Are you a nonresident student in America? Do you find US tax to be confusing?
Don’t worry, you’re not alone! Even for the most financially savvy US citizen, American tax can be pretty tricky.
That’s why we’ve prepared a list of common questions nonresidents ask us and answer them here in this handy blog!
Continue reading “13 US tax questions every nonresident student asks us!” »
Are you living in the United States and recently received a Form 1042-S? Don’t worry; you’re not alone.
Many individuals find themselves in this situation each tax season, and understanding what to do next can remove any potential confusion or stress.
In this guide, we’ll break down everything you need to know if you received a 1042-S form.
Continue reading “I have received a 1042-S – what do I do now?” »
(Updated for 2024)
Coming to the US from a foreign country presents both thrills and challenges to every nonresident. One of the more common difficulties nonresidents face is filing their tax return.
In this blog post, we’ll be discussing Forms 1040, 1040NR, 1040NR-EZ, and how they apply to each person’s situation (Important: Since 2020, form 1040-NR-EZ is no longer used.)
Form 1040 (NR) figures out the total taxable income of the taxpayer and determines how much of a refund the person may be due.
So, without further ado, let’s examine how to find out which form applies to you! Continue reading “Which tax form should I use: Form 1040 or 1040NR?” »
(Updated for 2024)
Many international students on F-1, J-1, M-1 and Q engage in practical training and earn income through one of the USCIS (United States Citizenship and Immigration Services) approved programs or participate in on-campus and off-campus employment during or post-study.
Continue reading “How to Get a Full Tax Refund as an International Student in US” »
Have you just received a W-2 form from your employer for the 2023 tax season?
If so, you may be asking yourself what it is and what you need to do with it.
Every year, nonresidents and international students who have earned an income in the US will receive a W-2 form from their employer – outlining wage and salary information. In addition, you may also receive a form 1099 detailing different types of income received during the year e.g., self-employed income, interest on bank accounts, stocks bonds or dividends.
In this guide, we will outline how to use these forms when filing your tax return.
Continue reading “Everything nonresidents need to know about the W-2 and 1099 forms” »
Preparing a 1042-S isn’t an easy task, and to make matters worse, filing incorrectly can lead to penalties, fines and unnecessary stress.
But not to worry, today we will address some of the most common questions associated with filing a 1042-S: What is a 1042-S? How do I know what income to report? What deadlines should I be aware of when filing a 1042-S? Should I be aware of any recent changes to the document?
In this blog post, we’ll explain everything you need to know about the 1042-S!
Continue reading “Filing 1042-S Form – A Comprehensive Guide” »
(Last updated: 23 Feb 2024)
If you’re a nonresident alien in the US, you may be wondering if there are any tax reliefs available which can help you save money on your tax bill.
While the answer to this question is likely “yes”, exactly what you will be entitled to will depend on your personal circumstances.
The best place to start is by checking whether or not you are entitled to any tax treaty benefits.
The US has signed tax treaty agreements with 67 countries around the world and if you are entitled to benefit from one of these agreements, you could potentially save a lot on your taxes.
In this guide, we are going to take a closer look at tax treaty benefits – what they are and exactly how you can claim them.
Continue reading “I am a nonresident in the US. Can I claim any tax treaty benefits?” »
Are you going to the US to work for the winter season?
If so, it’s likely that you have many questions on the types of winter work jobs available, the Winter Work and Travel program, H-2B visas, tax residency status, claiming your tax back afterwards, and more!
In this article, we will delve deeper into the above topics to answer frequently asked questions. Continue reading “Tax information for nonresident winter workers in the US” »
(Last updated: 22 Jan 2024)
Each year, thousands of au pairs move to the US to live with host families.
We’ve put this handy guide together to fill you in on everything you need to know about foreign au pairs and tax in the US.
Continue reading “A Complete Tax Guide for Au Pairs in the U.S.” »
(Last updated: 19 Jan, 2024)
In order to prepare your US tax documents, you will need to know the exact dates on which you traveled in or out of the US.
However, if you don’t know your travel history and you need to double-check the exact entry and exit dates, the good news is that you can easily do this online.
The US Customs and Border Protection (USCBP) keeps a record of all nonresidents who travel to the country over the past 5 years.
These documents also include the reason for their travel and the dates of their previous visits to the US.
In this post, we will discuss how to track all your travel history paperwork. Continue reading “U.S. entry and exit dates – how to check your travel history” »
Need to file a US nonresident tax return from outside America?
Don’t worry. You’re not alone! Countless nonresidents face this very predicament every year.
Filing from outside the US can pose its own unique set of challenges. But, with some planning, organization and a little help from your friends at Sprintax, filing your documents can be easier than you think!
In this handy guide, we’ve got 5 top tips to follow if you’re filing your nonresident tax documents from outside the US.
Continue reading “How to file your nonresident tax return from outside the US” »
The deadline for filing your 2023 US tax return is April 15, 2024, and it’s never too early to start preparing.
There’s no doubt that, whether you have filed a tax return before, or this is your first year with a filing requirement, the tax season can be a real headache.
In this blog, we’ll look at 5 things every nonresident alien in the US can do to ensure their tax season runs as smoothly as possible.
Continue reading “How to prepare for the 2023 US tax season” »
(Updated for 2024)
Capital gains tax (CGT) is a tax imposed on profit earned from the sale of specific assets.
For nonresident aliens, these assets often include investments like stocks, real estate, cryptocurrency and personal property.
So, while living in the US, you may be subject to capital gains tax when you sell these assets and earn a profit.
Many nonresidents in the US find it challenging to manage their CGT responsibilities. That’s why we’ve put together this guide which will outline everything you need to know to correctly file your capital gains tax return before the deadline.
