What is a non-resident alien?

 According to  the IRS , a non-resident alien is a foreigner — defined as anyone who is not a U.S. citizen or national — who has not passed either the Green Card Test or the Substantial Presence Test.

Newcomers arriving on J-1 or F-1 visas are generally classified as nonresident aliens. Additionally, students arriving on these visas will be classified as nonresident aliens unless they  pass the substantial presence test  .

This classification is an important distinction for tax filing purposes.

What is the difference between resident aliens and non-resident aliens?

The difference between a resident alien and a non-resident alien depends on the green card and substantial presence tests. If a person passes any of these tests, he or she will receive resident alien status for one calendar year.

Can non resident aliens work in the US?

Nonresident aliens can work in the US once they are authorized. They  can become authorized by filling out Form I-9, Employment Eligibility Verification.  This form confirms that the alien is who he says he is and is eligible for employment.

What documents are required for employing non-resident aliens in the US?

Along with Form I-9, resident and nonresident aliens must also submit identification documents. For nonresident aliens, these documents may include:

• certificate of naturalization
• The validity of temporary resident card has expired

If these documents are not available, applicants may also provide a combination of identity and employment eligibility documents, which may include the following:

Identification Documents

• Driver's license or identification card issued by the state or federal government
• School ID Card

Employment Eligibility Documents

• US Social Security Card
• Certification of Birth Abroad (issued by the Department of State)

How are non-resident foreigners taxed?

An employee must file a tax return if he or she is any of the following:

• A nonresident alien who worked for a trade or business in the US during the year
• A nonresident alien who has not worked for a trade or business but whose source of income is the US
• A representative who is responsible for filing the return of a non-resident alien, as described in the points above
• Fiduciary of a non-resident alien
• A resident or domestic fiduciary who is in charge of the care of a nonresident alien or property owned by a nonresident alien

Any employee who meets any of these qualifications must fill out Form 1040-NR. If they have no dependents to claim, they must fill out Form 1040-NR-EZ.

With these forms, non-resident aliens must pay taxes on income connected with trade or business in the U.S. Taxes also apply to income that is fixed, determinable, annual, or periodic.

When an alien leaves the US, he or she must file Form 1040-C, US Departing Alien Income Tax Return. This reports all income received for the entire tax year and the tax liability paid.

Nonresident aliens   can obtain a Social Security Number (SSN) . This is necessary if they want to work in the US.

To obtain a SSN, non-resident aliens can apply in two different ways:

1. While lawfully present in the U.S., submit a request for an SSN when applying for work authorization from U.S. Citizenship and Immigration Services. This can be completed with Form I-765, Application for Employment Authorization.
2. If you are lawfully present in the U.S. and have a visa that allows you to work, visit a Social Security office in person.