Filing Taxes as a Student: Understanding Your Requirements, Even with No Income

Navigating the world of taxes can be daunting, especially for students. Many students wonder if they need to file taxes, particularly if they have little to no income. This article provides a comprehensive guide to help students understand their tax obligations, potential benefits, and available resources.

Do You Need to File? Understanding the Basics

Generally, most international students & scholars who are on F, J, M or Q visas are considered nonresidents for tax purposes. As a Foreign National student or scholar, you may need to file tax forms each year with the IRS, even if you earned no income.

Even with little or no earnings, filing a tax return can still be beneficial. You may qualify for refundable tax credits to potentially receive a tax refund. Understanding when and why to file can help you maximize potential benefits and avoid missing out on money you’re entitled to, even if you had no income this year.

Any year you have minimal or no income, you may be able to skip filing your tax return and the related paperwork. Even if you earned income last year, if it falls below the IRS minimum you don't have to file a tax return.

The IRS also adjusts the minimum amount of earned income from year to year for inflation. For example, if you are filing as Single and are under 65 years old in 2025, you wouldn't typically need to file a federal tax return if you made $15,000 from a job where you received a Form W-2 and had no other income. The 2025 Standard Deduction for filing as Single is $15,750. Since this is greater than your income you would not have any income tax and would not need to file a tax return. However, if you also have $600 in self-employment income then you are required to file a tax return.

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If you have no tax liability, the Internal Revenue Service (IRS) will not penalize you if you do not file (although you must still file Form 8843). However, the terms of your visa require that you stay in compliance with all laws of the United States, including income tax filing.

Determining Your Filing Status: Dependent vs. Independent

Your filing status significantly impacts your tax obligations and potential benefits. If you are a full-time student under the age of 24, you can be claimed as a dependent on your parent’s or guardian’s taxes. However, you can also file as an independent taxpayer. Whether you file as a dependent or independent taxpayer can impact your eligibility for tax credits.

For federal income tax purposes, if you are a minor who is being claimed as a dependent, you must file taxes if you made more than $12,950. If you did not make more than $12,950, you will not owe taxes. However, you may have worked for an employer that withheld taxes from your paycheck.

For Illinois state income tax purposes, if you are a minor who is being claimed as a dependent, you must file taxes if you made more than $517 a month.

In order to be a dependent, you must be under the age of 19, or if you’re a full-time student, you must be under the age of 24.

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Why File Even with No Income? Potential Benefits

Even if you aren't required to file, there are situations where filing a tax return can be advantageous:

Refund of Withheld Taxes: “If you worked during the tax year, but didn’t earn enough to trigger the filing requirement, you still might want to file a federal tax return to get back any federal income tax that was withheld from your paychecks during the year.
Establishing a Financial Record: By filing a tax return each year, you establish a historical record that can be useful in the future. Credit card companies and lenders usually want to see past tax returns even if you have perfect credit and don't really need to borrow any money but want to so that you don't use up your available cash.
Qualifying for Tax Credits: The IRS offers a number of tax credits that you can take directly off your taxes rather than your income like a deduction. If you qualify for tax credits, such as the Earned Income Tax Credit or Additional Child Tax Credit, you can receive a refund even if your tax is $0.

Understanding Tax Credits and Deductions for Students

Students have special tax situations and benefits. Here are some key tax credits and deductions to be aware of:

American Opportunity Tax Credit (AOTC): The American Opportunity Tax Credit (AOTC) is a credit for qualified education expenses paid for an eligible student for the first four years of higher education. You can get a maximum annual credit of $2,500 per eligible student.
Lifetime Learning Credit (LLC): The Lifetime Learning Credit (LLC) is for qualified tuition and related expenses paid for eligible students enrolled in an eligible educational institution. This credit can help pay for undergraduate, graduate and professional degree courses - including courses to acquire or improve job skills. There is no limit on the number of years you can claim the credit. It is worth up to $2,000 per tax return.
Student Loan Interest Deduction: You may be eligible to deduct the interest you paid on your student loans on your taxes. You may also receive a 1098-E form, which reports the amount of interest you paid on student loans in a calendar year. If you have outstanding loans with more than one servicer, you'll receive a 1098-E from each servicer to which you paid at least $600 in student loan interest.

Students who are dependents on their parents' tax returns aren’t generally eligible to claim education credits.

Scholarships, Grants, and Work-Study Programs

Scholarships and Grants: If you are receiving scholarships or grants, they are usually tax free. If your scholarship is from sources inside the United States, the portion of your scholarship used for room and board as well as for other “non-educational expenses” is taxed at a flat rate. has negotiated tax treaties may be able to reduce the amount of tax on their scholarships. You will receive Form 1042-S from your sponsor to report the taxable portion of your scholarship.
Work-Study Programs: If you participate in a work-study program, you will be working in a part-time job, usually for your college. Your income from the job is taxable and you’ll need to complete a W-4 so the college withholds the right amount of federal income tax. Earnings from a work-study position are subject to state and federal payroll taxes.

If you're filing a tax return, you may need to include scholarships and grants as taxable income.

