H-1B Tax Filing Explained – What You Need to Know

Hey there!

Tax season can feel overwhelming, especially if you're filing as an H-1B visa holder for the first time. Unlike when you were on an F-1 visa, your tax obligations have changed, and it’s crucial to file correctly to avoid penalties.

With the April 15, 2025, deadline approaching, here’s what you need to know.

What’s Different Now That You’re on an H-1B?

As an H-1B employee, taxes are automatically deducted from your paycheck, including:
✅ Federal & state income taxes
✅ Social Security & Medicare (FICA) taxes (which F-1 students who’ve lived in the U.S. for less than 5 years are exempt from)

Your employer should provide you with a W-2 form, summarizing your earnings and tax withholdings for the year.

If you earned additional income outside of your job—such as freelance work or investments—you may also receive a 1099 form and need to report that income separately.

Which Tax Form Should You File?

Your tax filing depends on the Substantial Presence Test (SPT):

• If you meet the SPT, you’re considered a resident alien for tax purposes and should file Form 1040.

• If you do not meet the SPT (e.g., you were in the U.S. for only a short period in your first year on H-1B), you may need to file Form 1040-NR as a nonresident alien.

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How to File Your Taxes

You have two main options:

1️⃣ Do It Yourself – You can file directly through the IRS using Form 1040 / 1040-NR. If you worked in multiple states, you may need to file separate state tax returns. Some states (like Texas and Florida) don’t have income tax, so check if your state requires filing.

2️⃣ Get Professional Help – If you're unsure about deductions, tax treaties, or multi-state filings, a tax service can save you time and ensure accuracy. Sprintax, Roam’s trusted tax partner, specializes in helping international professionals maximize refunds and avoid mistakes.

Don’t Miss the Deadline!

No matter how you file, double-check your information and submit before April 15, 2025, to stay compliant.

Need more guidance? Check out our blog on H-1B tax filing with Sprintax for a step-by-step breakdown.

✅ Taxes may not be the most exciting part of working in the U.S., but getting them right now will save you headaches later!

Best,
Ansh Mundra & Amanda Binu
The Roam Growth Team