Defense Contractor Employee Overseas Compensation and the Foreign Earned Income Act of 1978
Abstract
The objective of this research was to develop a definitive DOD pricing instruction for tax allowance compensation. The instruction applies to service contracts for personnel involved in AF and FMS contracts overseas. The information provided to the individual taxpayer by the IRS was consolidated into a format usable by the AF contract negotiator to set the AF objective for tax allowance. Tax allowance compensation is necessary because of the adverse impact of the Foreign Earned Income Act of 1978 on contract employees going overseas. Basic models were developed to aid the calculation of the tax allowance for a representative contractor employee.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jun 01, 1980
- Accession Number
- ADA087222
Entities
People
- David F. Whealdon
- James D. Mayer
Organizations
- Air Force Institute of Technology