View Full Version : TAXES applicable on CPT status
junctionjam
Jan 9, 2009, 08:41 PM
Hello,
Im an Indian.Came to US in May,2008.
I came to California and I'm still in California.
Im on F-1.
Im on CPT.
Working in Sacramento/California.
My Payroll is run bi-weekly by my employer.
My Gross-pay is 2500$ bi-weekly.
What are the taxes deducted on this amount and what is the amount after tax.
Is Federal Tax deducted? And how much State Tax will be deducted?
Are there any other taxes deducted?
Please suggest!
Thanks a lot..
MukatA
Jan 9, 2009, 11:24 PM
What exactly do you want to know? You already know what taxes have been deducted from your pay check; it is your paycheck.
junctionjam
Jan 10, 2009, 04:04 AM
I want to know how much tax should be deducted? On 2500 bi-weekely.
I want to cross check my payroll.
And will the federal tax be deducted when on CPT?
If so how can I get back the amount paid for federal tax..
Sugest the process.
MukatA
Jan 10, 2009, 09:46 PM
Your CPT income is subject to income taxes -- both state and federal. You do not pay FICA taxes.
About deductions, what did you put on your W4 that you gave to employer. Employer deducts taxes based on what you asked them to deduct. If employer is deducting more, you will get a refund. If employer is deducting less, you must pay it with interest and penalty.
junctionjam
Jan 29, 2009, 05:10 PM
Hi
In my W2 form I filled as Independent ,single and no dependents.
Im working in CA,on CPT. From Dec,2008.
As per my paycheck I see that on 2500$ bi-weekly salary Federal Tax (458.65$)+CA State Tax(130.67$) + DBL(27.50$)
Total Deduction of 616.82$ is deducted from my pay.
I get 1883.16$
Im on CPT and Im paying my university tution fee of 7000$ per sem. 1)Based on my CPT status and university fee payments will I get any REFUND on the TAX that is been deducted from my payroll? At the time of filling the taxes. 2) What modifications should I make in my W2 form so that this much TAX is not deducted from Payroll. 3) Can I choose to pay the tax at the end of the year rather than deducting in every payroll.
Please suggest!!
junctionjam
Jan 29, 2009, 05:12 PM
Hi
Im working in CA,on CPT. From Dec,2008.
In my W2 form I filled as Independent ,single and no dependents.
As per my paycheck I see that on 2500$ bi-weekly salary Federal Tax (458.65$)+CA State Tax(130.67$) + DBL(27.50$)
Total Deduction of 616.82$ is deducted from my pay.
I get 1883.16$
Im on CPT and Im paying my university tution fee of 7000$ per sem.
1)Based on my CPT status and university fee payments will I get any REFUND on the TAX that is been deducted from my payroll? At the time of filling the taxes.
2) What modifications should I make in my W2 form so that this much TAX is not deducted from Payroll.
3) Can I choose to pay the tax at the end of the year rather than deducting in every payroll.
Please suggest!!
AtlantaTaxExpert
Jan 30, 2009, 10:33 AM
1) More than likely, you will get a partal refund from the IRS and California, because BOTH require foreign nationals to OVER-withhold to cover any tax liability before they return to their home countries.
2) Due to that over-withholding requirement, you CANNOT adjust your W-4 to lower the withholding.
3) No.
junctionjam
Jan 30, 2009, 01:03 PM
Thanks a lot for the quick Response!
Almost 25% of my income is going into Tax deductions.
1)As per rule what is the % of Tax to be deducted when in CPT?
2)Are there any other options available where the TAX deductions can be reduced?
3)someone told me that I can show that I'm still a student and paying university fee + Books and reduce the Tax deductions? Is this correct? If so how to do it?
Please suggest!
Thanks
AtlantaTaxExpert
Jan 30, 2009, 03:26 PM
1) 25% sounds right.
2) Nope!
3) There is NOTHING you can do, at least not legally!
shwetha100
Jan 31, 2011, 12:44 PM
Hi junctionjam
How much did u get back in taxes when you filed your returns in 2010?? Please let me know since I earned the same amount and the same amount was deducted, I want to make sure I get the right amount in this years tax returns.