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Old 05-23-2014, 05:54 PM
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8843 and F-1 tn visa

I have a friend who was in the U.S. on a f-1 student visa since 2010. The visa changed to a TN visa December 2012. She graduated in 2011 and was just working in 2012. Her income was about 55,000 in 2012. Does she qualify to not pay SS and Medicare with a 8843 form? Is she considered a resident alien because of her days present (353)? They did not take any FICA out of her checks because of her F-1 status. She already filed her return and is now amending the 1040nr to a 1040. Does she have to pay the FICA for all of 2012 or just for December? How would she pay the FICA for that since it is after the fact? Please advise. Thanks and have a great day.



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Old 05-23-2014, 08:08 PM
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Originally Posted by rosa View Post
I have a friend who was in the U.S. on a f-1 student visa since 2010. The visa changed to a TN visa December 2012. She graduated in 2011 and was just working in 2012. Her income was about 55,000 in 2012. Does she qualify to not pay SS and Medicare with a 8843 form? Is she considered a resident alien because of her days present (353)? They did not take any FICA out of her checks because of her F-1 status. She already filed her return and is now amending the 1040nr to a 1040. Does she have to pay the FICA for all of 2012 or just for December? How would she pay the FICA for that since it is after the fact? Please advise. Thanks and have a great day.
Does she qualify to not pay SS and Medicare with a 8843 form? ======>>>>>>>>I do not think so. If you are an F-1, or J-1 visa holder who is a resident alien for tax purposes, your wages are subject to social security ,FICA and unemployment ,FUTA taxes on the same terms which apply to U.S. citizens.She became liable for FICA taxes the day her TN visa became effective. TN status workers are responsible for US Medicare, State, Federal and Social Security taxes work in the US.


Is she considered a resident alien because of her days present (353)? =======>>>>>>>>>>>Yes as a US resident under the IRS rule, for tax purposes, NOT under the INS rule. resident alien for tax purposes must pay tax to the U.S.
government on income from all sources worldwide and may, in
certain limited circumstances, enjoy benefits of tax treaty
exemptions. Individuals who are resident aliens for tax purposes
can claim exemptions for dependents. TN visa holders are considered residents once
they meet the "substantial presence" test.
A foreign national in non-immigrant visa status may be considered
a resident for tax purposes as soon as she meets the 넷 for a calendar year ,Jan 1 to Dec
31). To meet this test, she must be physically present
in the U.S. on at least:
31 days during the current calendar year and
183 days during the three-year period that includes the current
calendar year and the two years immediately preceding. The individual
should count: all the days she was present in the U.S. in
the current year, 1/3 of the days present in the U.S. the preceding
year, and 1/6 of the days present the year before that.



They did not take any FICA out of her checks because of her F-1 status. She already filed her return and is now amending the 1040nr to a 1040. Does she have to pay the FICA for all of 2012 or just for December? =======>>>>>>>>>>>>>I guess just for Dec of 2012, when she became a US resident for tax purposes.

How would she pay the FICA for that since it is after the fact? Please advise=================>>>>>>>>>The day she converts from the F-1 to the TN visa, that day to become liable for FICA taxes so she needs to pay FICA taxes(by being withheld from her paychecks) after the day, Dec of 2012



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Old 05-24-2014, 02:26 AM
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Dear Wnhough,

Thank you for your response.

I read online that the deciding factor for paying the FICA tax is the resident status for tax purposes. Is this correct? or Is the deciding factor when she changed to a TN.

If she is responsible for paying the FICA taxes for her wages, how would she pay it now since the company never took it out of her paycheck. Is there a form she needs to fill out to report it? Her w-2 only had Federal and state taxes taken out. NO FIca. How do we correct this for her? Is there a form she has to fill out to pay the SS and Medicare on her own? Please advise.

Thanks and have a great day.



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Old 05-24-2014, 03:25 AM
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Originally Posted by rosa View Post
Dear Wnhough,

Thank you for your response.

I read online that the deciding factor for paying the FICA tax is the resident status for tax purposes. Is this correct? or Is the deciding factor when she changed to a TN.

If she is responsible for paying the FICA taxes for her wages, how would she pay it now since the company never took it out of her paycheck. Is there a form she needs to fill out to report it? Her w-2 only had Federal and state taxes taken out. NO FIca. How do we correct this for her? Is there a form she has to fill out to pay the SS and Medicare on her own? Please advise.

Thanks and have a great day.
I read online that the deciding factor for paying the FICA tax is the resident status for tax purposes. Is this correct? ====>>>>>>>>>Correct
or Is the deciding factor when she changed to a TN. => same situation; the fact that when she changed to a TN means , as mentioned previously, she became a US resident for tax purposes, so she is subject to FICA tax ;she is no longer a nonresident alien who is exempt from FICA tax w/h for five years/.

If she is responsible for paying the FICA taxes for her wages, how would she pay it now since the company never took it out of her paycheck. =======>>>>>>I guess she needs to discuss with her ER on this issue. I think that she already filed W4 with her ER.;she is not responsible for the payment of these taxes. It is SOLELY the responsibility of the employer to pay the taxes and collect the employee's share from the employee. For the IRS. Employers should withhold and pay taxes on back wages using the applicable rates and wage bases for the year the wages are paid.


Is there a form she needs to fill out to report it? ====>>>>>>>>>>>> she needs to use Form 8919 to figure and report her share of the fica taxes due on her compensation as she was an employee but were treated as an independent contractor by your employer.
Her w-2 only had Federal and state taxes taken out. NO FIca. How do we correct this for her?====== >>>>>>>>>>>the employer would have no chance in court. Now, the ER MAY fire her if she refuses to pay. She has to decide if herr job is worth paying two/ three years of back taxes. She is on the hook for her half, but I do not understand why she hasn't heard from the IRS long before this on the issue...and why her company hasn't heard from them, either.i guess as said, she needs to contact her ER/IRS.

Is there a form she has to fill out to pay the SS and Medicare on her own?======>>>>>>>>>>>>>>>she You can and should amend her 2012, and 2013 returns, and should use form 8919 so that she doesn't get stuck with their share of the FICA taxes too.she can also ask for an installment agreement.



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Old 05-24-2014, 09:47 AM
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Dear Wnhough,

Thank you so much for your response. The information your provided was very helpful. Thanks again and have a great day.

Rosa



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Old 05-24-2014, 05:29 PM
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Originally Posted by rosa View Post
Dear Wnhough,

Thank you so much for your response. The information your provided was very helpful. Thanks again and have a great day.

Rosa
do not heaVILy relay on what IRS agents advice;not all of theM ARE really relaible/accuarate; some of them are in my opinion.



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