Janice Lozano
As an international student in the US, you are required to file a tax return. This is a complicated process, and the way you handle your tax affairs will have a major impact on future Green Card and visa applications. International students on F-1 visas are considered nonresident aliens for tax purposes for the first five calendar years of their stay in the US and are only taxed on US-source income. After five years, they usually become resident tax filers. If you are a nonresident alien, you will need to file Form 1040-NR (federal tax return) to assess your federal income and taxes. All international students and their spouses and dependents, regardless of income, must complete Form 8843, which lets the IRS know how long you have been in the US.
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What You'll Learn
Understanding your residency status
International students in the US are generally considered nonresident aliens for tax purposes. This means that they are only taxed on US-sourced income. However, some international students may be considered 'residents' or ''resident aliens' for tax purposes, depending on their residency status.
To determine your residency status for tax purposes, you need to refer to the guidelines set forth by the Internal Revenue Service (IRS). The IRS uses the ''substantial presence test'' to determine whether an individual is a resident or non-resident alien for tax purposes. This test takes into account the number of days you have been present in the US over a period of time.
If you are an international student with an F, J, or M visa, you are typically considered a non-resident alien for tax purposes if you have been in the US for less than five calendar years. After five years, you may be considered a resident alien for tax purposes. However, it is important to note that this classification is solely for tax filing purposes and does not reflect your actual residency status.
The residency status of international students can have implications for their tax liabilities. Non-resident aliens are generally taxed only on their US-sourced income, and they may be exempt from certain taxes, such as Social Security and Medicare taxes. On the other hand, resident aliens may be subject to additional taxes, such as self-employment taxes, and may need to report worldwide income.
It is important for international students to understand their residency status and the associated tax requirements. By correctly filing their taxes, students can avoid problems with their visa applications and Green Card eligibility. Seeking guidance from their school's international student center or a professional tax advisor can help navigate the complexities of the US tax system.
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Tax treaties between the US and your home country
International students in the US on an F-1 visa are typically considered nonresident aliens for tax purposes for the first five calendar years of their stay. This means that they will be taxed only on US-source income. If your home country has signed a tax treaty with the US, you may be partially or completely exempt from certain taxes. The US has income tax treaties with 65 countries, and these treaties can often reduce or eliminate US tax on various types of income, such as pensions, interest, and dividends.
The specific terms of tax treaties vary among countries and types of income. Tax treaties generally reduce the taxes of residents of foreign countries as determined by the treaty, but they do not reduce the taxes of US citizens or residents. US citizens and residents are still subject to US income tax on their worldwide income. However, they may be entitled to certain credits, deductions, exemptions, or reductions in the rate of taxes when receiving income from a treaty country.
If you are a nonresident alien, you will need to file a Form 1040-NR (federal tax return) to assess your federal income and taxes. Even if you do not have US-source income, you still have a federal tax filing requirement. The US tax system is a pay-as-you-go system, so there will usually be automatic tax withholdings from your paycheck, stipend, or financial aid. When you file your annual tax return, you will use tax software to calculate the exact amount of your tax liability for that calendar year based on your total income and other personal circumstances.
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Tax forms to fill out
International students in the US on F-1 visas are typically considered nonresident aliens for tax purposes for the first five calendar years of their stay. This means that they are only taxed on US-source income and will need to file Form 1040-NR (federal tax return) to assess their federal income and taxes. Additionally, all international students and their dependents must file Form 8843 with the IRS, regardless of whether they earned any income in the US. This form must be submitted by the deadline, which was April 15, 2025, for the 2024 tax year.
If you received income from US sources, you will likely need to file Form 1040-NR as well. This includes income from employment earnings, taxable scholarships or fellowship grants, and other income taxable under the Internal Revenue Code. It is important to note that even if you do not have US-source income, there may still be a federal tax filing requirement.
Some international students may be exempt from certain taxes due to tax treaties between their country of residence and the US. For example, F-1 visa holders are typically exempt from social security and Medicare taxes for up to five years from their arrival in the US. Additionally, income that is not taxable due to a tax treaty must still be reported on a US income tax return, even if no tax is due.
