Cal State University, Bakersfield | International Students & Programs

PAYING TAXES:

All J-1 students/scolars must file federal tax forms every year they are in the US even if they do not earn any money in the US. The deadlines to file the forms are April 15, if you have earned money in the US (including scholarships and assistantships), and June 15, if you have not earned money in the US.

Income Tax
It is the responsibility of each individual employed in the U.S. to comply with income tax regulations. Salaries and wages in payment for work performed by non-citizens and some scholarships and grants awarded to J-1 students come under the tax laws of the U.S. Between January 1 and April 15 of each year, everyone who has earned income and J-1 students who have been the recipients during the previous calendar year of a scholarship or grant from a United States source of funds are required to prepare an income tax report and file it with the Internal Revenue Service (IRS).

Forms are usually available at most banks or at the post office. Detailed instructions accompany these forms. An income tax return is required whether or not income tax has been withheld. If too much tax has been withheld, a refund will be granted. Because of the complexity of income tax laws, it is advisable to have questions answered by the IRS or by a reliable tax consultant.

Earnings from J-1 employment, including income from assistantships, are usually subject to federal, state, and local income taxes. All J-1 and J-2 non-immigrants must file an income tax statement (IRS Form 8843) regardless of age or income earned in the U.S. For J-1 status individuals and their dependents with no income from U.S. sources, Form 8843 is due on or before June 15 for the prior calendar year. J-2 dependents who are employed in the U.S. are subject to federal income taxes and must file the appropriate federal income tax return and pay the appropriate taxes.

Social Security Tax
J-2 dependents are subject to “Social Security” taxes. J-1 students are subject to FICA tax withholding if they are residents for tax purposes. Generally, J-1 students become residents for tax purposes after they have been in the U.S. for 5 calendar years.

Resources on the Web:
IRS (www.irs.ustreas.gov)
California Franchise Tax Board (www.ftb.ca.gov)
California State Board of Equalization (www.boe.ca.gov)
Social Security Administration (www.ssa.gov)