U.S. Resident

Foreign individuals who do not have U.S. Green Cards (e.g. U.S. Visa holders) are generally treated as residents of the U.S. if they meet the substantial presence test under U.S. tax law. The substantial presence test is met if the individual’s physical presence in the U.S. equals or exceeds 31 days in the current year and equals or exceeds 183 days when counting the days of U.S. presence in the current year plus 1/3 of the days of U.S. presence in the prior year plus 1/6 of the days of U.S. presence in the second prior year. If the substantial presence test is met, the individual is a resident of the U.S., taxable on worldwide income and deductions for at least a portion of the year in question. Individuals should consult the applicable income tax treaty between the U.S. and their country of citizenship/residency to determine if an alternative filing methodology (e.g. nonresident tax return) might be available.