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LJ038
Returning Member

Report nontaxable interest income when filing 1040NR with no income?

Hello, 

 

I am trying to file 1040NR to report no taxable income (since I am a nonresident alien engaged in a trade or business in the United States).

 

Although I received interest from a savings account in the US, the IRS website says interest income from savings account is nontaxable for nonresident aliens. However, it also says:

"If NRAs use Form 1040-NR, U.S. Nonresident Alien Income Tax Return, to report their income, then such nontaxable interest income shall not be reported anywhere on Form 1040-NR except in response to question L on page 5 of Form 1040-NR."

 

If I am not reporting any income, do I still need to report the nontaxable interest income?

If I do, I'm not sure what to say for Question L on page 5 (Schedule OI - Other Information) of 1040-NR because

Question L is for Income Exempt from Tax under a tax treaty with a foreign country

while the IRS website says interest income is nontaxable per Internal Revenue Code rather than a tax treaty.

 

Thank you for your help.

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1 Reply
ee-ea
Level 15

Report nontaxable interest income when filing 1040NR with no income?

TurboTax does not do form 1040-NR. Go here for help

https://taxprep.sprintax.com/meet-stacy.html

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