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A friend of my who’s an US citizen is working in China for almost 5 yrs now on a valid work visa. She draws her salary in US$ from a company with an office in the US. She’s already paying US income tax, but the company is telling her that she also needs to pay taxes in China. Any truth to that?
She has an option to get paid here in RMB, which means she’ll have to pay local taxes for sure, and possibly US taxes. In this case, can she deduct Chinese taxes in her US income tax filing?