help!!! tax issues from a student

Hi everyone,
I know everyone's asking a tons of question about taxes, and I apologize because this is another question because I am super confused.

I am a student on F1 status in the U.S. for the past year. I pay 14% on my stipend in the U.S. However, my other international student friends (mostly from Asia) tell me that they pay taxes on their stipend. Is there an issue here??

Also do I file my income in the U.S. in Canada also or I leave it as the U.S.? I will be in the U.S. at least for the next 5 years.

Thanks!

Well, what is the 14% that you pay, if it is not taxes?

You need to report any US income on a 1040NR, and also report all income in Canada.

Yes the tax is usually taken on US income and depending on your income and allowable student expenses you may get all or part back when you file your US and Canadian returns. File a Canadian return even if you had no income in Canada and declare the US income in the appropriate spot on the CDN return.
My son had a large scholarship, worked for 3 years on campus and got all of his deductions back.

-- Fri Jun 25, 2010 11:11 am --

Yes the tax is usually taken on US income and depending on your income and allowable student expenses you may get all or part back when you fitr your US and Canadian returns. File a Canadian return even if you had no income in Canada and declare the US income in the appropriate spot on the CDN return.
My son had a large scholarship, worked for 3 years on campus and got all of his deductions back.

I am a Canadian CGA and UK chartered tax adviser. I specialise in advising UK, Canadian and US Expats on their tax affairs. I can prepare both your US and Canadian tax returns. For further information please contact kmlynch@btinternet.com. http://www.lynch.pro

Kieran Lynch