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

    May 18, 2009, 08:58 AM
    FICA taxed while on OPT
    Hi,

    I am on OPT and working as a full time employee. I came to US about 2 and half years ago only and I am from Nepal.

    Do I need to pay FICA taxes while I am on OPT ? My company has not applied for my H1B visa yet.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #2

    May 18, 2009, 01:36 PM
    You are exempt from FICA (Social Security and Medicare) taxes during the time you are under the F-1 visa (including your OPT time) up to five calendar years.

    If your employer is withholding FICA taxes, download IRS Pub 519 from Internal Revenue Service, print off pages 46 - 51, and go to your payroll department with a request that they refund these improperly-withheld taxes, both for 2008 and 2009.

    If they refuse to refund 2008 back taxes, be nice and request a refusal letter so you can apply for the refund using Form 843.

    If you need professional help, email me at [email protected].
    MukatA's Avatar
    MukatA Posts: 7,110, Reputation: 176
    Tax Expert
    		  
    #3

    May 19, 2009, 12:49 AM

    On F1/OPT you are exempt from residency for 5-years. You must file non-resident tax return Form 1040NR or 1040NR-EZ and Form 8843.

    Your income is not subject to FICA taxes but you must pay federal and state income taxes. Read: Your U.S. Tax Return: U.S. Tax Filing Requirements for Non-Residents
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