When nonresident aliens file their federal income tax returns, they can not use the standard deduction unless the nonresident is a student or business apprentice from India. You can also find more information in IRS Publication 519. To find more information about these tests, go to and enter “green card test” or “Substantial Presence Test” in the search box. You also include them when you pay your federal unemployment tax act or FUTA tax. You treat them like a U.S.Ĭitizen for income tax withholding purposes as well as Social Security and Medicare taxes. In summary, if your potential employee has a “green card,” an I-551 stamp, or passes the Substantial Presence Test, there is nothing more to do. Make sure you have the information on the number of days the person has been in the United States in the current year, the previous year, and the year preceding that. You can also call the IRS Business And Specialty Tax toll free line at 1-80. Tax Guide For Aliens, has a complete list of the exceptions. There are rules about what kinds of days can and cannot count.įor example, you do not count days someone is present in the United States as a teacher or trainee under a valid J or Q visa. Since the total for the three year period is 225 days, you are considered a resident alien under the Substantial Presence Test for 2019. To determine if you meet the Substantial Presence Test for 2019, count the full 150 days of presence in 2019, 50 days in 2018, one third of 150, and 25 days in 2017, one sixth of 150. One, the number of days in the United States during the current year two, 1/3rd the number of days in the United States during the preceding year and three, 1/6th the number of days in the United States during the second preceding year.įor example, let's say you were physically present in the United States for 150 days in each of the years 2017, 2018, and 2019. In other words, the person meets the 183 day test, if the some of the following is at least 183 days. To meet this test, you must be physically present in the United States when on least 31 days during the current year, and 183 days during the three year period that includes the current year and the two years immediately before that. Someone without a “green card” can still claim resident alien status if he or she meets the Substantial Presence Test for the calendar year. Lawful permanent residents who are waiting for their actual “green cards” may have an I-551 stamp on their foreign passport. It gives the holder the right to reside permanently in the U.S.Ī “green card” holder is also known as a lawful permanent resident. A resident is someone who has a "green card” or who has met the Substantial Presence Test.Ī “green card” is USCIS Form I-551, Permanent Resident Card.
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