[tehanu]

Hello,

I am trying to sort out my tax situation. I began my OPT last year, and received a 1042-S from my school in New York (where it shows I earned $1300) and a 1099 from a small company based in Iowa (it shows I earned $1410). No tax was withheld. I did not receive any other income because I spent much of my OPT period in an unpaid internship, and only got hired in 2007. I have lived in NYC for the last two and a half years, as a student.

2006 was my fifth year in the States on an F-1 visa. I am from the Philippines.

As I understand it, I am considered a nonresident in both states, and for the federal IT.
I need to file 8843, 1040NR, and Schedule C. Because my NY income is less than $7500, I do not need to file for NY taxes, but since I earned more than $1000 from Iowa sources, I need to file for Iowa (IA 1040 and IA 126). Am I missing anything?

Also, how do I make computations for Iowa? The instructions are almost labyrinthe, and in particular, I do not understand the instructions regarding Iowa Minimum Tax and filing the IA 126:
5. BUSINESS INCOME OR (LOSS).
Nonresidents: Report the portion of business income or loss attributable
To a business conducted in Iowa. Attach a supporting schedule showing
Iowa gross receipts divided by total gross receipts; multiply this ratio
Times the total net income from Federal Schedule C or C-EZ. A sale
Is considered an Iowa sale if goods are delivered or shipped to a point
Within the state regardless of F.O.B. point.

What "supporting schedule" is it referring to?

Thanks, and sorry if I took up much of your time.

ML

[AtlantaTaxExpert]

If you worked and lived in NYC, they should NOT have withheld any taxes for Iowa. You have NO legal requirement to file an Iowa tax return. If they withheld taxes, file as a non-resident to get the refund.