When I started my U.S. company as a non-resident, I kept coming across the term “nonresident alien” in tax documents. It made me pause and wonder what it actually meant for me and my business responsibilities. Understanding this felt like the first step to navigating U.S. tax requirements.

Answer by: Abdullah Al Naim
4 months ago
A non-U.S. citizen is considered a Non-Resident Alien (NRA) if they do not meet either:
The Green Card Test, or
The Substantial Presence Test for the year (January 1–December 31).
NRAs are usually taxed only on income earned from U.S. sources.