Have a Tax Question? Ask a Tax Expert
Hello and thank you for using Just Answer,I understand you confusion on the reason for the tax. The US tax laws cover this though and because you are physically in the US and the US entity is paying your salary (even though they are getting the money from another source) they are required to withhold.The withholding is base don the amount of your pay so if the amount changes with each pay period the withholding would also be a little different each time.Even though you are here on a J1 VISA and do not intend to stay, you are taxed on the income you earn while here in the US. Now the US does have tax treaties with countries and sometimes those treaties allow for no tax to be paid by the nonresident alien in the US.You stated "we have no tax in my country" just by using that statement it is doubtful that there is a tax treaty and if there were then possibly no provision for your not being taxed in the US while you are here and earning the wages unfortunately.
I would certainly advise that you seek to speak with a tax professional face to face about your situation.
We do not offer that here at Just Answer but I am sure you would first want to start with your "employer".
If it is a university many already have publications for students that explain all the tax issues in depth and in an easy to understand format.
no my salary is the same but the tax changes over the last 4 payments
The employer has a very specific formula they must use for the withholding because you are a nonresident alien (this is because of your VISA.
I would suggest you ask your employer then to show you haw they are calculating your withholsding.
If the amount is exactly the same each time your formula would not change.
i see , do I have an idea about the responsible department for such a thing
Yes, you would want to speak with Human Resources
They would then be able to send you to the individual that handles their payroll
really , i already contacted them
Is it a university?
what do you think about this
Yes, that is correct but as you see the percentage used would not mean your amount would change if you are paid the same each period.
That info just re-enforces that it is taxable.
All amounts paid to NONRESIDENT ALIENS in the form of scholarships, fellowships, grants, and financial aid, which are not excludible from gross income as a "qualified scholarship" under Internal Revenue Code section 117 must be reported to IRS on Forms 1042 and 1042-S, regardless of the amount paid, unless the grant is from sources outside the United States, in which case the grant is neither reportable nor subject to withholding.
neither reportable nor subject to withholding.
Your grant is not paid to you, you are receiving a payment from the US payer.
If the source form your home country were paying you directly then it would not be taxable to you in the US.
i understand now
I know it seems unfair
those tax for retirement plans right
The FICA you mean?
what is FICA
FICA is the Social Security and Medicare taxes that are withheld. I thought that was what you were meaning when you said those tax for retirement plans right
What did you mean by "those tax for retirement plans right"
too many tax subtitle in my payroll
There should be Federal, that is straight Income tax
State is for the state income
OAS is Social Security
Old age yes
Medicare is health
what about Baltimore city
Oh yes, some cities also tax income not all but some
Maryland is the state tax but Baltimore city
OOOH my God , this is too much money
ok now that means i have to pay the tax , right
is there an agency that do everything for me when i have to get my tax back
You can file anytime from Jan to April of 2014 for the 2013 tax year
Any of the tax offices in your area should be able to complete that for you
or you could use an online tax preparation service
ok , me and my husband are living in different state
do we have to claim the tax back together or separately
we are both receiving funds from our government
You would need to each file your own returns but as you are technically a nonresident you would not be allowed to file joint usually. If they are a resident then you both need to have a professional look to see if filing together as a joint would be more beneficial
Sometimes if one is a resident then it benefits to file joint but it would require a thorough calculation of both your situations
I would suggest you get a professional that is trained in nonresident alien taxation, just make sure you ask before you pay or have them complete
i see , in summery it means if i am non-resident they have the right to take my money but i don't have the right to get it back
It means that you pay tax because you are working in the US and are physically here but you may be able to get some back
some back ?? by the end of the year almost more than 12,000 is already gone from my own money
any way , That was very helpful; better even from my university Human resources
Some, you would not be entitled to receive all back and the amounts withheld for anything but the Federal and State income taxes are not refunded for anyone (resident, citizen, or nonresident)
I am glad that you have a better understanding.
no problem, Thank you again
have a great weekend
You are most welcome