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To amend the Internal Revenue Code of 1986 to include optional practical training for F-1 visa holders as employment for purposes of taxes under the Federal Insurance Contribution Act and the Social Security Act.
Summary
This bill would amend federal tax law to include Optional Practical Training (OPT) performed by F-1 visa holders as employment subject to Federal Insurance Contribution Act (FICA) and Social Security taxes. Currently, F-1 visa holders participating in OPT are exempt from these payroll taxes. The bill would remove that exemption, requiring employers and F-1 OPT participants to pay Social Security and FICA taxes on OPT compensation. The changes would apply to services performed in calendar months beginning after the bill's enactment date.
AI-generated plain-language summary of the bill text — neutral, and may be imperfect. See the full text below for the exact wording.
Sponsor (1)
- Sen. Cotton, Tom [R-AR] (R-AR)
Money behind the sponsor
Top reported contributors to Tom Cotton’s campaign committee (2024 cycle) — who funds the bill’s sponsor, not a claim about this bill. Data from FEC.
- NULL $80,461
- APOLLO MANAGEMENT $25,600
- APOLLO GLOBAL MANAGEMENT $19,800
- BRODIE GENERATIONAL CAPITAL PARTNERS $13,200
- APOLLO $11,600
Organizations whose employees gave the most — itemized individual contributions grouped by the donor’s reported employer (FEC Schedule A). Full finance for Tom Cotton → · Outside spending →
Actions (2)
- Sep 30, 2025 Read twice and referred to the Committee on Finance. · senate
- Sep 30, 2025 Introduced in Senate
Similar bills (6)
Bills with similar text or summary — includes reintroductions across Congresses. Ranked by semantic similarity of the bill text (computed locally); a neutral discovery aid, not a claim the bills are duplicates.
Full text
IN THE SENATE OF THE UNITED STATES
September 30, 2025
Mr. Cotton introduced the following bill; which was read twice and referred to the Committee on Finance
A BILL
To amend the Internal Revenue Code of 1986 to include optional practical training for F-1 visa holders as employment for purposes of taxes under the Federal Insurance Contribution Act and the Social Security Act.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the “OPT Fair Tax Act”.
SEC. 2. INCLUSION OF OPTIONAL PRACTICAL TRAINING FOR F-1 VISA HOLDERS AS EMPLOYMENT.
(a) Federal Insurance Contribution Act.—Section 3121(b)(19) of the Internal Revenue Code of 1986 is amended by striking “as the case may be” and inserting “as the case may be, except that this paragraph shall not apply to service performed by an alien present in the United States as a nonimmigrant described in section 101(a)(15)(F)(i) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(15)(F)(i)) who is participating in optional practical training”.
(b) Social Security Act.—Section 210(a)(19) of the Social Security Act (42 U.S.C. 410(a)(19)) is amended by striking “as the case may be” and inserting “as the case may be, except that this paragraph shall not apply to service performed by an alien present in the United States as a nonimmigrant described in section 101(a)(15)(F)(i) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(15)(F)(i)) who is participating in optional practical training”.
(c) Effective Date.—The amendments made by this section shall apply to services performed in calendar months beginning after the date of enactment of this Act. <all>
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