FICA taxes during OPT

This is good news! I am not sure how many F1 students file refund for FICA taxes during OPT, but it is interesting to know that, social security and medicare taxes should not be withheld unless the student is considered a resident alien. But are we considered prospective resident alien? the answer is No. Unless your stay of period is not more than 5 yrs, you are still a nonresident alien. And did you forget to file for the FICA taxes for the past years, no worries, just file a seperate form for each year and you will get your refund. Isnt it great?

And btw, why can't employers include the exemption in our pay checks? The answer is, it is always easy for them to give a pay check equivalent to all other employees and there is a clearly laid out procedure for us to claim the refund.

Here are some of the websites that has all the info abt how to file for the refund. The most important thing we have to do before filing the FICA taxes with IRS is, to ask the employer to give the refund. But if the employer cannot refund, we have to obtain a letter from them stating that they are unable to refund X amount of FICA taxes.

http://taxipay.blogspot.com/2008/03/non-resident-exempt-individual-social.html

http://www.irs.gov/businesses/small/international/article/0,,id=129427,00.html

I heard from some of my friends that employers don't like to give these kind of statements, but it is a matter of making them understand the exemption F1 students have in paying these taxes. You can always show them the IRS link and try your luck. If the employer is still not convinced, you can say in the application that you are unable to get the letter from your employer and include reasons why.

The application has to be filed seperately from tax returns and you can find where to send the application below

http://www.irs.gov/file/content/0,,id=105693,00.html

Most of us tend to file taxes online as a resident by using form 1040 but that makes you not eligble to claim for FICA taxes since IRS treats you as a resident alien. Please click comments for more information.

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I filed for FICA taxes refund for my opt period from Oct 2007 to Sept 2008. I used seperate forms for each year but posted together with the letter from employer and refund amount calculated (used my pay checks to show the total). This is the timeline of the process.

March 22, 2008: Mailed to the nearest IRS service center which is Fresno, CA.

April 15: Called IRS to confirm that they received the application and to update my address

April 24: got a letter that they haven't completed all the research necessary for a complete response

May 22: got another letter saying that they are forwarding my application to IRS Philadelphia

June 20: got a package with a copy of my application (stamped Received) and contact info if i have any questions. (pleasantly surprised of how they have been in touch with me all through the process)

July 06: Confirmed my 2007 claim is processed and denied 2008 claim. This is expected because I have filed Form 1040 for 2008 (did this intentionally). Also they have sent my 2008 information back and suggested I can file amended 1040r and refile. A contact person info if I have any questions.

Aug 11: Called IRS Philadelphia to find out the estimate time to receive the refund. I was told it takes 46 weeks to get the refund. Unbelievable!!! I have couple of questions still need to find answers for:
1. Is the 46 weeks the maximum time and doesn't mean it takes that long?
2. How soon others got their refunds?

Aug 31: Got the check from the US dept of Treasury!!!!! Awesome!

P.S: I highly appreciate any comments or if you have got the refund or got rejected or any kind of input.