Instructions For Form 1040nr-Ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2017 Page 7
ADVERTISEMENT
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35incorrect, ask your employer for a new
local income tax, the amount applied is
scholarship from ABC University. You
one.
treated as received in 2017.
are not required to perform any
services, such as teaching, research, or
None of your refund is taxable if,
Dependent care benefits. If you
other services, to get the scholarship.
in the year you paid the tax, you
received benefits for 2017 under your
TIP
The total amounts you received from
did not itemize deductions. If
employer's dependent care plan, you
ABC University during 2017 are as
you were a student or business
must use Form 1040NR. The benefits
follows.
apprentice from India in 2016 and you
should be shown in box 10 of your
claimed the standard deduction on your
Form(s) W-2.
2016 tax return, none of your refund is
Tuition and
Adoption benefits. If you received
taxable. See Students and business
fees
$25,000
employer-provided adoption benefits for
apprentices from India under Itemized
Books,
2017, you must use Form 1040NR. The
Deductions in chapter 5 of Pub. 519. If
supplies, and
benefits should be shown in box 12 of
none of your refund is taxable, leave
equipment
1,000
your Form(s) W-2, with code T.
line 4 blank.
Room and
Tax-exempt interest. Certain types
9,000
For details on how to figure the
board
of interest income from investments in
amount you must report as income, see
$35,000
state and municipal bonds and similar
Itemized Deduction Recoveries in Pub.
instruments are not taxed by the United
525, Taxable and Nontaxable Income.
States. If you received such tax-exempt
The Form 1042-S you received from
Line 5—Scholarship and fellowship
interest income, enter “TEI” and the
ABC University for 2017 shows $9,000
amount of your tax-exempt interest on
grants. If you received a scholarship or
in box 2 and $1,260 (14% of $9,000) in
the dotted line next to line 3. Include any
fellowship, part or all of it may be
box 10.
exempt-interest dividends from a mutual
taxable. Amounts received in the form of
fund or other regulated investment
a scholarship or fellowship that are
Note. Box 2 shows only $9,000
company.
payment for teaching, research, or other
because withholding agents (such as
services are generally taxable as wages
Do not include interest earned on
ABC University) are not required to
even if the services were required to get
your individual retirement arrangement
report section 117 amounts (tuition,
the scholarship or fellowship.
(IRA), health savings account, Archer or
fees, books, supplies, and equipment)
Medicare Advantage MSA, or Coverdell
If you were a degree candidate, the
on Form 1042-S.
education savings account. Also, do not
amounts you used for expenses other
When completing Form 1040NR-EZ,
than tuition and course-related
include interest from a U.S. bank,
do the following.
expenses (fees, books, supplies, and
savings and loan association, credit
Enter on line 5 the $9,000 shown in
equipment) are generally taxable. For
union, or similar institution (or from
box 2 of Form 1042-S.
example, amounts used for room,
certain deposits with U.S. insurance
Enter $0 on line 8. Because
board, and travel are generally taxable.
companies) that is exempt from tax
section 117 amounts (tuition, fees,
under a tax treaty or under section
If you were not a degree candidate,
books, supplies, and equipment) were
871(i) because the interest is not
the full amount of the scholarship or
not included in box 2 of your
effectively connected with a U.S. trade
fellowship is generally taxable.
Form 1042-S (and are not included on
or business. Do not add any tax-exempt
If the grant was reported on
line 5 of Form 1040NR-EZ), you cannot
interest to your line 3 total.
Form(s) 1042-S, you generally must
exclude any of the section 117 amounts
Income from a sharing economy.
include the amount shown in box 2 of
on line 8.
If you use one of the many online
Form(s) 1042-S on line 5. However, if
Include on line 18b the $1,260 shown
platforms available to provide goods
any or all of that amount is exempt by
in box 10 of Form 1042-S.
and services, you may be involved in
treaty, do not include the treaty-exempt
Example 2. The facts are the same
what is known as the sharing economy.
amount on line 5. Instead, include the
as in
Example 1
except that you are a
If you receive income from a sharing
treaty-exempt amount on line 6 and
citizen of a country that has an income
complete
item J
of Schedule OI on
economy activity, it is generally taxable
tax treaty in force with the United States
page 2 of Form 1040NR-EZ.
even if you do not receive a Form
that includes a provision that exempts
1099-MISC, Miscellaneous Income;
Attach any Form(s) 1042-S you
scholarship income and you were a
Form W-2, Wage and Tax Statement; or
received from the college or institution.
resident of that country for income tax
some other income statement. To learn
If you did not receive a Form 1042-S,
purposes immediately before arriving in
more about this income, go to
IRS.gov/
attach a statement from the college or
the United States to attend ABC
Sharing. If you receive income from a
institution (on their letterhead) showing
University. Also, assume that, under the
sharing economy activity, you may have
the details of the grant.
terms of the tax treaty, you are present
to use Form 1040NR instead of Form
For more information about
in the United States only temporarily to
1040NR-EZ.
scholarships and fellowships in general,
finish your degree, and all of your
Line 4—Taxable refunds, credits, or
see chapter 1 of Pub. 970, Tax Benefits
scholarship income is exempt from tax
offsets of state and local income tax-
for Education.
because ABC University is a nonprofit
es. If you received a refund, credit, or
educational organization.
Example 1. You are a citizen of a
offset of state or local income taxes in
country that does not have an income
Note. Scholarship or fellowship grant
2017, you may receive a Form 1099-G.
tax treaty in force with the United States.
income is not exempt from tax under
If you chose to apply part or all of the
You are a candidate for a degree at
some treaties if the income is received
refund to your 2017 estimated state or
ABC University (located in the United
in exchange for the performance of
States). You are receiving a full
Instructions for Form 1040NR-EZ (2017)
-7-
ADVERTISEMENT
0 votes
Related Articles
Related forms
Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2017
Financial
Instructions For Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2005
Financial
Instructions For Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2008
Financial
Instructions For Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2011
Financial
Instructions For Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - Internal Revenue Service - 2007
Financial
Instructions For Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2016
Financial
Instructions For Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2013
Financial
Instructions For Form 1040nr-ez - U.s. Income Tax Return For Certain Nonresident Aliens With No Dependents - 2009
Financial
Related Categories
Parent category: Financial