Students

If you are a student, we do not have any special rates. However, there are a few things you should know. If you are a US Citizen or a Green card holder, you will file like all Americans, a 1040. If you have international assets, you would need to disclose those as well if those assets are over $10,000 and any income from them accordingly. You can give us a call and we can help you with that aspect

If you are an international student, you may or may not be required to file a form 8843 and a form 1040NR. You must file a 1040NR (international tax return) if you have had any income whatsoever in the USA in order to be compliant with both IRS & USCIS rules.

Typically international students have the following visa types: F, J, Q, or M Visa. The tax benefits for international students depend on the student's country of origin, if there is a tax treaty with the student's home country, and whether the IRS affords nonresidential status to international students. For example, if you are a international student from India, you will qualify for the standard deduction, as defined in IRS Revenue Procedure 93-20. . Filing form 8843 is always a good idea, whether or NOT you have had income because it helps to tell the IRS that you are an "exempt" individual, on an international student visa, and are excluding your days of presence in the USA. All international students are automatically exempt during the first 5 calendar years in the USA, but if by chance, if you, are an international student, and are going to exceed those 5 calendar years and stay on the same type of student visa while here in the USA, filing an 8843 helps establish your intent that you do not wish to stay here in the USA. This avoids the problem where you end up passing the substantial presence test beyond your first five years here in the USA, and where you would possibly required to file as a resident, and having to disclose all of your international income & assets, if any.

International Students and Social Security & Medicare Tax

In the interest of not being verbose, international students are not supposed to pay any social security or medicare tax (known as "FICA", after the Federal Insurance Contributions Act). If you are an international student and have been here only for 5 calendar years, and have had FICA tax withheld, you can get that back. The IRS provides you what is known as a "student FICA Exemption."You would have to properly file a FICA claim with the IRS, by filing forms 843 & 8316. There are several documents you would need to prove your international student status, such as your I94, your passport copies, all paystubs from the time you were employed, etc. If you were self employed, as a contracter, you will also not pay any self employment tax. So don't pay that when you file!

Once you, however become an H1B or an L1A/L1B visa holder, or holder of any nonexempt visa, you are now fully subject to FICA taxes for the time period you hold that visa. If your employer mistakenly forgets to hold those taxes, you can always inform them of the mistake and adjust that in a later paystub/pay period with them. Else, you can always file the SS8 & 8919 to voluntarily pay those taxes, but that could get you into a pickle with your employer as the IRS tends to audit and penalize the employers for not withholding FICA tax on noneexempt individuals.

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2017 Annual Adjustment Amounts: Tax Rates, Deductions, & Exemptions;


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2016 Annual Adjustment Amounts: Tax Rates, Deductions, & Exemptions;

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2015 Annual Adjustment Amounts: Tax Rates, Deductions, & Exemptions;

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2014 Annual Adjustment Amounts: Tax Rates, Deductions, & Exemptions;

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Questions & Answers on NII & Additional Medicare Tax

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Are you living abroad and a dual citizen?? Click here.

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"OVDI" (Offshore Voluntary Disclosure Program) Remains Open For Those With Undisclosed Foreign Income/Assets;

Other Options other than OVDP remain open too, like Streamlined Procedures.

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DNA India, a leading Mumbai daily, quotes Vimlan Tax Services. Click here...

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Mileage Rates for 2016 are here..

  1. 54 cents per mile for business miles driven (down from 57.5 cents in 2015);
  2. 19 cents per mile driven for medical or moving purposes;
  3. 14 cents per mile driven in service of charitable organizations;


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Mileage Rates for 2015 are here..

  1. 57.5 cents per mile for business miles driven (up from 56 cents in 2014);
  2. 23 cents per mile driven for medical or moving purposes;
  3. 14 cents per mile driven in service of charitable organizations;


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International Income Tax Liability...


Worldwide Income Reporting and Foreign Accounts

Most people filing US tax returns know if they are a US Citizen or a Greencard holder, but most do not know if they are a US "tax" resident. You may read the April 2011 E-newsletter we put out which explains the classifications mentioned above or call our office to request an appointment with a qualified tax advisor to discuss your case. Our December 2015 E-newsletter is out as well.