Non-Resident

What is a 'Non-Resident'

A non-resident is an individual who mainly resides in one region or jurisdiction but has interests in another region. In the region where he or she does not mainly reside, he or she will be classified by government authorities as a non-resident. The classification itself will be determined in each region based on set circumstances such as the amount of time spent within the region during the calendar year. This classification is focused on where the person resides and does not focus on citizenship.

BREAKING DOWN 'Non-Resident'

For example, many individuals live in one state but have business in another region and derive income from sources within that region. If a non-resident generates taxable income within another region, he or she will have to file a separate tax return within the region compared to residents of that region. In other cases, a non-resident may have to pay more to go to college in a state where he or she does not primarily reside.

RELATED TERMS
  1. Resident Alien

    A foreigner who is a permanent resident of the country in which ...
  2. IRS Publication 513

    A document published by the Internal Revenue Service that details ...
  3. Tax Exporting

    The raising of revenue for one jurisdiction through the levying ...
  4. NR6 Form

    A Canada Revenue Service form that must be submitted by non-residents ...
  5. Nonresident Alien

    A non-U.S. citizen who doesn't pass the green card test or the ...
  6. Non-Resident Entertainers' Tax

    A state tax levied against performers whose legal residence is ...
Related Articles
  1. Personal Finance

    Tax Rules For Resident And Nonresident Aliens

    This article examines the definition and tax treatment of these types of non-U.S. citizens.
  2. Markets

    What is a Resident Alien?

    A resident alien is a foreigner who is a permanent resident of the country in which he or she resides but does not have citizenship.
  3. ETFs & Mutual Funds

    KRE: SPDR S&P Regional Banking ETF

    Learn about the SPDR S&P Regional Banking Fund, an exchange-traded fund (ETF) that invests in equities of regional banks located in the United States.
  4. Investing

    This ETF Suggests Now Is The Time To Buy Regional Bank Stocks (KRE, WAL)

    The charts of several regional bank stocks are suggesting that the sector could benefit from a broad move higher. We'll take a look at a few ways to make the trade.
  5. Markets

    Regional Banks Give The Fed A National Perspective

    We all know that the Federal Reserve utilizes monetary policy to control the economy, but what do the 12 regional Federal Reserve Banks do?
  6. ETFs & Mutual Funds

    Regional Bank ETF: Is KRE Still a Buy if Rate Hikes Are Unlikely?

    Get a review and analysis of the SPDR S&P Regional Banking ETF (KRE), and learn why it's a good investment even if interest rates remain low.
  7. ETFs & Mutual Funds

    IAT: iShares US Regional Banks ETF

    Obtain information and analysis of the iShares US Regional Banks ETF for investors seeking particular exposure to regional bank stocks.
  8. Retirement

    How Are 401(k) Withdrawals Taxed for Nonresidents?

    As a U.S. nonresident, deciding what to do with your 401(k) after you return home comes down to which tax penalties, if any, you're willing to incur.
  9. Personal Finance

    Canada: A New Frontier For Real Estate Investors

    This property market is easy to access and provides profitable opportunities.
  10. Markets

    How a Special Administrative Region Works

    A special administrative region is unique to The People’s Republic of China. These regions are created by the central government in China to allow certain areas to operate with a high degree ...
RELATED FAQS
  1. I am a non-U.S. citizen living outside the U.S. and trading stocks through a U.S. ...

    The tax implications for a foreign investor will depend on whether that person is classified as a resident alien or a non-resident ... Read Answer >>
  2. If I haven't realized capital gains from selling a primary residence in the last ...

    My husband and I owned a home, sold it in 2013, and now we are considering buying a home but are uncertain of whether we ... Read Answer >>
  3. Is there a difference in risk between the different regions of the U.S. banks?

    Find out why there are different amounts of risk for different regional banks in the US. It depends on regional exposure ... Read Answer >>
  4. Is it possible to make my primary residence in FL (I currently live in NY) if I have ...

  5. Do we have to pay capital gains tax on the sale of our property?

    We owned our primary residence for 3 years and recently sold it.  ... Read Answer >>
  6. Why is Macau considered a tax haven?

    Discover Macau's tax benefits and learn why the city is known as a tax haven. Macau is a special administrative region in ... Read Answer >>
Trading Center