Key Tax Forms You Might Encounter

Form W-2 (Wage and Tax Statement): YES! employer you should have received Form W-2, Wage and Tax Statement that summarizes your previous year’s income and taxes withheld. W-2 documents are sent by the end of January. If you have worked for compensation and not yet received your W-2, please contact your Human Resources department. If you had more than one employer you should get a W-2 from each employer. It is issued by the end of January for the previous year.
Form 1099: The 1099 form documents miscellaneous income. This form reports miscellaneous income.
Form 1042-S: Note: Only Nonresident Aliens receive this form. If your tax status changes to a Resident Alien you will not get a 1042-S.
Form 1098-T (Tuition Statement): You may receive a 1098-T form your school.
Form 1098-E (Student Loan Interest Statement): You may also receive a 1098-E form, which reports the amount of interest you paid on student loans in a calendar year.
Form 1040(s): It is the main form when filing taxes and reporting income.

NOTE: This is not a complete list of tax forms.

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Special Considerations for International Students

Generally, most international students & scholars who are on F, J, M or Q visas are considered nonresidents for tax purposes.

As a Foreign National student or scholar, you may need to file tax forms each year with the IRS, even if you earned no income.

Your tax status (nonresident or resident) is separate from your immigration status. You may be a resident for tax purposes even though you are still a non-resident for immigration purposes. GLACIER Tax Prep will automatically determine your residency status for tax purposes.

If you are a non-resident alien you must file 1040NR. Failure to file the correct form is fraud and can place your immigration status in jeopardy.

Tax Treaties: has negotiated tax treaties with many countries of the world. tax on your income. If you are eligible for a tax treaty benefit, more tax treaty information can be found IRS tax treaties webpage. Business and Financial Services can assist Foreign Nationals with tax treaty benefit analysis.
FICA Taxes: F-1 and J-1 nonresident aliens are exempt from FICA (Social Security and Medicare) taxes on wages earned from legal employment in the United States. If your employer withheld FICA taxes in error, you can request a refund from your employer first. If your employer refuses, please file the appropriate tax forms (Form 843) with the IRS to request a refund from the government. Please contact the IRS or a tax professional for assistance.
GLACIER Tax Prep: GLACIER Tax Prep software will determine if you are a resident or a nonresident for tax purposes. Access to GLACIER Tax Prep will be done via Sunapsis.
ITIN: An ITIN is an Individual Tax Identification Number. The IRS issues ITINs to foreign nationals who have federal tax reporting requirements but are not eligible for a social security number. There are several ways to apply for an ITIN, including visiting a Certified Authorized Agent in the Champaign-Urbana area.

State and Local Taxes

Some students and scholars must also file a state and/or municipal (local) tax form. Sprintax will help determine your State residence status.

All resident and nonresident aliens for tax purposes who earned income in the state of Illinois in 2024 must complete and file Illinois Form 1040. If you worked in another state in 2024, then you will need to file a return for that state. In addition to your Federal tax return you must complete a tax return for each state in which you worked during the year.

If you worked in the State of Illinois and another state during the year, you’ll need to file “part-year resident” forms for the other state(s) where you worked during the year. Multiple state tax returns can become complicated because you must report total income earned during the year to both states then calculate a prorated amount of tax applicable to the earnings from each state.

Important Dates and Deadlines

Your taxes are due on April 15, 2023. File your tax return as early as possible.

W-2 documents are sent by the end of January.

Resources and Assistance

The IRS has a helpful tool that can help you determine if you need to file taxes this year.

Sprintax: The Office of Global Services has arranged access to Sprintax for you. The code can be used for Federal taxes. OGS also encourages students to utilize resources on Sprintax’s blog. After you finish your federal return, Sprintax will inform you if you need to complete a state tax return. If so, you will have the option to use Sprintax for an additional fee.
IRS Website: Visit the IRS Substantial Presence Test webpage for more information.
Tax Professionals: Please contact a tax professional for assistance. You may also call the Philadelphia Office at (267) 941-1000. This is not a toll-free number, but the operators are familiar with nonresident tax issues.
University Resources: The information on the Office of Global Services webpage is provided as guidance and is not intended to be legal tax advice. The Office of Global Services staff are not tax specialists and are NOT qualified to answer international students/scholars questions regarding taxes. The Office of Global Services is providing Northeastern students with a unique code to cover the costs of filing a federal tax return and Form 8843 through Sprintax. These codes are limited and available on a first-come first-serve basis, so don’t put off your taxes to the last minute!

Common Mistakes and How to Avoid Them

Filing the Wrong Form: If you are a non-resident alien you must file 1040NR. Failure to file the correct form is fraud and can place your immigration status in jeopardy.
Inaccurate Information: If you've reported your information accurately, in most cases they can only go back three years.
Falling for Scams: Be aware of scams.

Addressing Specific Scenarios

Received Form 1042-S but no Form W-2: If all of your employment-based income was exempt from tax under a tax treaty or if you only received a scholarship or a fellowship, then you will not receive a W-2.
Nonresident Alien with FICA Taxes Withheld: F-1 and J-1 nonresident aliens are exempt from FICA (Social Security and Medicare) taxes on wages earned from legal employment in the United States. If your employer withheld FICA taxes in error, you can request a refund from your employer first. If your employer refuses, please file the appropriate tax forms (Form 843) with the IRS to request a refund from the government. Please contact the IRS or a tax professional for assistance.
Recovery Rebate Credit (RRC): tax return to claim the Recovery Rebate Credit (“RRC”). Unfortunately, the IRS is erroneously issuing these rebate checks to nonresident aliens who are ineligible for these payments. If you receive such a payment in 2025, it is an error.
Prior Year Errors: They will provide instructions for how to amend your federal tax return. You will most likely need to correct your state tax return, too.

The Importance of Filing on Time

If you owe additional tax for the year, you must file a return and pay those taxes on time to avoid late fees.

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