@DaveF1006 @sabya3112 @pk @pkm4
I am also in a similar situation and couldn't find any official IRS doc regarding the loss of the US-India tax treaty exemption for the entire visit after 2 years.
My Case:
I am on a J1 visa (research scholar category, started in April 2019) and file tax for 2019 and 2020 as a non-resident. In my previous tax filings (1040NR), I claimed tax treaty benefits on my income under the US-India tax treaty. The treaty benefit ended in 2021 (2 years completed in the US, now a resident alien for tax purposes), and I am still in the US and continuing my program.
Now, as per the tax-treaty doc, ARTICLE 22 (Payments Received by Professors, Teachers, and Research Scholars), "If a professor or teacher remains in the host State for more than the specified two-year period, he may be subject to tax in that State, under its law, for the entire period of his presence."
Does it depend on the payer's wish, or do we have to pay it according to the law (no official docs)?
Can you please suggest?
