This bill was recently introduced in the Senate and is currently being reviewed by the Committee on Finance. It is in the early stages of the lawmaking process and is considered active. There are no upcoming votes scheduled at this time.
Legislative Progress
Senate
House
President
Law
Unlikely to pass
This bill addresses a specific tax exemption that is often debated along party lines. It lacks the broad support usually needed to pass through the Senate Finance Committee.
Key Points
This bill would require international students working in the U.S. through the Optional Practical Training program to pay Social Security and Medicare taxes. Currently, these students are often exempt from these taxes for their first few years of work after graduation.
The change would affect thousands of foreign graduates from U.S. universities who stay in the country to work in fields like technology and engineering. It would also require the companies that hire them to pay their share of these payroll taxes.
Supporters argue this makes hiring more fair for American workers. Right now, hiring an international student can be about 8 percent cheaper for a company because they do not have to pay the employer portion of Social Security and Medicare taxes.
If passed, the new tax rules would start in the first month after the bill becomes law. It would only apply to graduates working in the training program, not to students who are still attending classes.
Impact Analysis
Govbase has not yet run an impact analysis on this legislation.
Milestones
2 milestones2 actions
Sep 30, 2025Senate
Read twice and referred to the Committee on Finance.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Sep 30, 2025
Introduced in Senate
The bill was officially filed and given a number. It now enters the legislative queue.
