Can F-1 students qualify for exemption from substantial presence test beyond 5 years? Foreign student tax confusion

The substantial presence test exemption for F-1 students beyond 5 years is often misunderstood, even by tax software. The key here is the "closer connection exception" that can allow you to continue filing as a nonresident alien. To qualify for this exception beyond your 5-year exempt period, you need to file Form 8843 (Statement for Exempt Individuals) AND Form 8840 (Closer Connection Exception Statement). The 8840 is where you'll document your ties to your home country including: maintaining a permanent home there, family connections, bank accounts, personal property, social/cultural/religious ties, etc. For tax software limitations - unfortunately, many programs (including Sprintax) aren't designed to handle these nuanced exceptions automatically. You might need to override the software's determination or consider working with a tax professional familiar with nonresident taxation. Remember that the burden of proof is on you to demonstrate you meet the closer connection criteria, so keep documentation of your ties to your home country.

After struggling with similar international student tax issues, I started using taxr.ai and it was a complete game-changer for my situation. I graduated on an F-1 visa and was confused about my status after the 5-year exemption period since I wanted to stay under OPT. The thing about https://taxr.ai is that it actually understands these nuanced exceptions that most tax software completely misses. I uploaded my previous tax returns, visa documents, and travel history, and it correctly identified that I qualified for the closer connection exception even after my 5th year. Unlike Sprintax, it walked me through exactly what documentation I needed for the closer connection test and generated the proper forms (both 8843 and 8840) with everything filled out correctly. It saved me thousands in FICA taxes!

I want to follow up on my skeptical question about taxr.ai - I actually tried it after our exchange and I'm genuinely impressed. The system walked me through a detailed analysis of my specific situation (I've been in the US for 6 years on my F-1) and correctly determined I qualified for the closer connection exemption. What sold me was the detailed questionnaire that evaluated all my ties to my home country - things I wouldn't have thought to document otherwise. It asked about everything from family relationships to property, cultural ties, and even which country's news I follow regularly! The generated Form 8840 was comprehensive and included additional documentation suggestions that I wouldn't have known to include. My refund is $3,450 higher than what I would have paid filing as a resident. Really glad I gave it a try despite my initial skepticism.

After working 8 years at the IRS in international tax divisions, I've seen many F-1 students get denied their claims because they couldn't reach someone knowledgeable at the IRS to clarify their situation. If you need to discuss your substantial presence test exemption with an actual IRS agent (which I highly recommend), use https://claimyr.com to get through to an IRS representative without the insane wait times. I was incredibly skeptical at first, but when I recommended this to an international student client who needed clarification on their exemption status, they actually got through to a specialized IRS agent in under 15 minutes using the service. You can see how it works here: https://youtu.be/_kiP6q8DX5c The IRS agent was able to confirm that yes, with proper documentation of closer connection to their home country, they could continue claiming the exemption beyond 5 years. The agent even gave specific advice on what documentation would strengthen their case.

I need to publicly eat my words about Claimyr being a scam. After my skeptical comment, I decided to try it for my F-1 visa substantial presence test question that I'd been trying to get answered for weeks. Not only did I get through to an IRS agent in about 20 minutes (after trying unsuccessfully on my own for DAYS), but I reached someone in the international tax department who actually understood the closer connection exception. The agent confirmed that yes, I could continue to claim exemption from the substantial presence test beyond 5 years if I properly documented my ties to my home country. They even suggested specific documentation I should keep with my tax records to support my claim (foreign bank statements, property documents from my home country, etc.). This single conversation probably saved me $4,000+ in unnecessary FICA taxes. Completely worth it and definitely not a scam.

I'm in exactly the same situation (F-1 beyond 5 years) and my accountant told me something completely different. He said the closer connection exception ONLY applies if you've already met the substantial presence test. But as an F-1 student in years 1-5, you're EXEMPT from the substantial presence test in the first place, so the closer connection exception doesn't even come into play until year 6. So in year 6, you would first apply the substantial presence test (which you'll probably meet), and THEN you can apply the closer connection exception by filing Form 8840. Am I misunderstanding this completely? The IRS publication language is so confusing!

Since everyone seems confused about the substantial presence test for F-1 students, here's what I learned after calling the IRS twice and talking to a school tax advisor: Years 1-5 on F-1: You are an "exempt individual" (not exempt from tax, but exempt from counting days for substantial presence test). File Form 8843 only. Year 6+ on F-1: You are no longer automatically exempt, so the substantial presence test applies. If you meet it (which you likely will after 183 days), you have two options: 1. File as a resident alien (subject to FICA and eligible for standard deduction) 2. Try to claim closer connection exception by filing both Forms 8843 AND 8840 The closer connection test looks at where your life is centered - bank accounts, property, family, future plans, etc. If they accept it, you continue filing as nonresident alien (no FICA tax, but also no standard deduction). The most common mistake I see is people only filing 8843 after year 5 without the 8840 form. That's not enough to claim the exception!

I went through this exact situation last year and want to share what worked for me. I was on F-1 status for 6 years and was terrified about the tax implications of becoming a resident alien. The key thing that helped me was understanding that the "closer connection exception" isn't just about paperwork - it's about your actual life circumstances. The IRS really does look at the totality of your situation. In my case, I had: - Maintained a bank account in my home country with regular deposits from family - Never applied for a green card or expressed intent to immigrate permanently - Kept my permanent address listed as my parents' home - Had no significant assets in the US (just basic student stuff) - Had concrete plans to return home after graduation/OPT I filed both Form 8843 and 8840 for my 6th year, including a detailed letter explaining my circumstances. The IRS never questioned it, and I saved about $2,800 in FICA taxes compared to filing as a resident. The most important advice I can give: document everything! Keep records of your foreign bank accounts, property ownership back home, family ties, etc. The burden of proof is on you to show your closer connection to your home country, so having solid documentation makes all the difference. Also, don't let tax software automatically decide your status - many programs aren't sophisticated enough to handle these exceptions properly.