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New Member
posted Jun 1, 2019 8:26:45 AM

Can I claim $5000 exempt in article 20 in US-China treaty together with standard deduction? I am working under F1 OPT status and 2017 is my 7th year in US.

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Expert Alumni
Jun 1, 2019 8:26:47 AM

Article 20 of the U.S.-China income tax treaty allows an exemption from tax for scholarship income received by a Chinese student temporarily present in the United States. Under the Internal Revenue Code, a student may become a resident alien for tax purposes if his or her stay in the United States exceeds 5 calendar years. However, the treaty allows the provisions of Article 20 to continue to apply even after the Chinese student becomes a resident alien of the United States.