Cs

Ok, so on 2000 and 2001 I was "self employed" while on an f1 trhugh the coop
department at my university.
My tax preparer said I didnt have to pay self employment tax because of my
status, now the IRS has sent me letters for both years asking me for a bunch
of money.
Has anyone else had similar experiences? what should I reply? my tax
preparer is handdling it right now but I wanna make sure he doesnt do
something stupid.

Vladimir V Egorin

In article , CS wrote:
    > Ok, so on 2000 and 2001 I was "self employed" while on an f1 trhugh the coop
    > department at my university.
    > My tax preparer said I didnt have to pay self employment tax because of my
    > status, now the IRS has sent me letters for both years asking me for a bunch
    > of money.
    > Has anyone else had similar experiences? what should I reply? my tax
    > preparer is handdling it right now but I wanna make sure he doesnt do
    > something stupid.

Try misc.taxes too.


--
Vladimir

Cs

"Vladimir V Egorin" wrote in message
news:[email protected]...
    > In article , CS wrote:
    > > Ok, so on 2000 and 2001 I was "self employed" while on an f1 trhugh the
coop
    > > department at my university.
    > > My tax preparer said I didnt have to pay self employment tax because of
my
    > > status, now the IRS has sent me letters for both years asking me for a
bunch
    > > of money.
    > > Has anyone else had similar experiences? what should I reply? my tax
    > > preparer is handdling it right now but I wanna make sure he doesnt do
    > > something stupid.
    > Try misc.taxes too.
    > --
    > Vladimir

good idea, thanks

Hnchoksi

    >Subject: irs, selfemplyoment, legal non resident alien, f1
    >From: "CS" casolorz[rem]@hot[rem]mail.com
    >Date: 6/27/03 1:21 PM Eastern Daylight Time
    >Message-id:
    >Ok, so on 2000 and 2001 I was "self employed" while on an f1 trhugh the coop
    >department at my university.
    >My tax preparer said I didnt have to pay self employment tax because of my
    >status, now the IRS has sent me letters for both years asking me for a bunch
    >of money.
    >Has anyone else had similar experiences? what should I reply? my tax
    >preparer is handdling it right now but I wanna make sure he doesnt do
    >something stupid.
There is no suc thing as self employed on F-1. If you were co-oping or doing
on-campus work you still have to pay taxes. Why don't you ask the school if
that is taxable income?

Cs

"Hnchoksi" wrote in message
news:[email protected]...
    > >Subject: irs, selfemplyoment, legal non resident alien, f1
    > >From: "CS" casolorz[rem]@hot[rem]mail.com
    > >Date: 6/27/03 1:21 PM Eastern Daylight Time
    > >Message-id:
    > >
    > >Ok, so on 2000 and 2001 I was "self employed" while on an f1 trhugh the
coop
    > >department at my university.
    > >My tax preparer said I didnt have to pay self employment tax because of
my
    > >status, now the IRS has sent me letters for both years asking me for a
bunch
    > >of money.
    > >Has anyone else had similar experiences? what should I reply? my tax
    > >preparer is handdling it right now but I wanna make sure he doesnt do
    > >something stupid.
    > >
    > >
    > >
    > >
    > There is no suc thing as self employed on F-1. If you were co-oping or
doing
    > on-campus work you still have to pay taxes. Why don't you ask the school
if
    > that is taxable income?

by self employed it meant that the company I was working for was not taking
taxes out cause I was a contract employee not a salary employee.
My tax preparer has all those books for the IRS and they have a thing in
there that says that self employment tax (I guess its the same a soc sec
tax) does not need to be payed by legal non resident aliens, excluding
certain countries of course.

S B

CS wrote:

    > by self employed it meant that the company I was working for was not taking
    > taxes out cause I was a contract employee not a salary employee.
    > My tax preparer has all those books for the IRS and they have a thing in
    > there that says that self employment tax (I guess its the same a soc sec
    > tax) does not need to be payed by legal non resident aliens, excluding
    > certain countries of course.

You need a tax preparer who understands the implications of
international taxes. You realize that if you don't pay taxes in the US,
you must pay taxes in your home country.

Next it is still questionable as to whether that employment is legal
under the F1 program.

