Final answer:
Income from personal services in a foreign country can be excluded from gross income if the worker is present for at least 330 days during a 12 consecutive month period.
Step-by-step explanation:
Income from personal services in a foreign country can be excluded from gross income if the worker is present in the foreign country for at least 330 days during any 12 consecutive months. This exclusion is known as the Foreign Earned Income Exclusion (FEIE) and is provided for by the Internal Revenue Service (IRS).
For example, if a worker is working in Germany and meets the 330-day requirement, they can exclude the income earned while working in Germany from their gross income when filing their U.S. taxes. It's important to note that there are additional requirements to qualify for the FEIE, such as having a tax home in a foreign country and being a U.S. citizen or resident alien.