Continue reading “Will I pay Capital Gains Tax in the US as a nonresident?” »
Are you a nonresident of the US wondering how you can get a Social Security Number (SSN), or whether you are in fact eligible for a SSN?
In this article, we will cover everything you need to know about Social Security Numbers – such as how to apply for SSN, when is best to apply for a SSN, filling out Form SS-5 and the documents you will need when applying!
Are you currently in the US on a J-1 visa? Or perhaps you are planning to visit the US on a J-1 visa in the future.
A J-1 visa is a non-immigrant visa that allows eligible participants to go to the US for a specific time period to engage in a cultural or educational exchange.
J-1 programs fall under many categories, including Au Pair, Summer Work and Travel, Intern, Student, Research Scholar, and more!
No matter what J-1 visa you are on, you are sure to make great memories in the US, exploring the country and gaining invaluable life, training and employment experience.
Although taxes are probably the last thing on your mind as you enjoy your adventure, it is important to stay compliant with the IRS. After all, each J-1 program participant has a tax filing requirement. And if you do not have a clean tax record, you may encounter complications when applying for future US visas.
In this article, we will share important information on your J-1 tax obligations as well as other tips to consider before you leave the US.
Most J-1 visa holders are considered to be ‘nonresident aliens’ for tax purposes in the US.
Your tax residency status will be determined by what’s known as the Substantial Presence Test. This test determines an individual’s tax residency status based on the number of days spent in the US.
If you meet the Substantial Presence Test, you will be considered a resident of the US for tax purposes and if you don’t you will be considered a nonresident and therefore will only be taxed on income earned in the US.
It is important to understand your tax obligations as a J-1 visa holder.
Regardless of your tax residency status, everyone in the US on a J-1 visa has a tax filing requirement and must file a tax return to account for their time in America.
Even if you didn’t earn any income during your time there, you will still be required to file tax documents.
You must file a US tax return to be compliant with the IRS and avoid any fines or penalties.
The tax deadline in the US is usually 15 April. This means if you are working in the US on a J-1 visa in 2023, you must file your tax return before the tax deadline in April 2024.
When filing your tax return you will need a Form W-2 along with Form 1040NR if you earned income, or Form 8843 if you did not earn anything.
Learn more about filing your J-1 tax return here.
Form W-2 details important information regarding the income you earned throughout your employment in America and the taxes withheld.
You’ll need this document when filing your tax return and you will typically receive it from your employer by the end of January.
Form 1040NR is the form that is used by nonresidents in the US to file a tax return.
There are a number of documents you will need to have close by when you sit down to file your J-1 tax return. These include:
Read our ultimate US tax return guide for J-1 visa holders to learn more.
This form certifies that you have been approved for a J-1 visa program and contains details about the program such as the J-1 visa category and the start and end dates of the program.
It is important not to disregard your DS-2019 as you will need it for future visa applications.
When you arrive in the US, it’s a good idea to open a bank account as soon as you can. It will make your life easier when you are being paid by an employer.
It is advised that you visit your bank before leaving America to discuss the closing of your account. Some banks may require you to be present to close your account while others can be closed online.
It is important to note that the process of receiving your J-1 tax refund is more straightforward if you have a US bank account.
If it is a requirement to close your bank account in person before leaving the US, alternative options to receive your tax refund include by check, advancing the amount owed to a future tax return, or by Wise. Find out more about the options you have to get your hands on your American tax refund here.
By doing so, you will avoid maintenance or other fees building up in your bank account, which may affect your ability to obtain future American visas.
Don’t forget to cancel any direct debits you might have set up during your time in America.
Another tip is to notify your bank that your address will be changing. This will ensure any confidential letters are no longer posted to that address.
Most J-1 visa holders have to get a SSN or Individual Taxpayer Identification Number (ITIN) when they arrive in the US.
SSNs or ITINs serve as tax identification numbers and they are used for tax filing purposes.
Many people ask “does J-1 SSN expire?”
The answer is no, a SSN is a lifelong personal identification number. Therefore, if you visit the US in the future on another visa or for a work opportunity, you can still use the same SSN.
With that in mind, it is important to take note of your SSN or ITIN and not disregard your identification number as you will need it when filing your tax return and if you are working in the US in the future.
It is very important to understand the J-1 visa grace period.
The J-1 visa 30-day grace period refers to the time you have to depart the US following the completion of your J-1 program.
Generally people on a J-1 visa use this time to travel to different locations in the US.
Amongst all of the planning and excitement to visit the top places on your list, it is important not to stay in the US past the grace period.
Keep in mind that you must only travel within the US during this period. For instance, if you decide to travel to Canada, you will no longer be able to enter the US on your J-1 visa.
During the grace period you cannot work in the US, and staying in the US past this period is another factor that could affect your chances of obtaining future visas to the US.
Eligibility to extend J-1 visas varies depending on what J-1 visa category applies to you.
In most cases, J-1 Summer Work and Travel visas are not eligible for extensions. This visa is specifically designed for students to work and travel in the US during the Summer period.
If you are taking part in this J-1 visa program you could explore other visa options to allow you to stay longer in the US.
Whereas, some other J-1 visa categories may be eligible for an extension. For instance, if you are in the US on a J-1 visa under the ‘Student’ or ‘Research’ category you may be eligible for an extension if the program requires additional time to complete.
Overall, eligibility to extend your visa in the US depends on the specific J-1 visa category that applies to you and other eligibility factors.
We understand that filing your tax return yourself can be stressful and time-consuming.
So why not let Sprintax guide you through the process!
Our tax software will support you from start-to-finish – guaranteeing that you are fully tax compliant in the US and ensuring you receive your maximum J-1 tax refund.
Filing with Sprintax is a simple online process. To get started, simply create your account by completing the short form here.