Tax Information

California State University, Fullerton's International Education & Exchange (IEE) Office and the Department of Financial Services do not assist in tax return preparation, act as a tax advisor/consultant, provide personal tax or legal advice, and cannot answer tax questions for individuals or entities. This information is provided as general guidelines. Please consult a tax professional, the IRS, or a financial planner who is proficient with international tax matters. (Note that a fee may be charged by anyone hired to prepare and file your tax return forms.)

A. Year-end Tax Statements:
At the end of each U.S. tax year (January 1st to December 31st), employers/organizations provide summary statements of how much money each employee earned or was given to them (i.e. scholarship, grant, fellowship), and how much taxes were withheld during the tax year. Below are some of the common tax statements received by international students and scholars.

• IRS Form W-2
  If you worked in the U.S. during 2008, you will receive a W-2 Form from each of your employer(s). This form states your income earned and tax withholdings, if any, for that specific employer for the previous calendar year. The wage and tax payment information is used to complete your tax return. If you did not work during 2008 you will not receive, and do not need, any W-2 Forms.
• IRS Form 1042-S
  If you received or earned taxable scholarship/ fellowship funds, employment compensation exempt by tax treaty, and non-employee payments (e.g., independent contractor) during 2008, you may receive a Form 1042-S from CSU Fullerton. Some individuals may receive both a Form 1042-S and Form W-2. If you did not have any of the following income, you will not receive, and do not need, a Form 1042-S.
  
• IRS Form 1098-T (Tuition Statement)
  The Form 1098-T is provided to Nonresident Alien (NRA) students for information purposes only and is not used for tax return filings. Only Resident Aliens for tax purposes, U.S. permanent residents, and U.S. citizens are eligible to use this form to claim education related tax credits.
  
• IRS Form 1099 (Dividend/Interest Income)
  You should receive a Form 1099-INT or similar tax form from your bank or investment company for each account if you earned any dividend or interest income in 2008. If you did not have any dividend or interest income, you will not receive, and do not need, a Form 1099 from your bank.

B. U.S. Internal Revenue Service (IRS) Federal Tax Return Forms: http://www.irs.gov

• U.S. Citizen/Permanent Resident/Resident Alien for tax purposes:
  
  • Form 1040 (Visit the IRS website link above for 1040 Forms and Instructions)
• Nonresident Alien for tax purposes:
  • Form 1040 NR (Instructions 1040NR)
  • Form 1040NR-EZ (Instructions 1040NR-EZ)
• Form 8840
• Form 8843

For additional information about other Federal Tax Forms, please visit the IRS website (http://www.irs.gov/forms).

C. California Tax Forms: http://www.ftb.ca.gov

• Form 540 (Instructions included with form)
• Form 540 2EZ (Instructions included with form)
• Form 540 NR-short (Instructions for short form )
• Form 540 NR-long (Instructions for long form )

D. IRS Publications: http://www.irs.gov

• IRS Publication 519, U.S. Tax Guide for Aliens
• IRS Publication 515, Withholding of Tax on Nonresident Aliens & Foreign Entities
• IRS Publication 597, Information on U.S.-Canada Income Tax Treaty
• IRS Publication 901, U.S. Tax Treaties
• IRS Publication 970, Tax Benefits for Education (Note: Does not apply to NRAs)

FREQUENTLY ASKED QUESTIONS

1. What is a "tax return"?

The phrase "Tax Return" does not mean that you are filing documents to get your tax withholding money returned, although that could happen. Filing a tax return is the act of "returning" a report form to the U.S. Government (IRS) that notes the amount of U.S. source income you received during the previous 2008 calendar year (from 1/1/08 to 12/31/2008), what taxes were withheld on this income, and what amount you should had tax withholding deductions on.

• When completing and filing the tax return(s) you may find out that you paid too much tax on your 2008 income. In general, for tax purposes this is called a "tax refund"and may be refunded to you by either the IRS or FTB.
• When completing and filing the tax return(s) you may find out that you did not pay enough taxes on your 2008 income. In general, for tax purposes this is called a "tax liability"
• and you will owe money to the IRS and/or FTB. You will interest on any tax not paid by April 15, 2009.
  

2. How do I determine my status for tax purposes?

Per U.S. tax laws, if you are not a U.S. citizen, you are considered a Nonresident Alien (NRA) for tax purposes unless you meet one of two tests, either the green card test or the substantial presence test (SPT) for the calendar year (January 1st to December 31st). You are a Resident Alien (RA) for tax purposes for the calendar year 2008 if you meet both of those tests. You may also be a Resident Alien (RA) for tax purposes in the U.S. for more than five years as a student.

