Frequently Asked Questions

 

• Looking for help completing your Federal Tax Return?

  Unfortunately, neither Oklahoma State Univeristy or the Tax & Compliance Office provides assistance with the preparation of personal tax returns. If you need assistance please contact Sprintax or a tax advisor.

• What is a Form 1042-S?

  Form 1042-S is a Foreign Persons U.S. Source Income Subject to Withholding form. Individuals may have a Form 1042-S from Oklahoma State University if they have one or more of the following types of income:

  • • Compensation/Salary/Wages exempt from tax withholding at the time of payment due to an income tax treaty exemption
    • Scholarship or Fellowship payments (for which no services are performed) paid to a Nonresident Alien that are in excess of tuition, fees or a book allowance, whether tax was withheld or tax treaty exempt
    • Independent Compensation/Honoria/Speaker Fees/Consulting paid to a Nonresident Alien, whether tax was withheld or tax treaty exempt
• Where can I find my Form 1042-S?

  Form 1042-S can be found in GLACIER. To log into GLACIER and obtain the FOrm 1042-S, follow these steps

  • • Go to GLACIER Online Tax
    • Enter your User ID and Password (if you do not remember your UserID or Password, select "Forgot Login" to request an email that allows you to reset them)
    • Select "I would like to View/Print my Form 1042-S from the Menu (You may then View, Save and/or Print your Form 1042-S)
    • If a Form 1042-S for the year in which you are needing is not listed here in Glacier, that means a Form 1042-S was not issued to you by OSU (and was not applicable per our records).
• Why is my tax status important?

  In order for Oklahoma State University (OSU) to comply with U.S. tax laws, it is necessary for OSU to determine your U.S. tax residency status. The IRS has developed a test of days present in the U.S. and rules as to which foreign nationals are subject to that test: Substantial Presence Test. OSU’s reporting requirements to the IRS are determined by the payee’s tax residency.

• What is the difference between a Nonresident Alien and a Resident Alien?

  A nonresident alien for tax purposes is taxed only on her U.S. based income and has tax rates specific to nonresidents. A resident alien for tax purposes is subject to U.S. taxation on her worldwide income, i.e. you are taxed in the same manner as a U. S. citizen.

• What is the Substantial Presence Test?

  A nonresident alien for tax purposes is taxed only on her U.S. based income and has tax rates specific to nonresidents. A resident alien for tax purposes is subject to U.S. taxation on her worldwide income, i.e. you are taxed in the same manner as a U. S. citizen.

• How long will I be a Nonresident Alien?

  F-1 and J-1 student visa status holders are generally nonresident aliens for tax purposes for five calendar years. J-1 nonstudent visa status holders have a more complicated test that looks at a period of two years out of six. J-1 nonstudents visa status holders often become resident aliens for tax purposes in their third calendar year in the U.S. Other nonimmigrant aliens will often become resident aliens for tax purposes in less than one year’s time. The U.S. tax system is based on a calendar year period (January 1 – December 31). In most cases, when your U.S. residency status for tax purposes changes, you will become a resident alien for tax purposes retroactive to the first day of the calendar year during which your status changed, i.e. 1 January.

• How do I complete a W-4 (Employee's Withholding Certificate)?

  If you are a nonresident alien, you will complete a W-4 (federal and state) during the Glacier Tax Session as part of the work permit process. Tax and Compliance Services will assist in the completion of a W-4 for nonresident aliens only. 

   

  If you are a resident alien/U.S. Citizen and need assistance with completing a W-4, please see Federal & State Tax Withholding Information and Forms on OSU Payroll Services website.

• What if I do not submit my forms and documents?

  If you do not complete the information in GLACIER and submit the required forms and documents, the maximum amount of tax will be withheld from all payments made to you.

• Can I be exempt from tax withholding?

  Approximately 63 countries have tax treaties with the United States and some of these treaties allow payments of one type or another to international students and/or scholars to be exempt from U.S. taxation. The tax compliance software, GLACIER, provides the necessary document to apply for a claim of a tax withholding exemption under an applicable tax treaty with OSU. Often, this paperwork must be renewed on an annual basis, so be sure to renew the paperwork at the appropriate time each year.

• What is FICA tax on my payroll advice?

  “FICA” (which stands for "Federal Insurance Contributions Act") refers to the payroll taxes withheld from your salary that fund both the U.S. Social Security and Medicare programs. Employees who are full-time students or nonresident aliens (F-1s/J-1s) do not have to pay FICA taxes. If you are required to pay FICA taxes, the Medicare contribution is identified as “Fed MED/EE” and the Social Security contribution is identified as “Fed OASDI/EE” on your OSU paycheck. The Medicare contribution is 1.45% of your taxable income, the employee’s share of the Social Security payroll tax is currently 6.2% of your taxable income.

   

  If you are unsure of your tax status, check your GLACIER tax summary for information on your nonresident status and when you can expect to start paying FICA taxes.

• What is the Nonres Alien Tax Withholding charge on my Bursar?

  In general, U.S. sourced taxable scholarships, fellowships, and grants that do not represent compensation for services are not subject to withholding when paid to U.S. citizens and residents, but they are subject to withholding when paid to nonresident aliens (i.e. Nonres Alien).

   

  The withholding tax rate is 30%. However, the withholding tax rate may be reduced to 14% (or a lower treaty rate) if you are a nonresident alien student, researcher, or grantee who is temporarily present in the United States with an "F," "J," "M," or "Q" visa, and the taxable amounts you received are either:

   

  1. Incident to a qualified scholarship to which section 117(a) applies; or
  2. Granted by certain types of organizations described in section 1441(b)(2).

   

  The Nonres Alien Tax Withholding charge on your Bursar account represents the amount of withholding tax (as mentioned above) on a scholarship you received during that particular semester. The amount used to calculate the withholding tax is the scholarship amount that exceeds tuition and required fees. OSU remits this amount to the IRS on your behalf. By March 15th each year, you will receive a tax document (Form 1042-S) that reflects your taxable scholarship amount for the previous calendar year. The Form 1042-S will be available for you to download from Glacier.

• What if I do not have any income?

  Were you present in the United States for any period during the year (January 1-December 31)? Are you a non-resident for tax purposes? If you answer yes to both questions, you must file a Form 8843, even if you did not work. All nonresident aliens present in the U.S. under F-1, F-2, J-1, or J-2 nonimmigrant status must file Form 8843 "Statement for Exempt Individuals and Individuals With a Medical Condition" -- even if they received no income during a tax year.

   

  Depending on various factors, you also may need to file both a federal and state tax return.

  Form 8843 must be filed if an individual is:

  • • • • • Present in the U.S. for any day during 2022
          • A nonresident alien (an individual who has not passed the green card test or the substantial presence test.)
          • Present in the U.S. under F-1, F-2, J-1, or J-2 status

  If an individual meets all three qualifications above, the Form 8843 must be filed for the tax year.