OPT Fair Tax Act

Key Points

• This bill changes tax rules for international students who stay in the U.S. to work after graduation through a program called Optional Practical Training.
• Currently, these workers and their employers often do not have to pay Social Security or Medicare taxes. This bill would end that exemption and require them to pay into these programs like most other U.S. workers.
• The change would affect thousands of international graduates working in various jobs across the country.
• The goal is to make the tax system more equal by removing a financial reason for companies to prefer hiring foreign graduates over American citizens.
• If this bill becomes law, the new tax requirements would begin in the first month after it is signed.

Impact Analysis

Govbase has not yet run an impact analysis on this legislation.