Form 1040-NR: U.S. Nonresident Alien Income Tax Return (2024)
What the Form Is For
Form 1040-NR is the tax return that nonresident aliens use to report their U.S.-source income and calculate their federal income tax liability. If you're not a U.S. citizen or U.S. national and haven't passed either the green card test or the substantial presence test, you're considered a nonresident alien for tax purposes. This form serves as your annual accounting to the Internal Revenue Service for income you earned from U.S. sources during the tax year.
The form handles two distinct categories of income that nonresidents might receive. The first is income that's ""effectively connected"" with a U.S. trade or business—this includes wages from U.S. employment, business profits, and income from real estate activities. This type of income gets reported on the main pages of Form 1040-NR and is taxed at the same graduated rates that apply to U.S. citizens and residents, allowing you to claim deductions to reduce your taxable income. The second category covers income that's ""fixed, determinable, annual, or periodical"" (known as FDAP income), which isn't connected to a U.S. business—things like dividends, interest, and royalties. This income gets reported on Schedule NEC and is typically taxed at a flat 30 percent rate (or a lower treaty rate if your country has a tax treaty with the United States), with no deductions allowed.
You must file this form if you were engaged in a trade or business in the United States during the year, even if you had no income or your income is exempt under a tax treaty. You also need to file if you're a nonresident alien with U.S.-source income that wasn't fully taxed through withholding, or if you want to claim a refund of taxes that were overwithheld from your pay. Students, teachers, and trainees temporarily in the U.S. on F, J, M, or Q visas are considered engaged in a trade or business and must file if they have taxable income such as wages, scholarships, or dividends.
When You'd Use It (Late and Amended Returns)
Understanding the filing deadlines is crucial because missing them can cost you money in penalties and interest, and filing too late might mean losing valuable deductions and credits entirely. The deadline depends on whether you received wages subject to U.S. income tax withholding. If you worked as an employee and had federal income tax withheld from your paycheck, your Form 1040-NR for the 2024 tax year is due by April 15, 2025—the same deadline that applies to most U.S. taxpayers. However, if you didn't receive wages as an employee or didn't have U.S. tax withholding, your deadline extends to June 16, 2025 (the 15th day of the sixth month after the tax year ends).
If you can't meet your filing deadline, you can request an automatic extension by filing Form 4868 before the original due date. This extension gives you additional time to file your return, though it's important to understand that an extension to file is not an extension to pay—if you owe taxes, you should estimate and pay what you owe by the original deadline to avoid interest charges and potential penalties. The IRS will process your extension request automatically if you file Form 4868 properly.
There's a critical rule about timing that every nonresident alien should understand: to claim any deductions or credits, you must file a true and accurate return within 16 months of the due date. If you file more than 16 months late, the IRS has the authority to deny your deductions and credits entirely, which could significantly increase your tax bill. This harsh penalty underscores why it's essential to file on time or get an extension if you need more time.
For amended returns, you'll use Form 1040-X to correct a previously filed Form 1040-NR. Perhaps you discovered an error in your original return, received an additional tax document after filing, or realized you missed a deduction you were entitled to claim. The good news is that for tax year 2022 and later, you can file Form 1040-X electronically using tax software. The IRS cautions that it can take up to three weeks for your amended return to appear in their system after you file it, and processing the amendment can take up to 16 weeks. You can track the status of your amended return on the IRS website.
Key Rules
Several fundamental rules govern who must file Form 1040-NR and how to file it correctly. First, recognize that nonresident aliens face significant restrictions compared to U.S. taxpayers. You cannot file using the ""Married Filing Jointly"" or ""Head of Household"" status—your options are limited to ""Single,"" ""Married Filing Separately,"" ""Qualifying Surviving Spouse"" (if you meet specific requirements), or filing as an estate or trust. This restriction exists because the tax benefits of joint filing and head of household status are generally reserved for U.S. citizens and residents.
