International Students And 1040: What You Need To Know

International students in the US are required to file tax returns, even if they have no US-based income. Most F-1 students are considered nonresident aliens and must file a 1040-NR federal tax return to assess their federal income and taxes. Students with an F-1 visa who have earned an income in the US can claim a tax refund, often due to tax treaties and a lack of serious income.

Characteristics and Values of 1040 for International Students

F-1 visa students can claim tax refunds

F-1 visa students are classified as nonresident aliens by the IRS and are therefore exempt from paying Social Security and Medicare taxes. This exemption is granted by the Internal Revenue Code and applies to students who have been in the US for less than five years. As a nonresident alien, you will need to file a federal tax return using Form 1040-NR to assess your federal income and taxes. Additionally, you may need to file Form 8843, especially if you did not earn any money during your time in the US. Depending on the state, you may also be required to file a state tax return.

If you have been working during your stay in the US, you will need to fill in a W-4 tax form with your employer. If you have a taxable scholarship or fellowship grant, you will need to file taxes. However, if your scholarship is tax-exempt, you will not need to file taxes.

To claim a tax refund, you can do so by filing a claim with the Internal Revenue Service using Form 843, along with any supporting documents. You may also need to file Form 8316, which is relevant for nonresident aliens on an F, J, or M-type visa. This form is used to request a refund of Social Security Tax that was withheld on your wages in error.

It is important to note that there are different rules and requirements for each state, so make sure to check the specific guidelines for your state of residence. Additionally, if you are on an F-1 visa and change to an H-1B visa, you may still qualify as a nonresident alien for tax purposes. In this case, you would need to submit Form 1040NR to the tax office.

Non-resident alien students must file 1040NR

International students in the US on an F-1 visa are typically considered nonresident aliens. If you're a nonresident alien, you must file a US tax return using Form 1040-NR to assess your federal income and taxes. This form is also known as the US Nonresident Alien Income Tax Return. Even if you didn't earn any money during your time in the US, you're still required to file Form 8843 with the IRS. The deadline for filing is April 15, 2025.

You can use software like Sprintax to help guide you through the non-resident tax return preparation process. Additionally, you can find Form 1040-NR, along with other non-resident tax return forms like Form 8843, on the IRS website.

As a nonresident alien, you are required to pay income taxes to the IRS, but only on the income that is effectively connected to the US. This generally includes money earned while in the US, but not income earned in your home country or other foreign countries.

There are two tests used by the IRS to assess your alien status: the green card test and the substantial presence test. If you satisfy the requirements of either of these tests, you are considered a resident alien for income tax purposes. Otherwise, you are treated as a non-resident alien.

Nonresident aliens who are employees and receive wages subject to US income tax withholding, or who have an office or place of business in the US, must generally file Form 1040-NR by April 15. However, if you are not an employee or self-employed person receiving wages or compensation subject to US income tax withholding, or if you do not have an office or place of business in the US, you must file by June 15.

If you are a nonresident alien student, teacher, or trainee who was temporarily present in the US on an "F," "J," "M," or "Q" visa, you are considered engaged in a trade or business in the US. In this case, you must file a return using Form 1040-NR.

Students with US-based income must fill out W-4

Students with US-based income must fill out a W-4 form. This is true regardless of whether the student is a US citizen or not. The W-4 form is an Employee's Withholding Allowance Certificate. It is used to determine how much federal income tax is withheld from your pay. It is important to note that nonresident alien students must follow a different set of instructions when completing the W-4 form. These instructions can be found in Notice 1392, Supplemental Form W-4 Instructions for Nonresident Aliens.

Nonresident alien students who are employed are required to fill out a Form W-4 in a specific way. They must claim "'single' filing status on line 3, even if they are married. Additionally, they cannot write "exempt" on line 7. With certain exceptions, nonresident alien students can only claim one personal exemption on Form W-4. They must also provide their local address and social security number on lines 1 and 2, respectively.

It is important to note that nonresident alien students who fail to file a Form W-4, or file an invalid one, will have federal income taxes withheld at the rates pertaining to single status and zero exemptions. Even if a student's income is exempt from federal income tax under an income tax treaty, they are usually still required to file a Form W-4 to report state and local wage amounts and income taxes withheld on their wages. This is done through Form 1042-S, Foreign Person's U.S. Source Income Subject to Withholding.

If you are an international student with US-based income, it is important to consult the IRS website or a tax professional to ensure that you are completing the Form W-4 correctly and meeting all your tax obligations.

Students on scholarships must file 1042-S

International students in the US on F-1 visas are typically considered nonresident aliens. These students are required to file a US tax return (Form 1040-NR) to report income from US sources. This includes any taxable scholarships or fellowship grants received.

The Internal Revenue Service (IRS) considers scholarship funding that pays for more than a student's tuition and fees to be income. The taxable portion of a scholarship award is calculated as follows: the total of all scholarships received, less any required tuition and fees, equals the taxable portion of the award. Scholarship funding that is used for living expenses is also considered taxable income.

If you are an international student and have received a taxable scholarship, you will likely receive a 1042-S form from your school. This form reports the amount of your scholarship income that was subject to tax withholding. You will need this form, along with your passport, visa, and other relevant documents, to complete your tax return.

As an international student with a taxable scholarship, you must file both Form 8843 and Form 1040-NR. These forms are due by the tax deadline, which is usually in April. It is important to note that even if you did not receive any income through employment, you may still be required to file a tax return and report your scholarship income.

To receive any tax refunds, you will need an Individual Taxpayer Identification Number (ITIN) or Social Security Number (SSN). If you do not have an SSN, you can apply for an ITIN by completing a W-7 Form with the assistance of your student services coordinator.

Students with no US-based income may only need Form 8843

If you are an international student in the US with no US-based income, you may only need to fill out Form 8843, "Statement for Exempt Individuals and Individuals With a Medical Condition". This form is required by the IRS for nonresident taxpayers who were present in the US at any point during the previous calendar year. It is important to note that this form is not a US income tax return, and you will not need to include any information about your income. Instead, it serves as an informational statement to provide the IRS with relevant details about your time spent in the US.

Even if you did not earn any income in the US, you are still required to file Form 8843 if you meet the criteria for nonresident status. This typically applies to individuals on F-1, J-1, F-2, or J-2 visas. It's important to determine your tax residency status accurately, as this will impact your tax obligations. Most F-1 visa holders are considered nonresident aliens by the IRS.

When completing Form 8843, you will need to provide your personal details, including your name and addresses as they appear on your passport. Additionally, if you have been assigned a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN), you must include this information on the form. However, it's important to note that you generally don't need an SSN or ITIN to file Form 8843, and you can leave this section blank if you don't have either of them.

The deadline for filing Form 8843 is usually the same as the deadline for filing your tax return, which is typically April 15. However, if you have no US income and are only filing Form 8843, the deadline is extended to June 15. It is important to file this form correctly and on time to avoid potential fines and penalties. By not filing on time, you may not be able to exclude the days you were present in the United States, which could impact your residency status for tax purposes.

Frequently asked questions