Form 1040NR-EZ: U.S. Income Tax Return for Certain Nonresident Aliens With No Dependents (2017)
What the Form Is For
Form 1040NR-EZ is a simplified tax return designed specifically for nonresident aliens who have straightforward U.S. income situations and meet strict eligibility requirements. If you're not a U.S. citizen or permanent resident but earned money in the United States during 2017—typically as a foreign student, temporary worker, or business trainee—this form might be your ticket to fulfilling your federal tax obligations without wrestling with the more complex Form 1040NR.
Think of this as the ""easy version"" of the nonresident alien tax return. It's deliberately streamlined for people whose only U.S. income comes from wages, salaries, tips, scholarships, or fellowship grants. The IRS created this form recognizing that many nonresidents have simple tax situations involving a single employer or educational institution, and they shouldn't need to navigate a complicated multi-page return with dozens of schedules and attachments.
The form consists of just two pages. The first page captures your basic identifying information, income, deductions, and calculates your tax or refund. The second page, Schedule OI (Other Information), asks questions about your citizenship, visa status, days present in the U.S., and any tax treaty benefits you're claiming. This schedule helps the IRS verify your nonresident status and ensures you're reporting income correctly under U.S. tax law and international agreements.
Understanding your residency status is crucial. The IRS uses specific tests—the green card test and the substantial presence test—to determine whether you're a resident or nonresident alien for tax purposes. Generally, if you were physically present in the U.S. for fewer than 183 days (using a weighted formula across three years) and don't hold a green card, you're likely a nonresident. Nonresidents are typically only taxed on their U.S.-source income, while residents face taxation on worldwide income. Form 1040NR-EZ serves those who clearly fall into the nonresident category and have limited U.S. income sources.
When You'd Use It (Late/Amended Filings)
For the 2017 tax year, your filing deadline depends on your type of income. If you worked as an employee and had U.S. income taxes withheld from your wages, your Form 1040NR-EZ was due by April 17, 2018 (the deadline was pushed from April 15 due to the Emancipation Day holiday in Washington, D.C.). However, if you didn't receive wages subject to withholding—perhaps you only received scholarship income—your deadline was June 15, 2018.
Missing these deadlines doesn't mean all hope is lost, but it does mean potential consequences. If you file late without requesting an extension, you may face penalties and interest charges. The failure-to-file penalty is typically 5% of the unpaid taxes for each month or part of a month that your return is late, up to 25% of your unpaid taxes. If you owe money and file more than 60 days late, there's a minimum penalty. Interest accrues daily on unpaid tax from the due date until you pay in full, and that rate adjusts quarterly.
If you needed more time but anticipated owing no tax (or expected a refund), you should have filed Form 4868 by the original deadline to request an automatic six-month extension. This extension gives you more time to file but doesn't extend the time to pay any taxes owed. If you discover errors after filing your original return, you'll need to file an amended return using Form 1040X, Amended U.S. Individual Income Tax Return. However, Form 1040X cannot be filed electronically for nonresident returns—it must be mailed to the IRS.
The three-year rule generally applies: you typically have three years from the original due date (or the date you filed, whichever is later) to file an amended return claiming a refund. After that window closes, you forfeit the right to that refund. Keep copies of your filed returns and all supporting documents for at least three years, though the IRS recommends longer retention periods if you file claims for losses from worthless securities or bad debt deductions.
Key Rules
Eligibility for Form 1040NR-EZ operates on an ""all or nothing"" basis—you must meet every requirement on the IRS checklist or you're disqualified and must use the longer Form 1040NR instead. You cannot claim any dependents or be claimed as a dependent on someone else's return. Your only U.S. income sources can be wages, salaries, tips, refunds of state and local income taxes, scholarship or fellowship grants, and nontaxable interest or dividends. Notably, if you received even a dollar of taxable interest or dividend income, you're immediately disqualified from using this form.
