pk
Level 15
Level 15

Deductions & credits

@user17553787901 , sorry you are missing the point --- the employer DOES NOT ever subtract the standard / itemized deduction--- it depends on your filing status.  The employer only withholds your federal and state  taxes  ( and for most employees the FICA taxes ).

When you file your return  , next year, you include the deduction ( standard / itemized whichever is larger ) amount as  I mentioned  in my last post.  In your case and assuming that you file as single, yes it is 15,000 or thereabouts.  What the US-India tax treaty allows an Indian student to do is use the standard deduction  -- other international students are limited to using itemized deduction.

 

Now are we on the same page ?  

 

Is there more I can do for you ?  Do you wish to PM me  ( just NO PII -- Personally Identifiable Information)

 

pk