Check the forums, US taxes have been addressed several times.
For US Fed taxes, foreign income exclusion is 87K USD.
However, she still is required to pay Chinese Income Tax, so there would be an additional credit allowed.
She should also enquire about receiving allowances (10-20% to reduce gross salary) for calculating Chinese Income Tax – but will need to provide fapiaos.
There are pro and cons to every expat package, one size does not fit all.
As it has been stated, a good accounting firm can sort it out for her – don’t know if her firm will foot the bill though.
