Aliens Employed in the United States and Social Security Taxes
Wages paid to resident aliens employed within the United States by an American or foreign employer are subject to Social Security/Medicare taxes under the same rules that apply to U.S. citizens.
Wages paid to nonresident aliens employed within the United States by an American or foreign employer, in general, are subject to Social Security/Medicare taxes for services performed by them within the United States, with certain exceptions based on their nonimmigrant status.
Aliens Exempt from US Social Security Taxes
A-visas: Employees of foreign governments, their families, and their servants are
exempt on salaries paid to them in their official capacities as foreign government employees.
D-visas: Crew members of a ship or aircraft may be exempt if the vessel is a foreign vessel and the employer is a foreign employer, or if the services are performed outside of the United States.
F-visas, J-visas, M-visas, Q-visas: Nonresident alien students, scholars, professors, teachers, trainees, researchers, and other aliens temporarily present in the United States in F-1,J-1,M-1, or Q-1/Q-2 nonimmigrant status are exempt from Social Security / Medicare Taxes on wages paid to them for services performed within the United States as long as such services are allowed by the United States Citizenship and Immigration Services (USCIS) for these nonimmigrant statuses, and such services are performed to carry out the purposes for which they were admitted into the United States.
Exmept Employment includes:
Limitations on exemption:
|G-visas: Employees of international organizations are exempt from Social Security/Medicare taxes on wages paid to them for services performed within the United States in their official capacity as employees of such organizations.
H-visas: Certain nonimmigrants in H-2 and H-2A status are exempt from Social Security/Medicare taxes.
The United States has signed Totalization Agreements with certain countries, which may affect an alien's liablity for Social Security or Medicare taxes. The complete texts of the Totalization Agreements may be found on the Social Security Administration's web site.
Wages paid for certain types of services are exempt from Social Security/Medicare taxes.
Examples of exempt services: