Foreign Visitor Tax Guide - Section Seven

J-1 Scholars (Professors and Researchers)

7.1 General Provisions
J-1 non-students (professors, researchers, etc.) are generally considered nonresidents for tax purposes for their first two (2) calendar years.

J-1 non-students who have been in the U.S. at least two (2) years are generally considered to be resident aliens for tax purposes. J-1 non-students become eligible to use the substantial presence test after two (2) years as nonresident aliens. For example, a J-1 teacher who arrived in the U.S. in 2001 files nonresident tax returns (IRS Form 1040NR) for 2001 and 2002. The teacher passes the substantial presence test in 2003. The teacher is considered a resident alien for tax purposes in 2003.

7.2 Possible Sources of U.S. Income
J-1 Nonstudents (professors and researchers) may be employed on campus. Permission to work off campus is very restrictive and must be approved by the ASU Office of International Programs prior to the employment.

7.3 Tax Implications
Refer to Sections 2.4 and 2.6 of this guide to determine whether federal income tax, FICA tax, and/or state and local income tax apply to the type of payments being made to the foreign national.