> And the US double taxes their citizens living abroad the same way.
The tax code has provisions to avoid "double taxes" on foreign income. You file Form 1116 to claim credit for taxes you paid to a foreign country as an offset against your U.S. tax liability.[1] That tax credit is separate from the income exclusion, which excludes the first ~$100k of foreign income from U.S. taxation.
Generally, your total tax liability will be your foreign liability on the first $100k, plus the greater of your U.S. liability or your foreign liability on the remainder. I don't see the big injustice, honestly. It's very similar to how state income taxes work in the U.S. where people are citizens of one state but work in another.
[1] Corporations file Form 1118 to claim similar credits.
The tax code has provisions to avoid "double taxes" on foreign income. You file Form 1116 to claim credit for taxes you paid to a foreign country as an offset against your U.S. tax liability.[1] That tax credit is separate from the income exclusion, which excludes the first ~$100k of foreign income from U.S. taxation.
Generally, your total tax liability will be your foreign liability on the first $100k, plus the greater of your U.S. liability or your foreign liability on the remainder. I don't see the big injustice, honestly. It's very similar to how state income taxes work in the U.S. where people are citizens of one state but work in another.
[1] Corporations file Form 1118 to claim similar credits.