U.S. Tax Treaty Basics for International Students Salary and Wages

Click Here for A Tax Treaty Chart Based on Scholarship or Fellowship Grants

The following information is applicable for salary and wages reported on form W-2 "Wage and Tax Statement."

This chart provides very basic information. It is important to review the text of the tax treaty as summarized in IRS publication 901, US Tax Treaties, or by reviewing the special IRS Tax Treaty Website: http://www.irs.gov/businesses/international/article/0,,id=96739,00.html or the website of Windstar Technologies.

COUNTRY AMOUNT OF INCOME EXEMPT FROM TAX TYPE OF INCOME TREATY ARTICLE #
BANGLADESH up to $8,000/yr for max 5 yrs studying & training 21(2)
BELGIUM up to $2,000/yr for max 5 yrs studying & training 21(1)
CANADA up to 10,000 yr dependent personal services  XV
CHINA up to $5,000/yr for the time reasonably necessary to complete the education/training studying & training 20(c)
CYPRUS up to $2,000/yr for up to 5 tax years & for an addtional period as necessary to complete, as a ft student, educational requirements for a post-grad or prof degree studying & training 21(1)
CZECH  REP  up to $5,000/yr up to 5 yrs studying & training 21(1)
EGYPT up to $3,000/yr for max 5 yrs & for an addÆl period needed to complete, as ft student, ed. req. for a post-grad or prof. degree studying & training 23(1)
ESTONIA up to $5,000/yr up to 5 yrs studying & training 20(1)
FRANCE  up to $5,000/yr up to 5 yrs studying & training  21(1)
GERMANY  up to $5,000/yr up to 4 yrs; if visit exceeds 4 yrs, exemption is lost for entire visit  studying & training 20(4)
ICELAND  up to $2,000/yr up to 5 yrs studying & training 22(1)
INDIA  can claim standard deduction rather than itemize (see info sheet) n/a 21(2)
INDONESIA  up to $2,000/yr up to 5 yrs studying & training 19(1)
ISRAEL  up to $3,000/yr up to 5 yrs  studying & training  24(1)
JAPAN  up to 2,000/yr up to 5 yrs for those who entered the U.S. before January 1, 2005. This benefit cannot be claimed after 2005, unless the student first entered the U.S. between January 1, 2002 and March 30, 2004. studying & training 20(1)
LATVIA up to $5,000/yr up to 5 yrs studying & training 20(1)
LITHUANIA up to $5,000/yr up to 5 yrs studying & training 20(1)
LUXEMBOURG No limit up to 2 yrs Studying & training 21(1)
REP. OF KOREA  up to $2,000/yr up to 5 yrs studying & training   21(1)
MOROCCO  up to $2,000/yr up to 5 yrs studying & training 18
NETHERLANDS  up to $2,000/yr for a period of time considered reasonable req'd to complete study/training studying & training  22(1)
NORWAY  up to $2,000/yr up to 5 yrs studying & training 16(1)
PAKISTAN  up to $5,000/yr studying & training XIII(1)
PHILIPPINES  up to $3,000/yr up to 5 yrs studying & training  22(1)
POLAND   up to $2,000/yr up to 5 yrs studying & training 18(1)
PORTUGAL   up to $5000/yr up to 5 tax years studying & training 23(1)
ROMANIA  up to $2,000/yr up to 5 yrs studying & training  20(1)
SLOVAK REPUBLIC  up to $5,000/yr up to 5 yrs studying & training 21(1)
SPAIN  up to $5,000/yr up to 5 yrs minus the personal exemption amount for the current tax year. studying & training  22(1)
THAILAND up to $3000/yr up to 5 yrs studying & training  22(1)
TRINIDAD & TOBAGO  up to $2,000/yr up to 5yrs studying & training 19(1)
TUNISIA   up to $4,000/yr up to 5 yrs  studying & training  20
VENEZUELA up to $5,000/yr up to 5 yrs studying & training 21(1)