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 Urgent Tax
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Posted on 09-06-10 8:50 AM     [Snapshot: 66]     Reply [Subscribe]
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I am guessing that you have done your own home work first before you delighted to post in Sajha.

1) Did you figure out , if you are illegible to file 1040?
2) Did you do paper work using paper and pencil or used a Software?

If you have used software  for your tax filing it will take care of it automatically. If you have not paid enough medicare and social security it may ask you to pay back or pop up some alerts, did you notice any things like this and did you overlook any of them? Once we get answer of it then we will guide you from there.

If no pop ups,  you are good to go and keep it in mind if your are going back home for good in that case you can ask US government to give you any money they have withheld for MED and SS tax withheld.

But so far I do not remember filing social security and medicare will give you TAX-REFUND in Federal tax but there might be some incentives or will lower your tax liability in state tax filing. I noticed that in MA and CO when I did out state tax filing ( helped friend, not done as holding tax office).

Hope you will follow up and you have more info. We are here to give you our advise as we think appropriate and some of us may like to add humor and learn to take it easy and Please do not delete unless it is extremely harsh and inappropriate.



Last edited: 06-Sep-10 08:51 AM

 
Posted on 09-06-10 9:52 AM     [Snapshot: 98]     Reply [Subscribe]
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@Syanjali, Thank you for the suggestion. If any humor that makes the false judgment, it has to be obliterated.
An accountant filed tax for me, so I don’t know the pop ups. I think form 843 and form 8316 has to be filed.

Form 843 - Claim for Refund (used by international students to claim a refund for Social Security and Medicare taxes held in error by their employers. Nonresident students are NOT subject to Social Security and Medicare taxes)

Form 8316 - Information Regarding Request for Refund of Social Security Tax Erroneously Withheld on Wages Received by a Nonresident Alien on an F, J, or M Type Visa. Must be attached to Form 843 to apply for a refund from Social Security and Medicare taxes withheld in error.

I don’t know which form to file and where online to file or if someone can file for the fees.

Thanks again!


 
Posted on 09-06-10 10:28 AM     [Snapshot: 115]     Reply [Subscribe]
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Short Answer: You are a resident alien for tax purposes so you have to pay social security and medicare taxes and hence can't get a refund.

Normally if you are a student, you don't have to pay social security and medicare taxes when you are performing certain services like on-campus work, practical training (OPT/CPT), economic hardship employment. However, if you are considered "resident alien" you will have to pay those taxes even if you are a student.
(http://www.irs.gov/pub/irs-pdf/p519.pdf, Page 54)

Students on F-1 visa (which includes OPT) are exempt individuals for the substantial presence test hence they are non-resident aliens and don't have to pay  social security and medicare taxes when they are performing certain services including OPT. However, if you have lived in the US for more than 5 years, you become a resident alien for tax purposes.
http://www.irs.gov/businesses/small/international/article/0,,id=96344,00.html

Useful link: http://www.irs.gov/businesse

On a side not, talk to your accountant and make sure he filed 1040 for you. Some accountants think that everyone on F-1 visa has to file 1040NR. This is untrue. After your 5th year you have to file 1040.

Disclaimer: I am NOT a tax attorney or a tax professional.  Any information provided should not be taken as  personal tax advice either express or implied given by a professional. You are encouraged to seek professional tax advice for personal income tax questions and assistance.
Last edited: 06-Sep-10 11:29 AM

 
Posted on 09-06-10 1:01 PM     [Snapshot: 149]     Reply [Subscribe]
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"If any humor that makes the false judgment, it has to be obliterate" I wish every body thinks that way but not. 
 


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