In addition to federal taxes, international students may also need to file state tax returns and pay state income taxes, as these requirements vary by state. It is recommended to check your state's website to determine if you have state tax filing obligations and their respective deadlines.
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Deadlines for filing taxes
As an international student in the US, you must file your tax returns each year. The Internal Revenue Service (IRS), the US government agency that collects taxes, has a strict deadline of April 15 (or the following Monday if that falls on a weekend) to file tax returns for the previous calendar year of January 1 to December 31. For 2023, the deadline was April 18.
It is important to understand that filing tax returns is mandatory for international students, and not doing so by the deadline could result in problems with or a revocation of your visa, as well as possible ineligibility for a green card.
International students on F-1 visas are considered nonresident aliens for tax purposes for the first five calendar years of their stay in the US and are only taxed on US-source income. After five years, they are usually considered resident aliens for tax purposes.
If you are an international student in the US, you will need to file Form 8843, which is informational and lets the IRS know how long you have been in the country. This form must be mailed in a separate envelope for each dependent to the IRS. Additionally, if you have received income in the last calendar year, you will likely need to file Form 1040-NR (federal tax return) as well. You can electronically file (e-file) Form 1040-NR on the IRS website.
It is worth noting that not all US states require that you file a tax return on the state level, but many do. Check your state's website to find out if you have state tax filing obligations and the deadline to file on the state level.
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How to get help with filing taxes
As an international student in the US, you may find the process of filing your taxes daunting, and you may need some help. Here are some steps you can take to get assistance with filing your taxes.
Firstly, it is important to determine your residency status for tax purposes. There are three main types of residency for tax purposes in the US: residents, non-residents, and dual-status aliens. Most international students with an F, J, or M visa are considered non-resident aliens if they have been in the US for less than five years. Your tax filing status may change over time, so review the guidelines carefully.
Next, you should gather your income information. This includes any taxable income, such as income from employment, scholarships, fellowships, or donations. You will need to report this income on your tax return.
Now, you can seek help from the following sources:
- Your educational institution's international student center: Many universities have partnerships with tax software or provide resources and guidance to help international students with their taxes. For instance, Yale University provides its international students and scholars with access to the tax preparation software Sprintax, while the University of Southern Indiana (USI) also works with Sprintax to help international students file their taxes.
- Online resources: Websites like eduPASS and internationalstudent.com offer comprehensive guides and tips for international students filing taxes in the US. They also provide information on basic definitions, important terms, and relevant forms.
- Sprintax: Sprintax is a popular online tax preparation software specifically designed for nonresident international students, scholars, and nonresidents. It helps you prepare your federal tax return (Form 1040NR or 1040NREZ) and state tax return (for an additional fee) accurately and efficiently.
- A qualified tax accountant: If you have a complicated tax situation or your visa status has changed, consider consulting a qualified tax accountant or a tax advisor. They can provide personalized advice and ensure your taxes are filed correctly.
- The Internal Revenue Service (IRS): The IRS is the US tax collection agency, and their website offers a wealth of information for international taxpayers, including publications on tax treaties and specific guidelines for nonresident aliens.
Remember, while these sources can provide guidance, you are ultimately responsible for verifying the accuracy of your tax filings. Filing taxes as an international student can be complex, but with careful preparation and the help of these resources, you can navigate the process successfully.
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Frequently asked questions
Yes, all international students and scholars on F or J visas must file Form 8843, even if they do not earn an income while studying in the US.
Form 8843 is used by "alien individuals" to explain the basis of a claim that one can exclude days present in the US for the purposes of the substantial presence test because they were studying and not working.
The deadline is April 15 (or the following Monday if that falls on a weekend).
You can electronically file (e-file) Form 1040NR on the IRS website, but you can't e-file Form 1040NR-EZ.
International students with an F, J, or M visa who have been in the US for less than five calendar years are considered non-resident aliens. Those who have been in the US for more than five calendar years are considered resident aliens.
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