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    saumiljain's Avatar
    saumiljain Posts: 1, Reputation: 1
    New Member
     
    #1

    May 16, 2008, 01:52 PM
    SSN and Medicare TAX on F1 status on CPT (Internship)
    Hello

    Im currently working on CPT in the US on F1. My employer has deducted SSN and Medicare Tax from my pay check. When I asked them to not deduct SSN and Medicare since I'm on F1 she is asking me for a reference document which says this. Can anybody tell me as to what should I tell her Why IM not eligible for SSN and Medicare Tax deductions on F1 status in the US and which reference document I could ask her to verify this.

    Im from India studying in US university and currently working as a Summer Intern (on F1).

    Please let me know.

    Thanks.
    MukatA's Avatar
    MukatA Posts: 7,110, Reputation: 176
    Tax Expert
     
    #2

    May 16, 2008, 06:26 PM
    Every one on F1/OPT/CPT is exempt from residency for 5-years. During this "exempt" period you don't pay FICA taxes.

    Also the U.S. and India tax treaty does not allow you to file resident tax return. Read: Your U.S. Tax Return: U.S. Tax Treaties for Students and Apprentices

    For your employer, you should refer to IRS publication 519: Tax for Aliens
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
     
    #3

    May 19, 2008, 01:02 PM
    Agreed; IRS Pub 519, page 49, is your best reference for your employer.

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