Office of the Provost
Graduate Student Payment Process Changes
Information regarding the changes in graduate student payment processes and tax withholding, effective January 1, 2017.
FOR GRADUATE STUDENTS:
- 2019 Tax Resources
- Tax Withholding Informational Memo (December 2016)
- Presentation on tax withholding changes
- FAQ on tax withholding changes
Non-Resident Aliens for Tax Purposes generally should not be subject to estimated tax payments. If you have any questions about your residency or tax status, please see the tax advisers through the International Students Office. If you are a NRA student looking for assistance with your 2016 Form 1040-NR, you should contact the ISO GTP Tax Assistant at email@example.com. Additional resources for NRA students with respect to their tax return requirements can be located here – https://www.iso.rochester.edu/taxes/file/index.html
A non-resident alien who is on a student visa (F, J, M or Q) from China*, Germany, Luxembourg, or Pakistan may continue to claim tax treaty benefits with respect to their non-service Fellowship / Stipend / Assistantship payments even after they become a resident alien for tax purposes. Generally, in order to continue to claim tax treaty benefits, the student must still be in the process of obtaining their degree.
You must file a U.S. tax return and Form 8833, Treaty-Based Return Position Disclosure Under Section 6114 or 7701(b), if you are a resident alien for tax purposes and claiming tax treaty benefits on your non-service Fellowship / Stipend / Assistantship payments. There is no additional documentation that you are required to provide to the University as the University is not required to withhold income tax on your non-service Fellowship / Stipend / Assistantship payments once you have become a resident alien for tax purposes.
Further, please note: NO tax reporting document (such as Form 1042-S) is required to be issued to individuals to report non-service Fellowship / Stipend / Assistantship payments received after you have become a resident alien for tax purposes.
If you have become a resident alien for U.S. tax purposes and will be claiming tax treaty benefits with respect to your non-service Fellowship / Stipend / Assistantship payments in accordance with the provisions of the tax treaties of China, Germany, Luxembourg, or Pakistan as described above, you will NOT be required to pay estimated income taxes with respect to your non-service Fellowship / Stipend / Assistantship payments.
*The tax treaty with China does NOT include residents of Hong Kong or Taiwan.
NYS and IRS ESTIMATED TAX PAYMENT VOUCHERS and INSTRUCTIONS
EXAMPLES OF COMPLETED ESTIMATED TAX CALCULATIONS for 2016 & 2017 INDIVIDUAL INCOME TAX RETURNS
Important Note: The following examples of completed federal and state estimated tax calculations and income tax returns, and estimated tax calculations are provided for your general information for ILLUSTRATIVE PURPOSES ONLY. The estimated tax calculations and returns are based on typical payments received by graduate students at the University of Rochester and do not address other items of income, deductions, credits, etc. that may apply to your specific tax situation.