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Huaren
等级中士
威望1
贴子1168
魅力1748
注册时间2005-11-02

ashleymm

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Can F2->F1 get Tax treaty benefit?

1699

4

2005-11-02 15:45:00

I'm sorry that I'm at lab and cannot type Chinese.

I called IRS and they said there are no regulations saying that tax treaty wont apply to F2-> F1. However, some schools say F2->F1 is not eligable for tax treaty benefit. May I know if anyone has this kind of experience? Is it true that F2->F1 wont get 5000$ tax exempt per year? If not, how does it work? Thanks a lot!


[此贴子已经被作者于2005-11-2 15:48:16编辑过]

Huaren
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注册时间2005-02-24

xyzly

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2005-11-02 15:49:00

tax treay does not apply to F2-F1, at least in my school.


does not apply to H-F1 either.

Huaren
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ashleymm

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2005-11-02 16:00:00

Thanks.
Is it true that treaty wont apply even for F2 who goes back to China and apply for re-entry?
Huaren
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注册时间2005-01-23

sunkiss

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2005-11-02 16:30:00

以下是US-China Tax Treaty, Article20 的条款内容:


A student, business apprentice or trainee who is or was immediately before visiting a Contracting State, a resident of the other Contracting State and who is present in the first-mentioned Contracting State solely for the purpose of his education, training or obtaining special technical experience shall be exempt from tax in that Contracting State with respect to:



(a) payments received from abroad for the purpose of his maintenance, education, study, research or training;



(b) grants or awards from a government, scientific, educational or other tax-exempt organization; and



(c) income from personal services performed in that Contracting State in an amount not in excess of 5,000 United States dollars or its equivalent in Chinese yuan for any taxable year.


The benefits provided under this Article shall extend only for such period of time as is reasonably necessary to complete the education or training


我想大多数人说F2转F1的人没有这5000的免除, 是不是因为来美的目的不是solely for education. 我觉得打电话给IRS问问清楚也对, 我也对这个问题很有疑惑. 但是IRS那些接线员的说法算不算数呢? 不知道谁有权威的解释.


另外这个Tax Treaty当中也没有说到5年的期限, 不知道这个说法又是从何而来. 待我再查查相关的code.



[此贴子已经被作者于2005-11-2 16:36:35编辑过]

Huaren
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威望1
贴子1168
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注册时间2005-11-02

ashleymm

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2005-11-03 11:13:00

Thanks, sunkiss.

A post on mitbbs quoted a Tax specialist, saying that the initial purpose of the F2 has changed if s/he applies for change of status. And even if s/he goes back to her/his home country, unless s/he stays there for 365 days before re-entering US, the treaty won't apply to her/him.

Do not know where the tax specialist got the information from.

Also, there is no limitation of 5 years for Chinese. My understanding is as long as one is student, the treaty will apply.
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