Ibrahim Gardner
International students in the US are required to file a tax return with the Internal Revenue Service (IRS) each year they are in the country. This includes federal and state tax returns for those who earn an income, and a non-employed federal form for those who did not. Most international students are considered nonresident aliens for tax purposes and must pay tax on income from US sources. There is no specific international student tax, and the amount of tax owed depends on individual circumstances. Students with an F-1 visa are exempt from social security and Medicare taxes for up to five years from their arrival in the US.
| Characteristics | Values |
|---|---|
| Who needs to file a tax return? | All international students who were in the US during the previous calendar year. |
| What if an international student didn't earn any income? | They must still file a non-employed federal form. |
| What is the deadline for filing? | April 15, 2025. |
| What forms are required? | Form 8843, Form 1040-NR, W-4, W-2, 1042-S, 1099, 1098-T, 1095, ITIN, W-7. |
| What is the purpose of filing a tax return? | To report sources of income, what was paid, and what is still owed; to claim deductions or exemptions; to calculate the exact amount of tax liability. |
| What is Sprintax? | A tax preparation software that can help nonresident tax filers complete their federal tax returns. |
| What is the cost of using Sprintax? | It is free to prepare your federal tax return with Sprintax, but there is a fee for preparing a state tax return. |
| Where should international students send their tax returns? | Internal Revenue Service Center, Austin, TX 73301-0215, USA (as the IRS does not allow electronic filing for nonresident aliens). |
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What You'll Learn
International students on F-1 visas
Every international student is required to file a US tax return each year they are in the country. This includes federal and state tax returns for those who earned income, and a non-employed federal form for those who did not. The deadline for filing federal tax returns is April 15, 2025, and the forms must be sent by mail as electronic filing is not allowed for nonresident aliens.
There are various forms that international students may need to fill out, depending on their individual circumstances. These include Form 1040-NR (federal tax return), Form 8843, Form W-2, Form 1042-S, Form 1099, and Form W-4. Additionally, some students may need an Individual Tax Identification Number (ITIN).
It is important to note that tax rates and deductions can vary across different states in the US, so the amount of tax an international student pays will depend on their location. Nine states do not have any tax-filing requirements. Furthermore, international students on F-1 visas are exempt from social security and Medicare taxes.
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Nonresident alien students
International students on F-1 visas are considered nonresident aliens for tax purposes and must pay tax in the US. Nonresident alien students are subject to special rules with respect to the taxation of their income.
Tax Filing Requirements for Nonresident Alien Students:
- Taxable scholarships or fellowship grants
- Income partially or totally exempt from tax under a tax treaty
- Any other income taxable under the Internal Revenue Code
However, nonresident alien students are not required to file tax returns if their income is only from certain sources, such as US savings and loan institutions, US credit unions, US insurance companies, or certain types of investments.
Forms for Nonresident Alien Students:
State Tax Requirements:
In addition to federal taxes, nonresident alien students may also be subject to state income taxes, depending on the state they are in. Nine states have no tax-filing requirements, but most states will collect state income tax. Students can use tools like Sprintax to help prepare their state tax returns, which may be required in addition to federal returns.
Deadlines:
The deadline for filing tax returns is generally April 15, and nonresident alien students must file an annual US income tax return even if they have left the country.
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State tax returns
International students in the US are required to file a tax return each year they are in the country. This includes federal and state tax returns for those who earn an income, and a non-employed federal form for those who did not.
The deadline to file the tax return is usually in April of the following year. The tax year is from January 1 to December 31.
To file your tax return, you will need your W2, which states your previous year's earnings and tax withheld. This will be provided by your employer at the end of January. You will also need your Social Security Number or Individual Tax Identification Number (ITIN). You will receive a 1042-S form from your school or institution if you received a taxable scholarship.
Some international students may need an ITIN, and you can apply for one if you are receiving funds from your institution and are not eligible for an SSN.
You may also receive a 1099 form if you earned rental income, investment income, or if you worked as an independent contractor. Most international students do not receive a 1099 form.
The purpose of filing your tax return is to report all your sources of income, what you have already paid, and what you still owe. It is also an opportunity to claim any deductions or exemptions you may qualify for. At the end of the process, you calculate your total tax for the year. If you have overpaid, you will receive a refund. If you have underpaid, you will need to pay the difference.
Some universities provide access to tax preparation software, such as Sprintax, which can help you complete your state tax returns for a fee.
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Federal tax returns
The deadline for filing federal tax returns is April 15, 2025. This deadline also applies to Form 8843, which all international students must file to remain legal under F, J, M, and Q visas, even if they did not earn any money in the US. This form is used to report income from US savings and loan institutions, credit unions, insurance companies, and certain investments, as well as any income that is non-taxable under the Internal Revenue Code.
To file federal tax returns, international students will need their W-2 form, which shows the previous year's earnings and tax withheld. They will also need their Social Security Number or Individual Tax Identification Number (ITIN). If they received a taxable scholarship, they will need Form 1042-S, and if they earned income as an independent contractor, they may need Form 1099-MISC.
It is important to note that the IRS does not allow electronic filing for nonresident aliens, so international students must send their tax returns by mail. They can use tax preparation software like Sprintax to help them complete their federal tax returns, but they will still need to mail the forms to the IRS.
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Tax treaty exemptions
International students in the US on an F-1 visa are generally considered nonresident aliens for tax purposes for the first five calendar years of their stay. However, they may be classified as residents for tax purposes if they pass the substantial presence test.
The US has income tax treaties with 65 countries, and students from these countries may be able to claim a tax treaty exemption. This can reduce or eliminate US taxes on various types of income, including personal services, pensions, interest, dividends, royalties, and capital gains. To claim a tax treaty exemption, students must complete Form 8233, "Exemption from Withholding on Compensation for Independent (and Certain Dependent) Personal Services of a Nonresident Alien Individual," and a country-specific statement detailing the terms of the treaty. These forms must be submitted annually and reviewed and approved by the IRS.
If a student's country of residence has signed a tax treaty with the US, they may be partially or completely exempt from certain taxes. For example, the US-China income tax treaty allows Chinese students temporarily present in the US to claim an exemption from tax on their scholarship income, even if they become a resident alien. Similarly, a special rule under Article 21(2) of the US-India Income Tax Treaty allows Indian students and business apprentices to claim the standard deduction if they do not claim itemized deductions.
It is important to note that tax treaties do not exempt all income from taxes. Even with a tax treaty in place, students may still be subject to Federal and state income tax withholding, and they must still complete Form W-4, "Employee's Withholding Allowance Certificate." Additionally, students who receive taxable scholarships or fellowship grants may need to report this income on Form 1042-S, "Foreign Person's U.S. Source Income Subject to Withholding."
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Frequently asked questions
Yes, all international students are required to file a federal tax return with the Internal Revenue Service (IRS) each year they are in the United States. This applies even if they did not earn an income.
International students on F, J, M, or Q visas are considered "exempt individuals" and are nonresident aliens for tax purposes. They need to file Form 8843 and may need to file Form 1040NR (federal tax return) and state tax returns. Other forms that may be required include W-2, 1042-S, 1099, 1098-T, and 1095.
The deadline to file federal tax returns is April 15 or April 18 if sent by mail. However, other forms such as state tax returns have different deadlines.
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