Hnchoksi

    >Subject: Re: irs, selfemplyoment, legal non resident alien, f1
    >From: "CS" casolorz[rem]@hot[rem]mail.com
    >Date: 6/27/03 8:54 PM Eastern Daylight Time
    >Message-id:
    >"Hnchoksi" wrote in message
    >news:[email protected]...
    >> >Subject: irs, selfemplyoment, legal non resident alien, f1
    >> >From: "CS" casolorz[rem]@hot[rem]mail.com
    >> >Date: 6/27/03 1:21 PM Eastern Daylight Time
    >> >Message-id:
    >> >
    >> >Ok, so on 2000 and 2001 I was "self employed" while on an f1 trhugh the
    >coop
    >> >department at my university.
    >> >My tax preparer said I didnt have to pay self employment tax because of
    >my
    >> >status, now the IRS has sent me letters for both years asking me for a
    >bunch
    >> >of money.
    >> >Has anyone else had similar experiences? what should I reply? my tax
    >> >preparer is handdling it right now but I wanna make sure he doesnt do
    >> >something stupid.
    >> >
    >> >
    >> >
    >> >
    >> There is no suc thing as self employed on F-1. If you were co-oping or
    >doing
    >> on-campus work you still have to pay taxes. Why don't you ask the school
    >if
    >> that is taxable income?
    >by self employed it meant that the company I was working for was not taking
    >taxes out cause I was a contract employee not a salary employee.
    >My tax preparer has all those books for the IRS and they have a thing in
    >there that says that self employment tax (I guess its the same a soc sec
    >tax) does not need to be payed by legal non resident aliens, excluding
    >certain countries of course.

OK. I think I know what you mean. You don't have to pay "employment tax", but
you do have to pay income tax. Being on F-1, you should not have paid medicare
or social security. Just federal and state taxes. Whether they were witholding
taxes depended on your income level. It it was below a certain limit they would
not have witheld. However, it was your responsibility to pay any tax due. Even
if you did not have to pay a cent, it would still be a good idea to file a
return. It is important to do so as a CYA, especially when you are a
prospective immigrant.

Cs

    > OK. I think I know what you mean. You don't have to pay "employment tax",
but
    > you do have to pay income tax. Being on F-1, you should not have paid
medicare
    > or social security. Just federal and state taxes. Whether they were
witholding
    > taxes depended on your income level. It it was below a certain limit they
would
    > not have witheld. However, it was your responsibility to pay any tax due.
Even
    > if you did not have to pay a cent, it would still be a good idea to file a
    > return. It is important to do so as a CYA, especially when you are a
    > prospective immigrant.


I paid "all" my taxes but I did not pay self employment tax, as my tax
preparer explains, thats social security tax. Aside from that I did pay
everything else, I might have even payed medicare.

Cs

"S B" wrote in message
news:[email protected]...
    > CS wrote:
    > > by self employed it meant that the company I was working for was not
taking
    > > taxes out cause I was a contract employee not a salary employee.
    > > My tax preparer has all those books for the IRS and they have a thing in
    > > there that says that self employment tax (I guess its the same a soc sec
    > > tax) does not need to be payed by legal non resident aliens, excluding
    > > certain countries of course.
    > You need a tax preparer who understands the implications of
    > international taxes. You realize that if you don't pay taxes in the US,
    > you must pay taxes in your home country.

hmmm I will have to look into that, what are the consequences of not paying
taxes in my country? keep in mind I plan to never go back, at least to live
there, whether I get a green card in the US or not.

    > Next it is still questionable as to whether that employment is legal
    > under the F1 program.

Well if the employment wasnt legal tehn my university is screwed. We have a
coop program which allows any undergraduate student with over 24 credits (i
think) work outside of campus on a job related to his/her field of study, 20
hrs limit blah blah blah. I worked using the universities coop office for a
company who paid me by the hour, but they did not deduct taxes from my
income, they only deducted taxes from salary employees.
As far as I know, I wasnt the only one doing this, I had a coworker from a
different university doing the same thing (he was from china I believe), and
I also had classmates working for other companies doing the same, all of
them international of course.

S B

CS wrote:
    >
    > > OK. I think I know what you mean. You don't have to pay "employment tax",
    > but
    > > you do have to pay income tax. Being on F-1, you should not have paid
    > medicare
    > > or social security. Just federal and state taxes. Whether they were
    > witholding
    > > taxes depended on your income level. It it was below a certain limit they
    > would
    > > not have witheld. However, it was your responsibility to pay any tax due.
    > Even
    > > if you did not have to pay a cent, it would still be a good idea to file a
    > > return. It is important to do so as a CYA, especially when you are a
    > > prospective immigrant.
    >
    > I paid "all" my taxes but I did not pay self employment tax, as my tax
    > preparer explains, thats social security tax. Aside from that I did pay
    > everything else, I might have even payed medicare.

So, did he file a Non-resident tax return, and did he indicate that you
were in the US on an F1 visa?

