I am a non resident alien student from India. Currently I am doing OPT in the state of Illinois.

My 1099-INT form states that I got $100 interest income from bank accounts in IL.

My questions are as follows.

1. Do I have to report this interest income in my federal tax returns form (1040NR-EZ)?

2. Do I have to report this income in IL state tax returns (IL 1040 NR with attachments IL 1040, and US 1040NR-EZ)?

I included info about the forms I am planning to prepare just to verify that they are the right forms.

Thanks in advance

George M

1) No. Bank interest is tax exempt for F-1 visa holders.

2) Yes. The state of Illinois sees you as a resident regardless of your visa status, and bank interest IS taxable as a state resident.