A complete 2025 guide for taxpayers on the IRS Substantial Presence Test – including day-count rules, exceptions, and documentation tips.
Become Our Featured Tax Expert.
This premium ad space is reserved for one tax professional. Put your firm in the spotlight and reach qualified leads directly.
To claim this exclusive spot, contact us at [email protected].
📌 What Is the Substantial Presence Test?
The Substantial Presence Test (SPT) is the IRS rule that helps determine whether a foreign individual should be treated as a resident alien for U.S. tax purposes. Meeting the test means you may be taxed like a U.S. resident, which can significantly affect your deductions, exemptions, and reporting obligations.
🗓️ The 31-Day and 183-Day Tests
To meet the SPT in 2025, you must:
- Be physically present in the U.S. for at least 31 days during the current year, and
- Be present for a combined total of 183 days over the current year and the prior two years.
The calculation uses a weighted lookback method:
- Current year: Count all days of presence.
- 1st preceding year: Count 1/3 of the days.
- 2nd preceding year: Count 1/6 of the days.
Example: If you spent 120 days in 2025, 120 days in 2024, and 120 days in 2023 → 120 (current) + 40 (1/3 of 120 in 2024) + 20 (1/6 of 120 in 2023) = 180 days. Since this is below 183, you do not meet the test.
🚫 Excluded Days: When Time Doesn’t Count
Not all days in the U.S. count toward the Substantial Presence Test. The IRS excludes certain days, including:
- Days you are commuting from Canada or Mexico for work.
- Short stopovers while in transit to another country.
- Days you cannot leave due to a medical condition that arose while in the U.S.
- Days present as an exempt individual (e.g., foreign government-related, teachers, students, trainees, or crew members).
Example: If you spent 200 days in the U.S. in 2025 but 25 were exempt (e.g., medical emergency), only 175 count.
📝 Documentation & IRS Forms
Taxpayers must keep accurate travel records to prove day counts. In 2025, the IRS continues to emphasize:
- Form 8840: Closer Connection Exception Statement.
- Form 8843: Statement for Exempt Individuals and Medical Condition.
Proper filing is essential to avoid IRS residency misclassification, which can lead to unexpected tax liability.
✅ Key Takeaways for 2025
- Always count your days carefully using the 31-day and 183-day rules.
- Remember the 1/3 and 1/6 lookback method for prior years.
- Use IRS forms to claim exceptions where applicable.
- Maintain travel logs and supporting documents for IRS audits.
Become Our Featured Tax Expert.
This premium ad space is reserved for one tax professional. Put your firm in the spotlight and reach qualified leads directly.
To claim this exclusive spot, contact us at [email protected].
