Information For...

For you and your family
Standard mileage and other information

Forms and Instructions

Individual Tax Return
Itemized Deductions
Application for Automatic Extension of Time
Request for Taxpayer Identification Number (TIN) and Certification

 

Single and Joint Filers With No Dependents
Employer's Quarterly Federal Tax Return
Employee's Withholding Allowance Certificate
Request for Transcript of Tax Return

Popular For Tax Pros

Amend/Fix Return
Apply for Power of Attorney
Apply for an ITIN
Rules Governing Practice before IRS

Federal Income Tax Withholding

Salaries, wages, or any other pay for personal services (referred to collectively as wages) paid to nonresident alien (NRA) employees are subject to graduated withholding in the same way as for U.S. citizens and residents if the wages are effectively connected with the conduct of a U.S. trade or business. Under IRC section 864(b), with certain exceptions, the term "trade or business within the United States" includes the performance of personal services within the United States. Any wages paid to a nonresident alien individual for personal services performed as an employee for an employer are generally exempt from the 30% "NRA withholding" if the wages are subject to graduated withholding.

For more information on employer-employee relationships and what constitutes wages, refer to U.S. Citizens and Resident Aliens Employed Abroad - Employees and Wages Paid to U.S. Citizens and Resident Aliens Employed Abroad.

Note: This page contains one or more references to the Internal Revenue Code (IRC), Treasury Regulations, court cases, or other official tax guidance. References to these legal authorities are included for the convenience of those who would like to read the technical reference material. To access the applicable IRC sections, Treasury Regulations, or other official tax guidance, visit the Tax Code, Regulations, and Official Guidance page. To access any Tax Court case opinions issued after September 24, 1995, visit the Opinions Search page of the United States Tax Court.