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$160K tax free is more like $300K in California.

You are generally legally required to pay some tax on overseas income of that size. https://www.irs.gov/individuals/international-taxpayers/fore...

You are also generally legally required not to commit federal felonies.

Though tax enforcement is sometimes more vigorous than general criminal enforcement, so I guess the tax angle isn't completely irrelevant.

Combat zone exemption.

That’s the generally, it’s not a long list. https://www.irs.gov/newsroom/combat-zones

Are you serious? That’s what you really take home as an SDE earning 300k??