Tax credits and deductions are also more limited. Most nonresident aliens cannot claim the earned income credit, education credits, or the standard deduction. However, there are specific exceptions: if you're a resident of Canada, Mexico, or South Korea, or if you're a student or business apprentice from India, you may qualify for certain benefits that aren't available to other nonresidents. Students from India, for instance, may be eligible to claim a standard deduction. These exceptions typically stem from tax treaty provisions between the United States and your home country.
You must complete and attach Schedule OI (Other Information) to every Form 1040-NR you file. This schedule asks detailed questions about your visa type, the number of days you spent in the United States, whether you're claiming treaty benefits, and other information the IRS needs to verify your nonresident status and treaty claims. Failing to include Schedule OI or leaving questions unanswered is a common mistake that can delay processing of your return.
When reporting income, you must round all dollar amounts to the nearest whole dollar—for example, $1,749.49 becomes $1,749, and $1,749.50 becomes $1,750. You'll need to obtain either a Social Security Number (SSN) or an Individual Taxpayer Identification Number (ITIN) to file. If you're not eligible for an SSN, you can apply for an ITIN using Form W-7. Estates and trusts use an Employer Identification Number (EIN) instead.
The IRS requires you to attach all supporting documents to your return. This includes Forms W-2 showing wages and withholding, Forms 1042-S reporting income subject to withholding, Forms 8805 and 8288-A if applicable, and any other relevant tax documents. These should be attached to the front of your Form 1040-NR in the order listed in the instructions. Proper documentation helps the IRS process your return efficiently and reduces the chance of correspondence or delays.
Step-by-Step (High Level)
Filing Form 1040-NR follows a logical sequence, though the form itself can seem daunting at first glance. Start by gathering all your tax documents—every Form W-2 from employers, Forms 1042-S for scholarships or other withheld income, Forms 1099 for investment income, and any other documents showing income you received or taxes withheld during the year. You'll also want documentation of any deductible expenses if you're claiming itemized deductions.
Begin filling out the form by entering your personal information at the top: your name exactly as it appears on your Social Security card or ITIN letter, your U.S. address (or foreign address if you don't have a U.S. residence), your identifying number (SSN or ITIN), and your country of residence. Select your filing status carefully—remember that as a nonresident alien, your choices are limited. Most nonresident aliens who are single or married file as ""Single"" or ""Married Filing Separately.""
The main body of the form splits into distinct sections. Lines 1 through 11 handle income that's effectively connected with your U.S. trade or business. This is where you report wages from Form W-2, business income from Schedule C, rental income from Schedule E, capital gains from Schedule D, and other types of income that are connected to business activities or U.S. employment. Each income type has its own line, and you'll need to refer to the detailed instructions for items like pensions, IRA distributions, or capital gains that require additional calculations.
After totaling your income, you'll move to deductions. Line 12 is where most nonresident aliens will enter zero for standard deduction, though as mentioned earlier, certain individuals from India may claim it. If you're eligible for itemized deductions, you'll complete Schedule A (Form 1040-NR) and enter the total on line 12. Line 13a is for the qualified business income deduction if you operate a business, and line 13b is reserved for estates and trusts claiming exemption deductions.
Subtracting your deductions from your income gives you your taxable income, which you'll use to calculate your tax on line 16. For most filers, this means using the tax tables provided in the instructions, though those with capital gains or qualified dividends may need to use special worksheets to calculate their tax at preferential rates. After calculating your basic tax, you'll add any additional taxes from Schedule 2 and then subtract any credits you're eligible for from Schedule 3.
Finally, you'll reconcile your total tax with payments you've already made through withholding or estimated tax payments. Enter federal income tax withheld from Forms W-2, 1099, 1042-S, and other documents on the appropriate lines in the payments section. If you made estimated tax payments during the year, include those as well. Compare your total tax to your total payments: if you paid more than you owe, you'll receive a refund; if you paid less, you'll need to pay the difference. You can choose to have any refund directly deposited to a U.S. bank account or receive a paper check, and you can apply part or all of your refund to next year's estimated tax.
