Does anyone have any suggestions?
Thanks so much,