U.S. citizens that work abroad may not be using any services from the U.S., but they still end up paying in a large amount of tax dollars. However, new tax laws proposed by president-elect Barack Obama may end up saving those foreign workers some cash. So, what are the current tax laws for those working abroad and how might the new tax proposals change what you owe?

Currently, U.S. citizens working abroad may qualify for foreign income exclusion of up to $80,000 if you satisfy two requirements: (1) You must reside in a foreign country for an entire tax year, and (2) your salary must be paid by a company or agency in your country of residence of by a U.S. company operating in that country. Also, only earned income – such as salaries, wages, fringe benefits – qualifies.

The biggest problem with foreign income taxes is the fact that you are usually double taxed. Workers abroad are usually required to pay some form of income tax to the country in which you reside and earn a salary. Meanwhile, you may also end up paying U.S. income tax if you don’t qualify for exclusions. The only exception are those countries that have agreements with the U.S., like Canada.

Obama’s new tax plans reduce the rates owed by workers abroad, but many of the same provisions remain in place. For more information on Obama’s tax plan, see Many Taxpayers Stand to Gain from New Laws on Yahoo! Finance.