Am I considered a US resident for tax purposes with F-2 to F-1 visa change?

Wait, so if OP was on F-2 for almost 5 years and just switched to F-1, does the 5-year exempt clock restart? Or does time on F-2 count toward the 5 calendar years for F-1? This is confusing!

Thanks for the detailed explanation! I didn't realize being on student visas made me an "exempt individual." Does this mean most of my time in the US doesn't count toward the substantial presence test? I'm a bit confused about one thing though - if I've been here for almost 5 years on F-2 and just recently switched to F-1, am I approaching the end of my exempt status? Would I become a resident for tax purposes soon?

The F-1 and F-2 exempt periods are tracked separately, so switching from F-2 to F-1 doesn't restart the 5-year clock completely, but it does change how it's calculated. The exempt status follows the primary purpose of your stay. Most of your time on F-2 likely doesn't count toward the substantial presence test. For F-1 students, the 5-year exemption period starts when you first enter the US on a student visa. After those 5 years, your days start counting toward the substantial presence test, potentially making you a resident alien for tax purposes in the future.

How accurate is this tool? I'm in a similar situation (J-1 visa for 3 years, now on H-1B) and have been getting mixed answers from different tax advisors. Does it actually account for all the exceptions like the "exempt individual" rules?

Do you need to provide your SSN or ITIN to use it? I'm always hesitant to input that kind of information online.

The tool is extremely accurate - it uses the same calculation methods the IRS does and specifically accounts for exempt individual status based on different visa types. It considers all the technical details like the 5-year limit for students and scholars. You don't need to provide an SSN or ITIN to use the basic residency calculator. You just input your visa types, entry/exit dates, and answer a few questions about tax treaties. The system is secure, but they're careful about what information they require up front.

Does this actually work? I tried calling the IRS three times last month and gave up after being on hold for over an hour each time. How much does this service cost?

Sounds like a scam to me. Why would the IRS talk to some random third party about your tax situation? Don't they have strict privacy protocols?

It absolutely works - they don't talk to the IRS for you. The service just handles the waiting on hold part. When an agent answers, you get a call, and you're the one who talks directly to the IRS. It's like having someone physically wait in line for you. Regarding privacy, the service doesn't access any of your personal information. They simply initiate the call to the IRS general helpline and wait on hold, then connect you directly once an agent is available. You're the only one who discusses your specific tax situation with the IRS agent.

That's a great point about the dividend taxation! I didn't even think about that aspect. Do you know if capital gains (from selling stocks) are treated differently for residents vs. nonresidents too?

Capital gains are indeed treated differently! For nonresident aliens, capital gains from stock sales are generally exempt from US tax unless they're connected with a US trade or business (which most personal trading isn't). But if you're a resident alien, you're taxed on worldwide capital gains just like a US citizen. This is actually one situation where being a nonresident might be advantageous for certain types of investments. But it gets complicated if you have significant US presence but aren't quite meeting the substantial presence test. Always good to consult with a tax professional who specializes in international tax issues before making major investment decisions.

Yes! This happened to me too. I opened an account with [redacted broker name] and traded for months before finding out they don't fully support nonresident accounts. Had to transfer everything to a different brokerage that specializes in international clients. What a mess.

Thanks for the warning! I hadn't even considered that some brokerages might not accept non-residents. Do you know which brokerages are better for international students in my situation?

I've had good experiences with Charles Schwab International and Interactive Brokers - both are pretty accommodating for non-resident aliens and have clear processes for tax reporting. Fidelity is also solid if you end up being classified as a resident alien. The key is being upfront about your visa status during account opening. Most major brokerages will ask about your tax residency status and some will even help you figure it out. Just avoid the newer app-based brokers that might not have the infrastructure to handle international tax situations properly. Also, whatever you choose, make sure they can issue the proper tax forms (like 1042-S for non-residents) at year-end!

This is really helpful advice! I didn't know about the CBP website for getting I-94 travel history. That sounds like it would make the calculations much more straightforward than trying to remember all my entry/exit dates. You're right about the professional consultation being worth it given the investment amount. I'm realizing there are so many nuances I hadn't considered - like how my F-2 status might be tied to my spouse's/parent's visa situation during that time period. Do you happen to know if the 5-year F-1 exempt period calculation starts fresh when you switch from F-2 to F-1, or if there's some overlap/carryover? I'm trying to figure out if I'm close to the end of my exempt status or if I have more time before my days start counting toward the substantial presence test.

The F-1 exempt period calculation is a bit tricky when transitioning from F-2. Generally, the 5-year exemption for F-1 students starts from when you first entered the US in F-1 status (March 2024 in your case), not when you were on F-2. However, if you were previously in the US as an F-1 student before switching to F-2, those earlier F-1 years would count toward your 5-year limit. Since you went directly from F-2 to F-1, you should have the full 5-year exemption period starting from March 2024. This means you'd be exempt from the substantial presence test until approximately March 2029, assuming you maintain F-1 status. The F-2 period (December 2019 - March 2024) would have its own exemption rules that typically follow the primary visa holder's status. Those days likely don't count toward your substantial presence test either, but for different reasons. I'd definitely recommend getting that I-94 history and consulting with a tax professional to confirm these calculations for your specific situation. The CBP website (i94.cbp.dhs.gov) makes it easy to get your complete travel history, which will be invaluable for any professional review.