The Internal Revenue Service has issued a notice providing the country-by-country exclusion amounts for foreign housing.
Section 911(a) of the Tax Code allows a qualified individual to elect to exclude from gross income the foreign earned income and housing cost amount of such individual. Section 911(c)(1) defines the term “housing cost amount” as an amount equal to the excess of (A) the housing expenses of an individual for the taxable year to the extent such expenses do not exceed the amount determined under section 911(c)(2), over (B) 16 percent of the exclusion amount (computed on a daily basis) in effect under section 911(b)(2)(D) for the calendar year in which the taxable year begins ($276.76 per day for 2016, or $101,300 for the full year), multiplied by the number of days of that taxable year within the applicable period described in section 911(d)(1).