B-1 |
Informational Data |
Characterization of Group |
Temporary visitor for business |
Employment |
No |
Independent Contractor |
Honoraria - yes |
Travel Reimbursement |
Yes |
Tax Status |
Non-resident |
Fed/State Income Tax Withheld |
N/A |
Social Security and Medicare Withheld |
N/A |
B-2 |
Informational Data |
Characterization of Group |
Temporary visitor for pleasure |
Employment |
No |
Independent Contractor |
Honoraria - yes |
Travel Reimbursement |
Yes |
Tax Status |
Non-resident |
Fed/State Income Tax Withheld |
N/A |
Social Security and Medicare Withheld |
N/A |
F-1 |
Informational Data |
Characterization of Group |
International Students |
Employment |
Yes |
Independent Contractor |
Yes |
Travel Reimbursement |
Yes |
Tax Status |
* Non-resident for five calendar years from date of arrival until passes substantial presence test. |
Fed/State Income Tax Withheld |
Yes |
Social Security and Medicare Withheld |
No, unless passes the substantial presence test or unless not registered for the proper number of class credits. |
F-2 |
Informational Data |
Characterization of Group |
Dependents of F-1 |
Employment |
No |
Independent Contractor |
No |
Travel Reimbursement |
No |
Tax Status |
N/A |
Fed/State Income Tax Withheld |
N/A |
Social Security and Medicare Withheld |
N/A |
H-1B |
Informational Data |
Characterization of Group |
Temporary worker in special occupation |
Employment |
Employment is authorized for work at MSU |
Independent Contractor |
Employment is authorized for work at MSU |
Travel Reimb. |
Yes |
Tax Status |
Resident Alien |
Fed/St. Income Tax Withheld |
Yes |
Social Security and Medicare Withheld |
Yes |
J-1 Exchange Visitor (Non-student) |
Informational Data |
Characterization of Group |
Exchange visitor - teacher or researchers |
Employment |
Yes |
Independent Contractor |
Yes |
Travel Reimb. |
Yes |
Tax Status |
* Non-resident for two years. from date of arrival |
Fed/St. Income Tax Withheld |
** Yes |
Social Security and Medicare Withheld |
see item "a" below |
J-2 |
Informational Data |
Characterization of Group |
Dependent of J-1 Exchange visitor |
Employment |
Employment Authorization |
Independent Contractor |
Employment Authorization |
Travel Reimb. |
Yes |
Tax Status |
* Non-resident until passes the substantial presence test |
Fed/St. Income Tax Withheld |
Yes |
Social Security and Medicare Withheld |
Yes |
Trade Nafta (TN) |
Informational Data |
Characterization of Group |
Temporary worker in special occupation from Canada |
Employment |
Yes |
Independent Contractor |
Yes |
Travel Reimb. |
Yes |
Tax Status |
Resident Alien |
Fed/St. Income Tax Withheld |
Yes |
Social Security and Medicare Withheld |
Yes |
* Refer to the Payroll home page section on "Information on International Visitors"
** Tax Treaties may apply. For information regarding employees, contact the Payroll Division. For independant contractors, contact the Accounts Payable Department.
The substantial presence test determines whether the international visitor is a "resident alien for tax purposes". If the international visitor passes the substantial presence test, social security and Medicare taxes are withheld, in addition to any other taxes (federal and state income taxes).
a. Special rules apply to F1 students, J1 (teachers and researchers) regarding the substantial presence test.