Cs

"S B" wrote in message
news:[email protected]...
    > CS wrote:
    > >
    > > > OK. I think I know what you mean. You don't have to pay "employment
tax",
    > > but
    > > > you do have to pay income tax. Being on F-1, you should not have paid
    > > medicare
    > > > or social security. Just federal and state taxes. Whether they were
    > > witholding
    > > > taxes depended on your income level. It it was below a certain limit
they
    > > would
    > > > not have witheld. However, it was your responsibility to pay any tax
due.
    > > Even
    > > > if you did not have to pay a cent, it would still be a good idea to
file a
    > > > return. It is important to do so as a CYA, especially when you are a
    > > > prospective immigrant.
    > >
    > > I paid "all" my taxes but I did not pay self employment tax, as my tax
    > > preparer explains, thats social security tax. Aside from that I did pay
    > > everything else, I might have even payed medicare.
    > So, did he file a Non-resident tax return, and did he indicate that you
    > were in the US on an F1 visa?


actually no, he filed the normal tax return for americans cause I had been
here long enough. He did indicate that I was on f1 once they sent the first
letter, but they just seemed to ignore it, so for this second letter I am
asking him to send copies of i94, visa, i20, passport. When we talked to the
irs over the phone, they agreed with us, and they had no clue why the case
hadnt been closed yet, thats why I posted here to see if anyone had similar
problems, but seems that not many f1s are self employed in this group.

S B

CS wrote:
    >
    > "S B" wrote in message
    > news:[email protected]...
    > > CS wrote:
    > > >
    > > > > OK. I think I know what you mean. You don't have to pay "employment
    > tax",
    > > > but
    > > > > you do have to pay income tax. Being on F-1, you should not have paid
    > > > medicare
    > > > > or social security. Just federal and state taxes. Whether they were
    > > > witholding
    > > > > taxes depended on your income level. It it was below a certain limit
    > they
    > > > would
    > > > > not have witheld. However, it was your responsibility to pay any tax
    > due.
    > > > Even
    > > > > if you did not have to pay a cent, it would still be a good idea to
    > file a
    > > > > return. It is important to do so as a CYA, especially when you are a
    > > > > prospective immigrant.
    > > >
    > > > I paid "all" my taxes but I did not pay self employment tax, as my tax
    > > > preparer explains, thats social security tax. Aside from that I did pay
    > > > everything else, I might have even payed medicare.
    > >
    > > So, did he file a Non-resident tax return, and did he indicate that you
    > > were in the US on an F1 visa?
    >
    > actually no, he filed the normal tax return for americans cause I had been
    > here long enough. He did indicate that I was on f1 once they sent the first
    > letter, but they just seemed to ignore it, so for this second letter I am
    > asking him to send copies of i94, visa, i20, passport. When we talked to the
    > irs over the phone, they agreed with us, and they had no clue why the case
    > hadnt been closed yet, thats why I posted here to see if anyone had similar
    > problems, but seems that not many f1s are self employed in this group.

Don't keep saying "self employed" unless you want to find your F1
terminated in a hurry! You may be classed as "self-employed" for income
tax purposes, but don't mutter that anywhere near an immigration
official.

Not many are self employed because it's technically illegal.

You were hired and paid on a 1099 basis as a contractor. Big difference.

I think the problem was the fact that you didn't send details of your
visa etc.

Cs

    > You were hired and paid on a 1099 basis as a contractor. Big difference.


ahhh thats the form number I couldnt remember, and yes that was it!!! well I
hope its resolved cause I aint paying the IRS 2,600 bucks.

Hnchoksi

    >Subject: Re: irs, selfemplyoment, legal non resident alien, f1
    >From: "CS" casolorz[rem]@hot[rem]mail.com
    >Date: 6/28/03 1:07 PM Eastern Daylight Time
    >Message-id:
    >> You were hired and paid on a 1099 basis as a contractor. Big difference.
    >ahhh thats the form number I couldnt remember, and yes that was it!!! well I
    >hope its resolved cause I aint paying the IRS 2,600 bucks.

Oh come on! Whatever happened to ""Tis better to give than to receive?" Don't
you want the economy to grow?

S B

Hnchoksi wrote:
    >
    > >Subject: Re: irs, selfemplyoment, legal non resident alien, f1
    > >From: "CS" casolorz[rem]@hot[rem]mail.com
    > >Date: 6/28/03 1:07 PM Eastern Daylight Time
    > >Message-id:
    > >
    > >
    > >> You were hired and paid on a 1099 basis as a contractor. Big difference.
    > >
    > >
    > >ahhh thats the form number I couldnt remember, and yes that was it!!! well I
    > >hope its resolved cause I aint paying the IRS 2,600 bucks.
    > >
    >
    > Oh come on! Whatever happened to ""Tis better to give than to receive?" Don't
    > you want the economy to grow?

But Hnchonski, you know that the more revenues they have, the greater
their debt carrying capacity. For every $ you give them, they think
it's safe to borrow $2