Social security taxes are based on the wages, income, salary or commissions, etc., that a worker gets from their job. H-2A agricultural workers hired by employers in the US are exempted from paying the US Social Security and Medicare taxes.
Yes, they don’t have to pay for Security and Medicare Taxes, be it resident aliens or non-resident aliens. However, the agricultural services performed under the H-2A visa are subject to US federal tax if backup holding exists. If you are confused about the tax laws, you can visit a law firm for more details. Moreover, you can also visit their page for more details regarding the taxes paid by these workers. However, the agricultural services performed under the H-2A visa are subject to US federal tax if backup holding exists.
When it comes to H-2A workers, a common question that arises is whether they have to pay for social security charges. Or are they exempted from it? If yes, then in what conditions and requirements? Let us know more about it in this blog.
There is a lot of confusion among foreign agricultural workers regarding taxes. Federal taxes include income tax and Social Security and Medicare tax. These workers are expected to pay social security taxes, but they fail to understand that they must report their income to the IRS. They will have to file an income tax return on their wage at the end of their one year of service. To pay these taxes, an H-2A worker must fill out certain forms that are different for resident and non-resident aliens under the Internal revenue code.
The worker’s wages are exempt from social security taxes under the condition that their jobs are temporary and will last up to 1 year and not more than two years. Therefore, the compensation they receive from US employers is not considered regular wages, thus exempting them under the IRS (Internal Revenue System). No Social Security charges, but they are subject to paying income taxes.
Conclusion
It can be highly confusing to the workers who haven’t paid any taxes yet. A law firm can guide you through the whole process. Moreover, you can visit their page for more details. Taxes can be confusing, but when professionals guide you, you can be saved from a lot of troubles.
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