# US Nonresident Tax Return (Form 1040-NR)

> Nonresident aliens file Form 1040-NR to report US-source income that is effectively connected with a US trade or business (taxed at graduated rates after deductions) and fixed or periodical income such as dividends and royalties (usually taxed at 30% or a lower treaty rate). It is due by 15 April if you had wages subject to withholding, otherwise by 15 June. Many Indians file it to recover tax over-withheld on US income or to claim India–US treaty benefits.

Practice: US Tax Services — https://www.industax.com/services/us-tax/

Typical filers include Indians who worked in the US for part of the year, owners of US LLCs with effectively connected income, students and researchers, and investors with US rental property.

We determine residency status for US purposes (including the substantial presence test and exempt-individual rules), prepare 1040-NR with treaty positions and Form 8833 where needed, and align it with the Indian return.

## Key facts

| Item | Detail |
| --- | --- |
| Who | Nonresident aliens with US income |
| ECI | Graduated rates after deductions |
| FDAP | 30% or lower treaty rate |
| Due | 15 April (with wages) / 15 June otherwise |
| Treaty disclosure | Form 8833 where required |

## Who needs this

- Indians who worked in the US part of a year
- Owners of US rental property
- Nonresident members of US LLCs with ECI

## What's included

- US residency analysis
- 1040-NR preparation
- Treaty positions
- Coordination with Indian ITR

## Documents

- W-2, 1042-S, 1099 forms
- Passport and travel dates
- Prior returns

## Process

1. **Determine** — US residency and income types.
2. **Prepare** — 1040-NR with treaty claims.
3. **Align** — Indian return and credits matched.

Work that legally requires a US enrolled agent or CPA is signed by a partner professional; Indus Tax coordinates it.

## FAQs

### Do I need to file 1040-NR if tax was already withheld?

Not always, but if too much was withheld or you have effectively connected income, filing is required or beneficial. Filing also starts the statute of limitations running.

### Can a nonresident claim the standard deduction?

Generally no, except students and business apprentices from India, who can claim the standard deduction under the India–US tax treaty.

### Do I need an ITIN to file 1040-NR?

You need an SSN or ITIN. If you don't have an SSN, the ITIN application (Form W-7) can be submitted with the return.

## Official sources

- IRS — Internal Revenue Service: https://www.irs.gov/

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Canonical page: https://www.industax.com/services/us-tax/form-1040-nr-nonresident-return
Publisher: Indus Tax — CA-led tax and compliance firm (https://www.industax.com). Contact: info@industax.com, 9059139258.
This is general information, not advice for your specific facts.