Your taxable income must fall below $100,000. The only income exclusion you can claim is for qualified scholarship and fellowship grants (amounts used for tuition, fees, books, supplies, and equipment required for your courses). The only adjustment to income available is the student loan interest deduction, capped at $2,500 if you qualify. You cannot claim any tax credits whatsoever—no education credits, no child tax credits, no earned income credit. If you're married, you cannot claim an exemption for your spouse.
Your itemized deductions are severely restricted. The only itemized deduction permitted is for state and local income taxes you paid during the year. There's one exception: if you're a resident of India who was in the U.S. as a student or business apprentice, specific tax treaty provisions may allow you to take the standard deduction instead of itemizing. The only taxes you should owe are those calculated from the tax table or unreported social security and Medicare taxes on certain types of income.
You're also prohibited from using Form 1040NR-EZ if you must file certain other IRS forms. These include Form 8938 (reporting specified foreign financial assets if you're a dual resident taxpayer), Form 8833 (claiming treaty-based return positions in many circumstances), Form 8840 (claiming closer connection to a foreign country to avoid resident status), or Form 8843 (claiming exempt individual status for substantial presence test purposes). If you expatriated or terminated long-term U.S. residency during the tax year, you must use Form 1040NR.
Step-by-Step (High Level)
Personal Information and Filing Status
Starting at the top of the form, you'll enter your personal information: full name, current mailing address (which can be a foreign address), and your identifying number. This number is typically your Social Security Number (SSN) if you're authorized to work in the U.S., or an Individual Taxpayer Identification Number (ITIN) if you're not eligible for an SSN. Getting an ITIN requires filing Form W-7 with proper documentation; the process typically takes about seven weeks.
Next, you'll indicate your filing status by checking either ""Single nonresident alien"" or ""Married nonresident alien."" Unlike U.S. citizens and residents, nonresident aliens cannot file jointly, so even if you're married, you're filing separately. Your choice affects which tax table column you'll use later. Then you'll attach your income documents—Forms W-2 from employers and Forms 1042-S showing scholarships or fellowships with tax withheld—to the front of your return.
Reporting Income
The income section is straightforward. Line 3 captures your wages, salaries, and tips from Form W-2. Line 4 is for any taxable refunds of state and local income taxes from the previous year (only taxable if you itemized deductions in the prior year and received a tax benefit). Line 5 reports scholarship and fellowship grants. Line 6 is critical: here you report any income that's completely exempt under a tax treaty, which doesn't get taxed at all. Line 7 totals these amounts.
Adjustments, Deductions, and Taxable Income
Lines 8 through 10 handle adjustments. Line 8 lets you exclude the qualified portion of scholarships (tuition, fees, required books and supplies). Line 9 allows the student loan interest deduction if you qualify. Line 10 becomes your adjusted gross income. Line 11 is for your itemized deduction (state and local income taxes), and line 12 subtracts this from line 10. Line 13 shows your personal exemption amount ($4,050 for 2017, though it phases out at higher income levels). Line 14 is your taxable income.
Calculating Tax and Payments
Using your taxable income from line 14 and your filing status, you'll look up your tax in the tax table provided in the instructions. This amount goes on line 15. Add any unreported social security and Medicare taxes on line 16. Line 17 is your total tax. Lines 18 through 21 capture your payments: federal income tax withheld from Forms W-2 and 1042-S, estimated tax payments you made during the year, and any tax paid when departing the U.S. (Form 1040-C). If your total payments exceed your tax, you're due a refund; if they fall short, you owe additional tax.
Common Mistakes and How to Avoid Them
Identification Number Errors
One of the most frequent errors involves identification numbers. Your name and SSN or ITIN must match exactly with your social security card or IRS notice. Mismatches trigger processing delays and can result in your deductions or credits being disallowed. If you got married, divorced, or legally changed your name, update your information with the Social Security Administration before filing. If you use an ITIN, be aware that ITINs not used on a tax return in the past three years automatically expire and must be renewed.
Math and Tax Table Mistakes
Many filers make mathematical errors when calculating taxable income or looking up tax in the tax table. Double-check your arithmetic on lines 10, 12, 14, and 17. When using the tax table, make sure you're reading from the correct column—single or married filing separately—and the correct row for your taxable income bracket. A common mistake is accidentally using the wrong column, which can result in hundreds of dollars in incorrect tax calculations.
