I am an Indian Citizen who entered US along with my spouse for the first time on 30 March 2007 on H1-B Visa. Since then, I have not changed my visa status to any other visa and I have not travelled outside US. My spouse is on H4 visa.

I have the following questions:

1. Am I dual status individual? (See below for number of days physically present in US)
Number of Days in US since March 2007:
-------------------------------------------------
March 07 to Dec 07 - 277 Days
Jan 08 to Feb 08 - 36 Days

2. Which forms do I have to use to file my tax return for 2007? Do I need to file as Single or Married filing Jointly or any other type? What is best in terms of return?

3. As I would also be applying for ITIN, what option do I mark under "Reason for Applying" in form W-7?

Awaiting a reply!! Please help.

Thanks in advance!

You should both file resident tax return Form 1040EZ or 1040 as Married Filing Jointly. You meet SPT test in 2007. Attach W7 of your spouse with your tax return. Select spouse of resident.

To answer your question, yes, you ARE dual-status.

However, MukatA's advice is valid. It is probably best tax-wise for you to file jointly and you both CHOOSE to be treated as resident aliens.

That is great!

Is there a need to attach any statements to the form 1040EZ and should I mention "Dual Status Return" on top of the form?

Please advise.

Many thanks Mukta and ATE!!

No, not if you are filing jointly, because you are CHOOSING to be treated as a resident alien.