U.S. citizen doing post-graduate study in UK... do i pay uk taxes and us taxes or how does this work?

Question

I am a United States citizen who will be doing my post-graduate study at a UK university. I will be taking up a part time job during my stay and working no more than 20 hours per week as allowed by visa. Do i pay UK taxes and U.S. taxes and since I will be earning pounds instead of dollars how is my U.S. tax calculated since the pound is worth double the value of the dollar. Will i being paying on uk value or dollar value? any help would be appreciated. tried the irs website and just got lost... no help there.

Answer 1

On your U.S. return, you must report your worldwide income. If the total income meets the filing requirement, you must file your tax return.Filing in the U.S. does not necessarily mean that you will be paying taxes in US also. You will get credit for taxes paid in the foreign country.

Read: http://taxipay.blogspot.com/2008/03/us-c...

Answer 2

Any income earned in the UK would be filed in the UK, using there tax system.  Any income earned in the US would require a 1040 to be filed.  If you have income in both countries you would file two seperate returns.