Individuals can be a both a Nonresident Alien (NRA) and a Resident Alien (RA) for tax purposes during the same tax year, called a Dual Status Alien for tax purposes. This usually occurs in the year you arrive or depart from the United States. Further clarification on determining one's tax status can be found in IRS Publication 519, U.S. Tax Guide for Aliens.

3.For tax purposes I am a Nonresident Alien (NRA). Who, what, where, and when do I need to file my 2008 U.S. Federal Tax Return?

4.For tax purposes I am a Nonresident Alien (NRA). Who, what, where, and when do I need to file my 2008 State of California (CA) Tax Return?

All international students and scholars will need to complete a State of California income tax return if they had:

• Income (including scholarship income) of $14,845 gross income or more as a single taxpayer.
• Income less than $14,845 of gross income and had California state taxes withheld.

For further assistance and additional information about proper state tax return forms, please visit the California Franchise Tax Board (FTB) website at http://www.ftb.ca.gov/forms/2008/index.shtml. The deadline for filing the 2008 State of California tax return forms is Wednesday April 15th, 2009.

5. What if I am a Nonresident Alien (NRA) and did not earn or get any U.S. source income in 2008?

International students and scholars under F, J, M and Q Visa types who do not earn any income in the United States in the 2008 calendar year still must complete a 2008 IRS Form 8843. Please see the above table for tax return due dates.

6. Where can I get additional Self-Help Assistance?

In addition, visit the self-help tax web site of the University of Texas at Austin International Office: http://www.utexas.edu/international/taxes/. This outstanding website contains step-by-step instructions and examples of the required tax return forms.

7. Where can I get more assistance related to specific tax questions I have about my situation?

• IRS Telephone Advice : 1-800-829-1040 or 1-800-829-3676
• State of California  (FTB) Income Tax Telephone Advice: 1-800-338-0505

For questions related to U.S. Federal international tax matters, call the IRS International Office at (215) 516-2000.
For questions related to State of California tax matters, call the CA Franchise Tax Board at 1-800-852-5711.

TAX TIPS, CHECKLISTS, DOCUMENTS, AND SAMPLE FORMS

Preparing and Filing your 2008 Tax Returns -
U.S. tax return filing season for the 2008 calendar year begins in January 2009. By January 31st, most individuals will receive most of their end-of-the-year tax summary documents needed (described above) to prepare their 2008 tax return.

Some helpful tax tips in filing your 2008 tax return(s):
1. Do not begin preparing the Federal tax return forms until you have received all year-end tax statements (Forms W-2, 1042-S, 1099, interest & dividend statements from U.S. banks). Normally, all necessary tax documents should be received by you by no later than March 15th, 2009.
2. Make sure you are completing the correct Federal and State tax return forms.
3. Complete your U.S. Federal tax return before your State of California tax return. You will need information from your Federal tax return to prepare your State of California tax return.
4. Always include all income required on your tax returns, unless it is excluded by U.S. tax laws.
5. Make sure to keep a copy of all tax return forms and related documents prior to mailing. Keep them for 7 years.
6. Always seek the assistance of an experienced tax professional, the IRS, or FTB if you have any questions in completing your tax return forms, never make assumptions or guesses.

Additional Checklists, Documents, and Sample Forms:

• 2008 Tax Return Filings - Nonresident Aliens (NRA) -
• 2008 Tax Return Filings - Resident Aliens (RA) -
• FICA/MEDICARE Refunds for Nonresident Aliens (NRAs) [F-1 and J-1 Visa holders] -
• Sample 2008 Form 8843 for CSUF International Education & Exchange F-1/J-1 Students -

DISCLAIMER:
While Cal State Fullerton's Financial Services has made every effort to use the most current and accurate data, tax laws change frequently, and it is possible that some of the information may no longer be accurate. The University disclaims all liability form the mistreatment of information and materials contained in the tax web page. Information regarding employment and tax filing substantial authority are the responsibility of each individuals. Please keep in mind that no one in their official role at the University, can act as a tax consultant, give personal, legal, or tax advice, or represent an individual dealing with the Internal Revenue Service (IRS). Thus, any assistance the following information may provide is given as a courtesy to you, and as such, should not be construed in any way as the rendering of legal or tax advice per IRS Circular 230. Materials adapted with permission from Towson University and University of Texas at Austin.