r2i forum

My 2 new silly questions:

1. Does USC pay Social Security & Medicare taxes to IRS when in India earning Indian income in rupees ? Per IRS rules, employer pays 6.2% SS tax + employee plays 6.2% SS tax up to a certain income limit. I assume an Indian employer is probably not paying SS tax to IRS. So, does the employee (USC) pay 12.4% SS tax to IRS ?

2. How does GOI establish a tax base at the beginning of ROR period -- is it equal to US tax base or current portfolio value ? If latter, then USC does not have to sell and buy back his positions just to establish a new base with GOI. But, I gleaned that the former is true when reading some posts here.

Thanks.