Missing Documentation
Forgetting to attach required documentation causes significant delays. You must attach all Forms W-2 showing wages, all Forms 1042-S if federal tax was withheld, and Form 1099-R if tax was withheld on pension distributions. Missing attachments prevent the IRS from verifying your withholding, which can delay your refund by months. If you lose a Form W-2, contact your employer immediately for a replacement; if that fails, call the IRS for assistance, but you must still report all your income even without the form.
Scholarship Reporting Errors
Incorrectly reporting scholarship and fellowship income creates confusion. Remember that only amounts used for qualified expenses (tuition, required fees, course-related books, supplies, and equipment) can be excluded on line 8. Amounts used for room, board, travel, and incidental expenses are taxable. Your Form 1042-S might not show qualified amounts because institutions aren't required to report them, so you'll need to calculate the exclusion yourself using records of your educational expenses.
Tax Treaty Documentation Issues
Tax treaty benefits require careful attention. If you're claiming that certain income is exempt under a tax treaty, you must complete Schedule OI (page 2) thoroughly, listing the country, specific treaty article, and exempt amount. In many cases, you must also file Form 8833 to disclose your treaty position. Failing to properly document treaty claims can result in the IRS denying the exemption and assessing additional tax plus penalties and interest.
What Happens After You File
Processing and Refund Timeline
Once the IRS receives your return, it enters their processing system. If you mailed your return, expect about four weeks before information appears in the ""Where's My Refund?"" tool on IRS.gov or the IRS2Go mobile app. These tools update once daily, usually overnight, and require your SSN or ITIN, your filing status, and your exact refund amount to access your information. You can check 24 hours a day, seven days a week.
If you're due a refund, the IRS typically issues it within 21 days of receiving your return if you filed electronically, or within six weeks if you filed by mail. However, refunds involving Form 1042-S often take longer—up to six months—because the IRS must verify the withholding information with the institution that issued the form. You can choose direct deposit to a U.S. bank account, which is faster and more secure than a paper check. If you don't have a U.S. bank account, the IRS will mail a check to your address, including foreign addresses.
Paying Taxes Owed
If you owe tax, you should have paid by the original due date to avoid interest and penalties. If you didn't, interest begins accruing immediately from the due date, and a failure-to-pay penalty (typically 0.5% of the unpaid tax per month) starts accumulating. You have several payment options: pay online through IRS Direct Pay (free), pay by debit or credit card (convenience fees apply), mail a check or money order with Form 1040-V, or even pay cash at participating retail locations using Pay with Cash after registering online.
If you cannot pay the full amount, contact the IRS immediately. They offer installment agreements that let you pay over time, though interest and penalties continue accruing until you pay in full. In cases of serious financial hardship, you might qualify for a temporary delay in collection, though this isn't common and requires demonstrating that paying would leave you unable to meet basic living expenses.
Possible Audits and Follow-Up
The IRS might select your return for examination (audit), though this is relatively rare for straightforward wage and scholarship returns. If selected, you'll receive a letter explaining what information they need. Always respond promptly to IRS letters and provide requested documentation. If you disagree with an IRS determination, you have appeal rights, and free help is available through the Taxpayer Advocate Service if you're experiencing financial difficulties or the IRS hasn't responded to your inquiries.
FAQs
Do I need to file Form 1040NR-EZ if my only income was a small scholarship and I had no tax withheld?
If you were a nonresident alien engaged in a U.S. trade or business, you generally must file even if you had no income, no U.S.-source income, or your income is exempt under a tax treaty or the Internal Revenue Code. However, there are specific exceptions. If your only U.S. trade or business was performing personal services, your wages were less than the personal exemption amount ($4,050 for 2017), and you have no other reason to file (such as claiming a refund), you don't need to file. Similarly, nonresident alien students, teachers, or trainees on F, J, M, or Q visas with no income subject to tax under section 871 don't need to file Form 1040NR-EZ, though they may still need to file Form 8843.
