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Tax Guide, Foreign Nationals
- Tax Treaties Benefits for Foreign Students Studying in the USA


Download a Worksheet for Form 8843 for students, trainees and teachers


Tax Treaty Benefits for Student Compensation

Tax Exempt Compensation
The tax treaties generally specify that the tax exempt compensation is for "personal services" or "dependent personal services" performed in the United States.   Dependent personal services are generally wages/salaries as a employee.  If the treaty only uses the term "personal services" then contract work would generally also fall into this category (independent personal services/self employment income).  Earnings above this figure are taxable. 

 

Maximum Presence in USA (Student) Many treaties specify a limit to claim benefit of the treaty from when the student first arrived in the USA. 

 

Refer to the tax treaty for any additional requirements.   


The information below may differ for teachers, apprentices or business trainees.  See treaty for clarification.

Refer to IRS Publication 901, pages 19 to 27.  See also United States Tax Treaties - A to Z.

Country of
Residence

Maximum Presence
in USA

(Student)

Tax Exempt
Compensation*

Treaty Article
 

Bangladesh

No Limit

$8,000

21(2)

Belgium

No Limit

$9,000

19(1)(b)

Bulgaria

No Limit

$9,000

19(1)(b)

China, People’s Republic

No Limit

$5,000

20(c)

Cyprus

5 years

$2,000

21(1)

Czech Republic

5 years

$5,000

21(1)

Egypt

5 years

$3,000

23(1)

Estonia

5 years

$5,000

20(1)

France

5 years

$5,000

21(1)

Germany

4 years

$9,000

20(4)

Iceland

5 years

$9,000

19(1)

Indonesia

5 years

$2,000

19(1)

Israel

5 years

$3,000

24(1)

Korea, South

5 years

$2,000

21(1)

Latvia

5 years

$5,000

20(1)

Lithuania

5 years

$5,000

20(1)

Malta

No Limit

$9,000

20(2)

Morocco

5 years

$2,000

18

Netherlands

No Limit

$2,000

22(1)

Norway

5 years

$2,000

16(1)

Pakistan

No Limit

$5,000

XIII(1)(ii)

Philippines

5 years

$3,000

22(1)

Poland

5 years

$2,000

18(1)

Portugal

5 years

$5,000

23(1)

Romania

5 years

$2,000

20(1)

Slovak Republic

5 years

$5,000

21(1)

Slovenia

5 years

$5,000

20(1)

Spain

5 years

$5,000

22(1)

Thailand

5 years

$3,000

22(1)

Trinidad and Tobago

5 years

$2,000

19(1)

Tunisia

5 years

$4,000

20

Venezuela

5 years

$5,000

21(1)