Log in

View Full Version : Taxes on OPT


sbrz5
Dec 24, 2006, 06:42 PM
Hi,
I am new to this forum. I found the answers given by the expert are very helpful. I have a few questions regarding these taxes. Please help me.
I am on OPT right now and I just got a job. I have heard that there will be tax exemptions for the employees who are on OPT. What tax exemptions I have to expect. How much percentage of my salary will be deducted in taxes and how much I will be benefitted compared to other employees who are working H-1 or any other visas other than OPT.
I will wait for your reply.

Thanks.

AtlantaTaxExpert
Dec 25, 2006, 08:48 AM
If you are on OPT, you should be under a F-1 visa. If so, you should be exempt from Social Security and Medicare taxes, which accounts for 7.65% of your salary for the forst $97,000, and 1.45% for every dollar over $97,000 for 2007.

You are liable for federal income taxes, which starts at 10% and gradually tops out at 35%.

You may have to pay state income taxes. Of the 50 states in the U.S. 43 have state income taxes.