IRS Form 8843 and Non-U.S. Resident Aliens

Aliens in the U.S. are subject to U.S. taxation if they stay long enough to be residents under Internal Revenue Code (I.R.C.) §7701(b)(4). Resident aliens including aliens working and living in the U.S. without status must file and pay tax on their worldwide income and comply with U.S. reporting requirements relating to assets within and outside of the U.S. Form 8843, Statement for Exempt Individuals and Individuals with a Medical Condition (“Form 8843”) allows aliens to exclude some days of presence in the U.S. from the calculation of substantial presence. This article reviews the rules for filing a Form 8843 with the IRS and the outcome of doing so.