Hello!

I am an international student on an F-1 visa and as of August 21, 2012, I will have been here for 5 years. I graduated this May and applied for OPT. I started employment on OPT in July this year. Four major questions which are related to each other are:

1. Am I considered a resident alien or non-resident alien since I have been here for 5 years already but it was for education purposes on F-1 visa?

2. When I was hired, I filled out form W-9. Was that the correct form I was supposed to fill out?

3. Should my employer be taking Social Security and Medicare taxes off my paycheck? He is currently doing so and I am not sure it should be that way since I heard that while on OPT we do not pay social security and medicare taxes?

2. Is it beneficial and recommended for me to file as a resident alien or a non-resident alien?

Your answers and suggestions will be greatly appreciated. Thank you for your time!

Student_p

1) Since 2012 is your FIFTH year, you are still a non-resident alien, but this is your LAST year as a non-resident alien.

2) That's okay.

3) You are EXEMPT from FICA (Social Security and Medicare) taxes for the rest of 2012. Download IRS Pub 519 and print off pages 52 - 54. That specifies how and why you are exempt. After you show it to your employer, he should STOP withholding the FICA taxes and refund the FICA taxes already withheld. Note that on 1 January 2013, you DO become liable for FICA taxes because your exempt status expires on 31 December 2012.

4) You have NO choice in the matter; you MUST file as a non-resident alien, filing Forms 1040NR or 1040NR-EZ plus Form 8843 ONE last time.

If you need professional help come January 2013, email me at the email address in my profile (if you cannot see it below).

Thanks a lot for your quick reply. It was really helpful. I just have one question, what can I do about soc sec and medicare taxes that were already deducted this past month from my paychecks? Do he have to fill out some form for the refund? Or do I just tell him it has to be refunded?

Submit a formal request that the money already withheld for FICA taxes be refunded to you. The exact process will vary from company to company.