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-   -   Taxes on OPT (https://www.askmehelpdesk.com/showthread.php?t=50266)

  • Dec 24, 2006, 06:42 PM
    sbrz5
    Taxes on OPT
    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.
  • Dec 25, 2006, 08:48 AM
    AtlantaTaxExpert
    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.

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