Don't forget Schedule NEC if you have FDAP income that's not effectively connected with a U.S. business. This separate schedule calculates tax on income like dividends, interest, and royalties at the flat 30 percent rate (or lower treaty rate). Complete Schedule NEC independently from the main form, then carry the tax amount from Schedule NEC to your Form 1040-NR.
Common Mistakes and How to Avoid Them
One of the most frequent errors is failing to sign and date the return. It seems simple, but the IRS cannot process an unsigned return—it's not considered a valid filing. Make sure you sign in black or blue ink if filing by mail, and if you're filing electronically, follow the prompts to electronically sign using your PIN. If you're filing for a deceased person or as a fiduciary, specific signing requirements apply, so consult the instructions carefully.
Many nonresident aliens forget to attach all required forms and schedules to their returns. Every Form W-2, every Form 1042-S, and any Form 8288-A or 8805 must be physically attached to a paper return or transmitted with an electronic return. Missing documentation delays processing significantly because the IRS must verify withholding and income amounts. Similarly, don't forget to include Schedule OI—this one-page form is mandatory for every Form 1040-NR filer, and leaving it out or failing to answer all the questions is a red flag that can trigger correspondence from the IRS.
Claiming credits or deductions that nonresident aliens aren't eligible for is another common problem. The earned income credit, education credits like the American Opportunity Credit and Lifetime Learning Credit, and the standard deduction (except for qualifying Indian students) are off-limits to most nonresident filers. If you claim these incorrectly, the IRS will adjust your return, which can turn an expected refund into a balance due. Before claiming any credit or deduction, verify in the instructions that nonresident aliens are explicitly eligible. When in doubt, check whether your home country has a tax treaty with the U.S. that might grant additional benefits—treaty provisions are found in IRS Publication 901.
Using the wrong filing status is surprisingly common. Nonresident aliens sometimes attempt to file as ""Married Filing Jointly"" with a U.S. citizen or resident spouse, but this isn't allowed on Form 1040-NR unless you've made a special election to be treated as a resident (which would mean filing Form 1040, not 1040-NR). Similarly, you cannot use ""Head of Household"" status. If you're eligible to make an election to be treated as a resident for tax purposes—for instance, if you're married to a U.S. citizen or resident—you would need to file Form 1040 instead, not Form 1040-NR.
Entering incorrect personal information causes processing delays. Make absolutely certain that the name and SSN or ITIN you enter match IRS records exactly. If you've legally changed your name, notify the Social Security Administration before filing. For ITINs, ensure your ITIN hasn't expired—ITINs that haven't been used on a tax return for three consecutive years automatically expire, and you'll need to renew it before filing.
Missing deadlines or failing to request an extension when needed is a costly mistake. If you're required to file and miss the deadline without getting an extension, you'll face penalties that accrue monthly, plus interest on any unpaid tax. Even if you can't pay what you owe, file your return on time or get an extension—this stops the failure-to-file penalty (which is much steeper than the failure-to-pay penalty) from being assessed.
What Happens After You File
Once you mail your Form 1040-NR to the IRS address specified in the instructions (which differs depending on whether you're including a payment), or after you electronically file, the IRS begins processing your return. For most electronically filed returns, the IRS acknowledges receipt within 24-48 hours. Paper returns take significantly longer—generally four to six weeks just to enter into the system.
If you're expecting a refund, the timing depends on how you filed and the types of forms involved. Electronic filers who choose direct deposit typically receive refunds within three weeks of filing, making e-filing the fastest option. Paper filers wait six to eight weeks for a paper check. However, there's an important caveat for nonresident aliens: refunds based on withholding shown on Forms 8805, 8288-A, or 1042-S may be delayed up to six months. This extended processing time reflects the additional verification the IRS performs for these types of withholding. You can check your refund status using the ""Where's My Refund?"" tool on IRS.gov or through the IRS2Go mobile app, which updates daily.
