What happens if a nonresident alien for tax purposes fails to file a tax return?
If a nonresident alien for tax purposes owes taxes and doesn’t file, the IRS can assess penalties and interest and seize U.S. bank assets for repayment. Fines and penalties can often amount to more than the original tax debt. In addition, there can also be immigration consequences for failing to file taxes. Applicants for adjustment of status to either H-1B or lawful permanent residency are frequently asked to show proof of tax filing for previous years in the U.S.