IRS Form 2555, which should always been attached to form 1040, is intended for the reporting of Foreign Earned Income. Among other information, taxpayers using this form need to submit information about where they are currently living, overseas employment and may need to determine whether they qualify for this consideration under the Bona Fide Residence Test. The main purpose of Form 2555 is to help taxpayers determine their exclusions relating to foreign earned income and housing. Anyone filing Form 2555 can only deduct or exclude as much money as the foreign income they earned overseas within a given tax year.