I received a Form W-2 showing state tax withholding but I never worked in that state. How do I handle this?
Your employer may have incorrectly withheld state taxes or you might have worked remotely for a company based in another state. First, contact your employer's payroll department to determine why state tax was withheld. Some states tax nonresidents who work for companies based there, while others don't. You'll report the state tax withholding as an itemized deduction on line 11 of Form 1040NR-EZ (your only allowed itemized deduction). If tax was withheld in error, you'll need to file a state tax return in that state to claim a refund directly from the state—federal forms don't control state refunds.
Can I claim a refund for social security and Medicare taxes that were withheld from my wages?
It depends on your visa status and tax treaty. Most nonresident aliens on F-1, J-1, M-1, or Q-1 visas are exempt from social security and Medicare taxes on wages paid for services performed to carry out the purpose of their visa status (such as on-campus student employment). If these taxes were withheld in error, you cannot get them back through Form 1040NR-EZ. Instead, you must first request a refund from your employer. If your employer cannot or will not refund them, file Form 843 (Claim for Refund and Request for Abatement) with the IRS, attaching evidence of your visa status and the erroneous withholding. This is a separate process from your income tax return.
What if I became a resident alien partway through 2017—which form do I use?
You're in a dual-status year, and the rules become more complex. If you were a U.S. resident on December 31, 2017, you'll file Form 1040 as your primary return, write ""Dual-Status Return"" across the top, and attach Form 1040NR-EZ as a statement (marked ""Dual-Status Statement"") showing your income for the nonresident portion of the year. Conversely, if you were a nonresident on December 31, 2017, you'll file Form 1040NR-EZ as your primary return with Form 1040 attached as a statement. The instructions provide specific mailing addresses for dual-status returns. You cannot file jointly as a dual-status taxpayer unless you make a special election to be treated as a resident for the entire year, which would require using Form 1040 instead.
My country has a tax treaty with the United States that exempts my scholarship income. How do I claim this?
You'll complete Schedule OI, Part J on page 2 of Form 1040NR-EZ. List your country, the specific article of the tax treaty that provides the exemption, the number of months you've claimed the treaty benefit in prior years, and the amount of exempt income in the current year. Transfer the total exempt amount to line 6 of Form 1040NR-EZ. Do not include treaty-exempt amounts on line 3 or line 5 where you report income—only on line 6 where they offset. Be aware that many treaty positions require you to file Form 8833 to disclose the treaty-based position to the IRS. The instructions for Form 8833 specify when filing is required. Keep documentation of your treaty qualification, such as proof of residency in your home country and your visa status.
I didn't file my 2017 return on time and I'm owed a refund. Is it too late to file now?
No, you should still file. The IRS will generally accept returns and issue refunds even if filed late, though you typically have only three years from the original due date to claim a refund. For Form 1040NR-EZ filed by employees with withholding, that deadline would have been April 17, 2021 (three years from the April 17, 2018 due date). If that deadline has passed, you've forfeited your right to the refund. If you're still within the three-year window, file immediately. Since you're due a refund rather than owing tax, there's no penalty for filing late, though you'll lose your refund entirely if you wait too long. Include all required documentation and write at the top ""Filed pursuant to section 6511"" to protect your claim.
My address changed after I filed—how do I notify the IRS to ensure I receive my refund?
File Form 8822 (Change of Address) as soon as possible. You can download it from IRS.gov, complete it with your old and new addresses, and mail it to the address listed in the form's instructions (the address varies depending on your state or country). It typically takes four to six weeks for the IRS to process the address change. If you're expecting a refund and your address changed after filing, you can also call the IRS at 1-267-941-1000 (the number for international callers) to update your address. Be prepared for long wait times and have your tax return information available. If a refund check was already mailed to your old address and returns undeliverable, the IRS will issue a new check once they process your address change, though this creates additional delays.
All information is sourced from official IRS publications available at IRS.gov and IRS Form 1040NR-EZ Instructions.
