The chart below contains some common income types and related tax implications for nonresident aliens.
|
U.S. Source Income Type |
Taxable as Income |
Withholding Required |
Form Received |
|---|---|---|---|
|
Qualified Scholarship or Fellowship |
No |
No |
None |
|
Non-Qualified Scholarship or Fellowship |
Yes |
Yes – 14% absent treaty |
1042-S
|
|
Prize or Award |
Yes |
Yes – 30% |
1042-S |
|
Compensation |
Yes |
Yes – varied |
W-2 |
|
Compensation – non-employee |
Yes |
Yes – 30% absent treaty |
1042-S |
|
Compensation from individual or foreign organization |
Yes |
No |
None |
|
Royalties |
Yes |
Yes – 30% absent treaty |
1042-S |
For detailed information on payments issued by MIT, please see "Learn about Grants, Stipends, Scholarships, Fellowships, and Other Types of Payments" on the VPF website.
The content in this website is provided for informational purposes only. MIT does not offer legal, accounting, or tax advice and services. This information should not be used as a substitute for consultation with a professional accounting, tax, or legal advisor. MIT recommends that students consult a tax advisor for individual tax advice.