If your return shows a balance due, you need to pay by the filing deadline to avoid penalties and interest. The IRS offers several payment options: you can pay electronically through IRS Direct Pay, EFTPS (Electronic Federal Tax Payment System), or by credit/debit card; you can mail a check or money order with your return; or you can arrange a payment plan if you cannot pay the full amount immediately. Interest accrues daily on unpaid tax from the due date of the return until you pay in full, and a failure-to-pay penalty of 0.5 percent per month applies to the unpaid balance.
The IRS may contact you after you file if they need additional information, find an error on your return, or need clarification about something you reported. This correspondence typically comes by mail, not by phone or email—the IRS doesn't initiate contact with taxpayers through email or social media. If you receive a notice, read it carefully, respond by the deadline shown, and keep a copy for your records. Many notices are simply informational or request routine verification; others might propose changes to your return that affect your tax liability.
If you filed a paper return and weeks pass without any acknowledgment, or if you're experiencing significant delays or problems with your return, you can contact the IRS for help. However, be prepared for long wait times during filing season. For serious issues where normal IRS channels haven't resolved your problem, the Taxpayer Advocate Service is an independent organization within the IRS that helps taxpayers resolve problems and recommends changes to prevent future issues.
FAQs
Do I need to file Form 1040-NR if I had no U.S. income?
If you were engaged in a trade or business in the United States during the year, you must file Form 1040-NR even if you had no income, had no U.S.-source income, or your income is entirely exempt under a tax treaty. However, if you weren't engaged in a U.S. trade or business and had no taxable U.S.-source income, you generally don't need to file unless you want to claim a refund of overwithheld taxes.
Can I file Form 1040-NR electronically?
Yes, Form 1040-NR can be filed electronically through IRS-approved tax software. Electronic filing is faster, more accurate, and gets you your refund more quickly if you're owed one. Most tax return preparers are now required to use e-file. If you choose direct deposit for your refund and file electronically, you'll typically receive your refund in about three weeks.
What's the difference between April 15 and June 16 deadlines?
If you received wages as an employee that were subject to U.S. income tax withholding—meaning your employer took federal taxes out of your paycheck—your deadline is April 15. If you didn't receive such wages, your deadline extends to June 16. This extended deadline recognizes that nonresidents who aren't employees often need more time to gather information and prepare their returns.
I'm from a country with a U.S. tax treaty—how does this affect my return?
Tax treaties can exempt certain types of income from U.S. taxation or reduce the tax rate on specific income types. To claim treaty benefits, you must properly report the treaty exemption on your return, provide the treaty article number on Schedule OI, and attach Form 8833 if required. Simply being from a treaty country doesn't automatically give you benefits—you must specifically claim them and meet the treaty requirements.
Can I claim my spouse or children as dependents?
Generally, nonresident aliens cannot claim dependents unless the dependent is a U.S. national, a U.S. resident, or a resident of Canada or Mexico. This limitation affects your ability to claim the child tax credit and other family-related tax benefits. However, if you're a resident of Canada or Mexico or a U.S. national, different rules may apply, so check the specific instructions for claiming dependents.
What if I can't pay the tax I owe when I file?
File your return on time even if you can't pay the full amount—this prevents the steep failure-to-file penalty. The IRS offers payment plans and installment agreements that allow you to pay over time. Visit IRS.gov/Payments to explore your options, which include short-term payment plans (up to 180 days) and longer-term installment agreements. Interest and a smaller failure-to-pay penalty will still accrue, but the total penalties will be much less than if you don't file at all.
How long should I keep my tax records?
Keep copies of your filed tax returns indefinitely—they're important personal financial records. For supporting documents like receipts, Forms W-2, and 1042-S, the IRS generally recommends keeping records for at least three years from the date you filed the return or the due date, whichever is later. However, if you underreported income by more than 25 percent, keep records for six years. If you didn't file a return or filed a fraudulent return, keep records indefinitely.
