[clp33]

Hi, I was on a J-1 visa as a Researcher in the US in 2008. My employment ran from 15th Jan 2008 to 30th Dec 2008, and I entered and left the US a couple of weeks either side (entered 2nd Jan 2008 and left 6th Jan 2009).

The university where I worked in Massachusetts withheld social security, medicare and federal and state income tax and I've just discovered I can claim all of these back under the US-UK tax treaty. How exactly do I do this? I understand that the federal tax will be refunded via filing with the IRS, and state tax will be refunded via filing with the state (MA). But I saw somewhere else that I need to try and claim the social security and medicare back from the university? Is there a particular procedure for doing this?

And, in my situation, what forms do I need to file to complete my tax filing for 2008?
For IRS: Form 8843, 1040NR. What about Form 8833? Any others?
For state (MA): Form 1? Any others?

And one more question: on my W-2, I have two entries in the box 12 section. With code C, 3.60, and with code P, 2339.84. When I fill in my 1040NR, do I have to enter these amounts anywhere? If I am claiming my salary is exempt under the treaty, then line 8 on the 1040NR will be 0 - or do I need to write in either or both of these W-2 box 12 amounts? Or are they included in line 22 of the 1040NR? Or do I just ignore them?

Many thanks in advance!

[MukatA]

You will file Form 1040NR and Form 8843. Do not do any thing about box 12 entries.
P - for qualified moving expenses reimbursed.
C- Taxable cost of group term life insurance. It is included in Box 1 of W2.

On Form 1040NR, line 8 put 0. Line 22 put amount in box 1 of W2.
Read: Your U.S. Tax Return: U.S. Tax Filing Requirements for Non-Residents

[clp33]

Thanks for your help.

Am I right in thinking I could just file a 1040NR-EZ?

Also, one of the questions on the 1040NR asks for current nonimmigrant status and date of change - how do I answer this as I'm no longer in the country?

[AtlantaTaxExpert]

In addition to the Form 1040NR-EZ and 8843, you should also file Form 8833 to explain the treaty position under which you are claiming exemption from the federal income tax.

A copy of that Form 8833 should also be attached to the Massachusetts state return.

As for the FICA tax refund, you need to file Forms 843 and 8316.

If you need professional help, contact me at [email protected].

[mrsguinness]

I am a UK Citizen working in the US for about 6 months each year on J visa. I am paid by UK University and receive no US wages. Since I have been coming to the US for many years I believe I am a Resident Alien. My question is do I need to report my UK wages for the period I am in the US and exclude them under treaty?

[AtlantaTaxExpert]

How many years have you been doing this?

And in each year, did you visit ever exceed 183 days?

[mrsguinness]

About 8 years. Exceeded 183 days for the last 5 years.

[AtlantaTaxExpert]

You need to file Form 1040 with Form 2106 for each year in question. Even though the income is from the U.K. the IRS considers your pay U.S.-sourced if you exceeded 183 days in country.

However, the GOOD NEWS is that each J-1 tour is considered to be a temporary work assignment, which means you can claim your travel costs that are paid out of pocket, plus your daily living expenses (hotel/rent, food, utilities, local transportation costs, and incidental costs). That is what the Form 2106 is used for.

You will also claim the Foreign Tax Credit for the taxes paid to the U.K.

The net result should be that you owe ZERO taxes on the U.S. tax return.

Contact me at [email protected] if you need professional help filing these returns.