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-   -   H1N versus OPT (https://www.askmehelpdesk.com/showthread.php?t=783121)

  • Jan 31, 2014, 05:42 PM
    annecharlotte19
    H1N versus OPT
    I will be graduating with a masters in the spring of 2014. I have full time employment starting after Labour Day 2014. I am trying to decide whether to use up OPT at the beginning or whether get my prospective employer to petition for an H1N visa this April 2014.

    What things should I consider? For example... I am wondering about the following and other matters I may not have thought of...

    What income taxes will be saved if I opt for OPT = I am a Canadian resident.

    If I want to work for my university AND for my prospective employer long term, can I do so with an H1N visa? I think I can with OPT, as long as my OPT is not used up?

    I will graduate in May 2014. Can I go home to Canada post graduation? Does it depend on whether I will be working under OPT or H1N? I have read I cannot return home while H1N is pending? When is an H1N not pending - i.e. is that on Oct 1 or after the H1N has been approved?

    Thanks so much for any input.!
    Very confusing stuff. I have used some OPT but not all and I am graduating in a STEM area.
  • Jan 31, 2014, 06:26 PM
    AtlantaTaxExpert
    ANY work visa (H-1, H-1B, H-1N, L-1) requires you to work for ONE and only ONE employer.

    I cannot answer whether you can return to Canada while waiting for the H-1N; that's a question for an immigration attorney.

    If you stay on OPT, you are EXEMPT from FICA (Social Security and Medicare) taxes for as long as your F-1 status is under five years.
  • Feb 1, 2014, 06:47 PM
    annecharlotte19
    Fica and opt
    How long can I be exempt from FICA? I am graduating with my masters in Spring 2014. I started my bachelors in Fall 2009, graduated in Spring 2009. I believe I can be on OPT for 29 months, effective Spring 2009? I am in STEM.
    I have already used OPT for my Bachelors. I read something about an exemption from FICA for OPT AS LONG AS THE TIME IS 5 YEARS OR LESS. What counts in terms of the 5 years? Do I count from FALL 2019 or from SPRING 2014 or some other date?
    Thanks,
  • Feb 1, 2014, 07:06 PM
    Cat1864
    Your questions have been merged into one thread. Please stop asking the same question over and over again.
  • Feb 2, 2014, 07:52 AM
    AtlantaTaxExpert
    Your exemption from FICA (Social Security and Medicare) taxes ended on 31 December 2013, because 2009 counts as a full year.

    Make sure your employer is aware of this fact when you start OPT.
  • Feb 3, 2014, 08:03 AM
    annecharlotte19
    TAXES under OPT (post FICA exemption) versus under H1N visa
    Hello
    Can anyone comment on the tax rate on taxes under OPT (after the 5 year limit for FICA is used up) ant taxes under H1B. Are they higher once a green card is optained. I am currently a Canadian resident.
    Should I defer an H1N visa on this basis?
  • Feb 3, 2014, 09:36 AM
    AtlantaTaxExpert
    It is the same either way.

    The non-discrimination clause that is standard for all tax treaties dictates that non-resident aliens be taxed at the same rate as U.S. citizens.

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