My clients are abroad but my LLC is in the U.S. Does that automatically make the income foreign-source?
I use a U.S. LLC from Thailand for design retainers and online workshops. Most of my clients are outside the U.S., so I assumed the income must be foreign-source. Then I learned that service income may be sourced where the work is performed, not where the client is located.
That changes the way I think about the whole structure. I want to know whether the source rule really is that operational, because if it is, I need to document my work location much more carefully.
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