Federal Tax Help-Sheet for Non-Residents

***NOTE: The following information has been provided by the Payroll Office at Stanford University and is directed toward Stanford affiliates ONLY. Also, please note that there is NO ONE at the Bechtel International Center who is able to give tax advice.

This document is intended as an overview for non-residents. Please check the Substantial Presence Test in Pub.519 to determine your residency status (http://www.irs.gov/pub/irs-pdf/p519.pdf).

In general, F-1 and J-1 students are considered to be non-residents for their first 5 calendar years in the U.S. and J-1 postdoctoral scholars are considered to be non-residents for their first 2 calendar years in the U.S.

Example: An F-1 student who arrived in the U.S. for the first time in September of 2003 is a non-resident through 2007. In 2008, the same student will become a resident for tax purposes if s/he remains in the U.S. for a minimum of 183 days during that year.

Tax Documents from Stanford Reporting Wages and Fellowship

If you received wages from Stanford for an RA/TA, hourly job, salaried position, etc:

W2 form (go HERE if you did not receive this form)

1042-S form if you claimed a tax treaty with Stanford Payroll

If W2 box 1 = W2 box 16 then you do not have a 1042-S for wages

If you received non-qualified scholarship/fellowship from Stanford:

1042-S form (contact judyb@stanford.edu if you did not receive this form)

Forms to Complete

Federal Tax Forms (download at http://www.irs.gov)

1040NR EZ or 1040NR

8843

California Tax Forms (download at http://www.ftb.ca.gov)

540 2EZ or 540

Most non-residents are considered to be residents of California

Determining Eligibility for Tax Treaty Exemption

Review Pub. 901 to view tax treaties (http://www.irs.gov/pub/irs-pdf/p901.pdf)

Check pages 36 – 46 of Pub 901 for a summary table

Income Code 15 = Scholarship/Fellowship
Income Code 18 = Wages for Teaching/Research (for Postdocs)
Income Code 19 = Wages during Studies (for Students)

Note the treaty article(s) and any dollar limits that may apply
Important: You may claim the treaty exemption on your tax return even if it is not reflected in your W-2 or 1042-S from Stanford

How Your Tax Documents from Stanford Correspond to 1040NR EZ

Line 6: Total dollar amount of wages and scholarship/fellowship for which you are claiming treaty exemption
Line 3: Remaining dollar amount of wages not exempt by treaty

Line 6 Wages + Line 3 Wages = State Wages from W2 box 16

Line 5: Dollar amount of scholarship/fellowship from 1042-S not exempt by treaty from 1042-S (Income Code 15)

Line 9: Not applicable as Stanford does not report qualified scholarship/fellowship on the 1042-S form

Line 18: Total of federal income tax withheld from W2 box 2 and 1042-S box 7

Focus of session will be on form 1040NR EZ and form 8843.
For proposed Dates and Location for Tax workshops, please check the I-Center website.

CINTAX is a tax return preparation software program designed exclusively for foreign students, scholars, teachers, researchers, trainees, and their dependents who are nonresident aliens to aid in preparing U.S. federal income tax forms. Click here for more information on CINTAX.

•WARNING: If you cannot make use of the CINTAX software, you will have to prepare your taxes on your own or perhaps find your own private tax preparer. I-Center staff cannot answer tax questions or provide a listing of private tax preparers, but recommends checking through the "yellow pages" in the phone book under "tax consultants & representatives" for additional help.