Hi All,

I was a Non resident Alien in the US during the Tax Year 2007. I had exercised and sold some stock options (ADR's) of a reputed company during 2007. Do I need to report the Capital Gain I earned on the Form 1040NR or can I ignore this as I was not a resident alien in the US during 2007?

Please clarify...

Thanks

Capital gains (sort or long) on stock transactions performed while in the U.S. as a non-resident alien ARE subject to U.S. taxes, as they are considered to have been "earned" while within the U.S. borders.

You need to file Schedule D with Form 1040NR for 2007. If you have not done so, you need to amend your return using Form 1040X.