From mimsy!cs.umd.edu!news.umbc.edu!europa.eng.gtefsd.com!howland.reston.ans.net!usc!news.service.uci.edu!balboa.eng.uci.edu!jwoo Wed Feb 16 16:44:03 EST 1994 I believe the following info would be useful. -- Jeric Y. Woo phone: (714) 856-6490 University Advancement, UC Irvine email: jywoo@uci.edu -----Cut Here-----------8<----------------8<------------------ TO: NAFSAnet Users FROM: Matt Schulze, Amy Yenkin, NAFSA Central Office RE: Tax Filing Procedures (NAFSA Update No. 248) DATE: February 15, 1994 Tax Filing Requirements for F, J & M Visaholders Foreign students and scholars, and their dependents, will be required to file tax returns for the 1993 tax year following procedures nearly identical to last year's procedures. Beginning last year, all F, J, and M visaholders were required to file a 1040NR even if no U.S. source income was earned. In addition, the IRS required that an additional statement be filed by all nonresident aliens. These requirements continue to hold for F, J, and M visaholders for this tax year. New this year, however, is a form for the statement, Form 8843. Last year it was unclear whether dependents were also required to file a 1040NR if they had no income. IRS Publication 519 (U.S. Tax Guide for Aliens) contains no clear guidance, although an attorney with the IRS's general counsel's office who handles international taxation contends that the IRS requirement applies to dependents. Of course, individuals who received wages are required to file tax returns, and attach Form 8843. A return must also be filed in cases where income is exempt under a tax treaty provision. The requirement that F, J, and M visaholders file Form 1040NR even if they have no income was first published in 1992 in IRS Publication 519 and in the instructions accompanying Form 1040NR. On page 34 of this year's Publication 519, the IRS states: "You must file an income tax return on Form 1040NR if you are a nonresident alien individual engaged or considered to be engaged in a trade or business in the United States, even if you have no income...Note: If you were a nonresident alien student or trainee who was temporarily present in the United States under an 'F,''J,' or 'M' visa, you are considered engaged in a trade or business in the United States." The interpretation expands the definition of a nonresident for tax purposes to include all F, J, and M students and trainees. It is important to remember that the IRS's use of the term "trainee" is applicable to nonresident professors and researchers on J-1 visas as well. The requirement that nonresident aliens file an additional statement (Form 8843) was included in a regulation published in April 1992. The statement serves as an explanation of the visaholder's claim to nonresident status for tax purposes. To obtain single or bulk copies of Form 1040NR and Form 8843, individuals can: (1) contact the IRS document office at 1.800.829.3676; (2) call 1.800.829.1040 and ask for the taxpayer education coordinator; or (3) visit a local IRS office. If Form 8843 is not available, F, J, and M visaholders may include, on a separate piece of paper and attached to Form 1040NR, the following information: 1. The individual's name, address, U.S. taxpayer identification number, if any, and the U.S. visa number, if any; 2. Passport number and the country that issued the passport; 3. The taxable year for which the statement is to apply; 4. The total number of days of presence in the United States during the current year, during the preceding calendar year, and during the second preceding calendar year; 5. The name, address, and telephone number of the director of the academic program or other specialized program that the individual participated in during 1993; and 6. The type of U.S. visa held by the individual during the preceding six years. The above must be verified by a declaration that the statement is made under penalty of perjury and signed. Failure to file Form 8843 could result in the filer being considered a U.S. resident for tax purposes, making the individual's worldwide income subject to U.S. taxation. For individuals who earned income in 1993, the filing deadline is April 15. For individuals who did not receive wages, the filing deadline is June 15. Income tax returns should be mailed to the Internal Revenue Service, Philadelphia, PA 19255. For F, J, and M visaholders who do not have social security numbers, the IRS has advised these individuals to submit the return without a social security number. The IRS will then assign a number to these individuals. The number will begin with the digit "9." The IRS requires that the identification number be used when filing future tax returns until a social security number is obtained.