Hi,

I'm from India currently working as a Web Developer for a company in Houston on OPT. For 2008, I have both 1099-MISC and W2 because I was on contract till May 2008. 1099-MISC is for $9115.13 and W2 is $18980. Federal income tax withheld is $2398. I heard since I'm on OPT, my taxes would be less. Could you tell me how I need to file tax and what all deductions (treaty) I can use? Thank you.

Ram

You will report both the income. 1099-misc income is reported on schedule C or C-EZ (Form 1040), where you can also deducted your related expenses. Your income is not subject to SE tax. Read: Your U.S. Tax Return: U.S. Tax Filing Requirements for Non-Residents

Do I have to pay tax for 1099-MISC income? Also, what deductions can I use?

Yes, you must pay INCOME taxes on the Form 1099-MISC income, but you will NOT have to pay self-employment taxes.

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Originally Posted by ramnachiappan

Do I have to pay tax for 1099-MISC income? Also, what deductions can I use?

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No one can answer this unless you tell why you got 1099-misc.

I have mentioned it in my question. I was a contract employee (web developer) for 5 months so I got a 1099-MISC ($9115.13). I also have a W2 for $18980. Federal income withheld from W2 is $2398. I'm from India, currently working on OPT. Let me know what all deductions I can use and how much tax do I need to pay. Thanks.

Your professional help, you should contact AtlantaTaxExpert at [email protected]