The Revenue Ruling includes the following:

1. No longer will Nonresident Aliens be required to claim the $16.60 additional dollar amount on their Form W-4 Employee's Withholding Allowance Certificate.
2. For 2006 income Nonresident Aliens are requested to file a new Form W-4 Employee's Withholding Allowance Certificate with Human Resources. The IRS has issued new instructions for how an NRA must complete Form W-4 so be sure and follow the instructions posted below and on the Human Resources TCC Online. This means that anyone on TCC Payroll whose immigration status is F1, J1 or 2, or H1B and is not considered a Resident Alien for tax purposes can complete a new 2006 Form W-4. The 2 exceptions to this requirement are if you are a student from India (you do not need to complete a new Form W-4) or if you are claiming a tax treaty benefit.

How to Complete IRS Form W-4 ("Employee's Withholding Allowance Certificate") for individuals who are not a U.S. Citizen or Permanent Resident for the calendar year beginning January 1, 2006:

Nonresidents, who are employees and receive wages subject to graduated withholding, are required to fill out a Form W-4, "Employee's Withholding Allowance Certificate".

Because of the restrictions on a nonresident alien's filing status, the limited number of personal exemptions allowed, and the fact that a nonresident cannot claim the standard deduction, the W-4 should be filled out following these instructions:

1. Box 3 - Check "Single" marital status on line 3 (regardless of marital status)

2. Box 5 - Enter "1" for the total number of allowances (Residents of American Samoa, Canada, Korea, Mexico, The Northern Mariana Islands and Students from India may claim more allowances. See special section below)

3. Box 6 - Enter the phrase Non Resident Alien or "NRA" above the dotted line on line 6

4. Box 7 - Do not complete as "Exempt."

Special Rules for Residents of: American Samoa, Canada, Korea, Japan, Mexico, The Northern Mariana Islands and Students from India

Residents of: American Samoa Canada Mexico Northern Mariana Islands	Box 3 - Must check "Single" (regardless of marital status) Box 5 - May claim same personal allowances as U.S. Citizens Box 6 - Enter the phrase Non Resident Alien or "NRA" above the dotted line on line 6
Residents of: South Korea	Box 3 - Must check "Single" (regardless of marital status) Box 5 - May claim "1" plus additional allowances for spouse and any dependents present in the U.S. Box 6 - Enter the phrase Non Resident Alien or "NRA" above the dotted line on line 6
Residents of: India (Students Only)	Box 3 - Must check "Single" (regardless of marital status) Box 5 - May claim "1" plus additional withholding allowance for spouse and any dependents present in the U.S. Box 6 - No additional tax withholding amount is required

2007 W-4 is available under link Forms.