USA Tax Refund

We developed an easy application where you can file your US tax return in 4 steps & 4 minutes

Tax Services for the USA

Everybody who works abroad has to pay an income tax. You will be pleased to know that a big part of it can be refunded. And this is exactly what Dendax specializes in!
Dendax offers professional tax refund services from the USA for everyone who worked abroad. We refund Federal tax and State tax from all the states of the USA. Local tax is also refundable in several states.

US Jobs Act 2018: how it affects taxes for J1 Visa W&T students

The Tax Cuts and Jobs Act is a new tax bill voted into law in the United States.Here is how it affects J1 Visa students working and travelling in the USA in 2018. Check our dedicated article on our blog to know how the new Jobs Act influences the situation of J1 Visa students.

What taxes are paid in the USA?

The personal tax structure in the USA consists of several types of taxes:
  • Federal Tax
  • State Tax
  • Local Tax
  • Social Security and Medicare Taxes
The major tax is the Federal Tax. It is levied on all income earned by any individual working in the USA. The federal tax rate depends on the earned wage and can reach up to 25%. Participants in the J-1 work and travel programs are usually paying 10-15% Federal Income Tax.

The State Tax is imposed in addition to the Federal tax. It is levied on all income earned by any individual working in the USA except in the following states: Alaska, Florida, Nevada, New Hampshire, South Dakota, Texas, Washington and Wyoming. The rate of the state tax depends on the given state and can reach up to 15%. Some states also apply a different system of tax allowances. Therefore, it can happen that a different portion of the federal and state tax can be refunded.

Local Tax charged on personal income is used in some states. This tax usually does not exceed 3% of the income. In the majority of cases, this tax will not be levied on your income. The process of refunding local taxes is complicated and in some cases not possible at all. Dendax offers the Local Tax Refund only from the state of New York.

Social Security and Medicare Taxes can be deducted from your wage in some cases. Please have in mind that all people working with J1 visa are NOT subject to paying Social Security and Medicare Taxes, except those students, who work in USA more than 183 days. These taxes need to be deducted from all US residents, as well as from all H2B visa participants and individuals treated like residents.

If your employer deducts these taxes from your wage, ask your employer to correct this mistake. The process of refunding Medicare and Social Security tax is longer and generally more problematic. You need to have your DS-2019 form, the exact name, address and phone number of your employer and if possible also the W-2 form from your employer.

Taxable income Tax due
0 - $9,325 10% of taxable income
$9,236 - $37,950 $932,50 + 15% of the amount over $9,325
$37,951 - $91,900 $5,226.25 + 25% of the amount over $37,950
$91,901 - $191,650 $18,713.75 + 28% of the amount over $91,900
$191,651 - $416,700 $46,643.75 + 33% of the amount over $191,650
$416,701 - $418,400 $120,910.25 + 35% of the amount over $416,700
$418,401 + $121,505.25 + 39,6% of the amount over $418,400
What documents you need for my tax refund?
In order to get your income tax refund in as quickly as possible and to apply for the highest amount, you need to have
  • A W-2 form or a copy of your final cumulative payslip from each employer.
  • A copy of your Social Security Card is required, so that we know your Social Security Number.
What is a W2 form?
The W-2 is a form, that each employer has to give to his employees at the end of the year. The form reports the employee's annual wage and the taxes withheld from each paycheck. The US employers must send the Form W-2 to employees before January 31 of each calendar year. The Form W-2 is not based on the fiscal year, but reports income on a calendar year (January 1 to December 31).
What is the Social Security Number?
The Social Security Number (SSN) is a nine-digit number issued to US citizens, permanent residents or temporary workers. Its primary purpose is to track individuals for the purposes of taxation. The Social Security Number proves that the employee is working legally. Be careful and keep your Social Security Card safe.

What if you do not have all the necessary documents?

Even if you do not have all the above mentioned documents, you can still apply for your tax refund. The only thing we will need is a correct Social Security Number. Dendax tax specialists will contact your former employers and will claim copies of your payment documents as your certified tax agent. Do not hesitate to contact our team for further information.
What type of an amount could I receive?
The average refundable amount for the USA is 970 USD. You can make a calculation for your personal refund based on your payment documents. Just use our free tax refund calculator.
Please have in mind that the tax refund calculation is approximate. The final decision in regards to the amount of the refund depends on the IRS – Internal Revenue Service. However, Dendax guarantees you that we will refund the highest possible amount due to our long experience and detailed knowledge of the US tax refund legislation.

How many years back can I apply for a tax refund?
According to the IRS you can go back as far as 4 years from the year in which you apply. 

How long does it take to get my tax refund?
On average it takes 8 to 12 weeks for the federal tax returns and a minimum of 8 to 14 weeks for the State tax returns to be processed by the tax offices. This is counted from the time your documents are received by the tax authorities. The actual time may vary on a case by case basis.

What are the penalties for late tax return filing/tax paying?

If you need any information about the penalties for late tax return filing and late taxes paying check this dedicated article on our blog.