Hi,
I am a resident alien with an F-1 Visa. In 2021, I had two jobs. The first one provided a 1042-S form and the second one provided a W2 form. My 1042-S form shows an income code 20, gross income $4000+ (which is less than the US-China treaty $5000), and a tax rate of 0.0.
My question is do I need to report this $4000+ income to IRS? If yes, how?
Thanks!
IRS website says:
In most cases, you will also not need to report the income on your Form 1040 or 1040-SR because the income will be exempt from U.S. tax under the treaty. However, if the income has been reported as taxable income on a Form W-2, Form 1042-S, Form 1099, or other information return, you should report it on the appropriate line of Form 1040 or 1040-SR (for example, line 1 in the case of wages or salaries). Enter the amount for which treaty benefits are claimed in parentheses on Schedule 1 (Form 1040), line 8. Next to the amount, enter “Exempt income,” the name of the treaty country, and the treaty article that provides the exemption. Combine this amount with the amounts reported on lines 1 through 7 of Schedule 1 (Form 1040), Part I, and report the total on line 9. Enter this amount on line 8 of Form 1040 or 1040-SR.
