Tax guide

Yes. Even if you had no US-source income, F-1 students must file Form 8843 (Statement for Exempt Individuals) every year they are in the US. This form reports your exempt status under the Substantial Presence Test. If you had any income (including scholarships for living expenses), you must also file Form 1040-NR.

A Social Security Number (SSN) is issued to US citizens, permanent residents, and certain work-authorized non-citizens. An Individual Taxpayer Identification Number (ITIN) is issued by the IRS to individuals who need to file taxes but are not eligible for an SSN. Both are 9-digit numbers, but ITINs always begin with "9" and have a digit range of 70-88 in the 4th and 5th positions. An ITIN does not authorize you to work.

Yes, in several important ways. Tax compliance demonstrates good moral character (required for naturalization), shows financial self-sufficiency (relevant for public charge), provides income evidence for I-864 Affidavit of Support, and demonstrates respect for US laws. USCIS frequently reviews tax records during immigration proceedings.

If you meet the Substantial Presence Test (which most H-1B workers do within their first year), you are a resident alien for tax purposes and must report worldwide income — including foreign bank interest, rental income, and investment income from other countries. You may be able to claim a Foreign Tax Credit to avoid double taxation.

If the aggregate value of all your foreign financial accounts exceeds $10,000 at any time during the calendar year, you must file an FBAR (FinCEN Form 114). Additionally, if you meet higher thresholds, you may also need to file FATCA Form 8938. These are separate requirements — you may need to file both.

Failure to file required tax returns can result in: IRS penalties and interest, negative impact on naturalization applications (good moral character), issues with future visa applications, problems with I-864 Affidavit of Support, and potential criminal penalties in severe cases. It is always better to file late than not at all.

The EITC is available to resident aliens with a valid Social Security Number (SSN) for the entire tax year. ITIN holders cannot claim the EITC. You must also have earned income and meet income limits. Non-resident aliens cannot claim the EITC. Green card holders and asylees/refugees with SSNs may be eligible.

To claim tax treaty benefits: (1) Determine if a treaty exists between your country and the US, (2) Identify the specific article that applies, (3) File Form 8833 (Treaty-Based Return Position Disclosure) with your tax return, (4) For wage income, give your employer Form 8233 for withholding exemption. Not all treaty provisions apply to all visa types.

Yes, you likely need to file for the portion of the year you were in the US. If you were a resident alien, you may have a dual-status year. You may also need to file a departing alien return (Form 1040-C) before leaving. Your worldwide income during the resident portion and US-source income during the non-resident portion would be taxable.

The SPT counts your physical days in the US over 3 years: all days in the current year + 1/3 of days in the prior year + 1/6 of days two years ago. If this total is 183 or more AND you were present at least 31 days in the current year, you are a resident alien for tax purposes. Certain visa holders (F, J, M, Q) have exempt periods.

Yes. If you are a non-resident alien married to a US citizen or resident alien, you can elect to be treated as a resident alien for the entire year and file a joint return. Both spouses must include their worldwide income, and you must attach a statement to your return making this election (IRC Section 6013(g)).

FICA includes Social Security tax (6.2%) and Medicare tax (1.45%). Most immigrant workers pay FICA. However, F-1/J-1/M-1/Q-1 visa holders are exempt from FICA during their exempt period (5 years for students, 2 years for J-1 teachers/researchers). H-1B, L-1, O-1, TN, and green card holders are all subject to FICA.

Some banks accept ITINs for account opening, though policies vary by institution. An ITIN alone does not authorize employment, but it can be used as identification for banking purposes. Many credit unions and community banks are more likely to accept ITINs. Check with specific institutions in your area.

USCIS examines your tax compliance as part of the "good moral character" determination for naturalization. They typically review the statutory period (5 years for most, 3 years for marriage-based). You should: have filed all required returns, paid all taxes owed (or have a payment plan), not have committed tax fraud, and ensure your returns are consistent with your immigration claims.

A tax transcript is an IRS document that shows information from your filed tax return. Types include: Return Transcript (line items from return), Account Transcript (filing status, payments), and Record of Account. You can get transcripts at irs.gov/individuals/get-transcript, by calling 1-800-908-9946, or by mailing Form 4506-T. Immigration applications often require tax transcripts.

Yes. DACA recipients with work authorization are required to file taxes on income earned through authorized employment. You should have an SSN for tax filing purposes. Filing taxes demonstrates good moral character, which is important if future immigration relief becomes available. Keep copies of all returns as evidence of compliance.

Non-willful FBAR violations can result in penalties up to $10,000 per violation. Willful violations can result in the greater of $100,000 or 50% of the account balance per violation, plus potential criminal penalties. The IRS has streamlined procedures for those who were unaware of the requirement, including the Streamlined Filing Compliance Procedures.

Yes. If your employer withheld more tax than you owe, or if you are eligible for treaty benefits that reduce your tax liability, you can file Form 1040-NR to claim a refund. Many F-1 students and J-1 exchange visitors are entitled to refunds, especially if their country has a tax treaty with the US.

Self-employed O-1 holders must: file Schedule C with Form 1040, pay self-employment tax (15.3%) via Schedule SE, make quarterly estimated tax payments, and potentially pay state taxes. You can deduct legitimate business expenses. Keep detailed records of all income and expenses. Consider hiring a CPA who understands immigration-related tax issues.

If you were present in the US for fewer than 183 days in the current year but meet the 3-year weighted total, you may claim the closer connection exception by filing Form 8840. You must show: (1) your tax home was in a foreign country, (2) you had a closer connection to that country than the US, and (3) you were present fewer than 183 days. This lets you remain a non-resident alien.

Asylum seekers who have been granted work authorization (EAD) and are earning income must file taxes. Even those pending a decision should file if they have income. Filing taxes demonstrates good moral character and compliance with US laws, which can support the asylum application. Refugees and approved asylees file like other resident aliens.

You can avoid double taxation through: (1) the Foreign Tax Credit (Form 1116) — a dollar-for-dollar credit for foreign taxes paid, (2) tax treaty provisions that may exempt certain income, (3) the Foreign Earned Income Exclusion (Form 2555) if you qualify, or (4) itemized deductions for foreign taxes (though the credit is usually more beneficial). Consult a tax professional for your specific situation.

Non-resident aliens typically file: Form 1040-NR (US Nonresident Alien Income Tax Return), Form 8843 (Statement for Exempt Individuals — required even with no income), and potentially Form 8233 (for treaty-based withholding exemption), Form 8833 (Treaty-Based Return Position Disclosure), and state tax returns. Some may also need to file FBAR and Form 8938.

If your ITIN has expired (middle digits 70-88 or not used in 3 years), you need to renew it by filing Form W-7 with the required documentation. You can renew at any time, but it is best to do so before tax filing season. You can renew in person at an IRS office, through a Certifying Acceptance Agent, or by mail. Processing takes 7-11 weeks.