Tax Deductions

As a student from India, I am eligible for the standard deduction based on the tax treaty. How do I make sure this is added to my return?

Ensuring Your Eligibility for Standard Deduction as an Indian Student is Reflected in Your Tax Return

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Tax Expert Team

Tax Expert

3 min read
Published on 1 month ago
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As a Student from India, I Am Eligible for the Standard Deduction Based on the Tax Treaty. How Do I Make Sure This Is Added to My Return?

As a student from India, you may be eligible for the standard deduction under Article 21(2) of the United States-India Income Tax Treaty. This provision allows qualifying students to claim a standard deduction on their U.S. tax return, even if they are not U.S. residents.

How to Claim the Standard Deduction

  • Return to the Taxpayer Information section of your tax return.
  • Look for the question: “Are you a student or business apprentice from India?”
  • Select YES if this applies to you.
  • By selecting YES, the system will automatically apply the standard deduction of $15,000 for tax year 2025.

Ensure that your tax preparation software or form includes this specific question. If you are filing manually or using a different platform, you may need to consult IRS Publication 519 for guidance on treaty benefits.

Important Notes

  • The standard deduction amount for qualifying Indian students is $15,000 for 2025.
  • This benefit is based on the U.S.-India tax treaty and applies only to students or business apprentices from India.
  • Always verify eligibility and ensure proper documentation is available when filing.

Source:

Publication 519

Publication 505

Disclaimer: Always verify details with official Federal or State Department of Revenue Forms and Instructions before filing your return.

Key Takeaways

  • Understanding tax deductions can significantly reduce your tax liability
  • Keep detailed records of all tax-related expenses and documents
  • Consult with a tax professional for complex situations

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