Dear Atlanta Expert,
I was a student from 2002 till January 2005, was on OPT from Jan 2005 - October 2005 and since then been on H1. I have a W2 from KS and one W2 from TX. So, which form should I be using. Also, can I use the tax treaty deduction?
One thing more was if I use standard deduction, will I not be able to use decutions for charity?



Thanks in advance.
Kirthi

Kirthi:

You file as a non-resident alien, filing Form 1040NR or 1040NR-EZ. You CAN claim the treaty exemption one last time for 205.

If you use standard deduction, you cannot deduct charitable donations unless they, along with the other itemized deductions, exceeed $5,000.

Thanks a lot ATE, that was a lot helpful. I had one more question, do moving expenses count as itemized deductions too? If not can I use them along with the $5000 india treaty deduction?

Thank you

Atlanta tax expert,

My situation is also same as the above except that I left to India on Dec 17,2005 and came back on Jan 14, 2005. Since then I worked in oPT and converted H1 on Oct 1, 2005.


Did I understand it right as per the above case you have suggested to file 1040NR and claim all the above

1. Personal exemption - $3200

2. Tax treaty - $5000

3. Standard or Itemized deduction..whichever is greater...
Also please advise as of the vacation that I took and entered US by Jan.

Seriously need help with this! :(

Thanks for your time..

Kirthi:

File Form 3903 (Moving Expenses) with Form 1040NR. They are an adjustment to income, not itemized deductions, and can be claim in addition to the standard deduction.

Jkandas:

Everything you wrote is accurate. You need to report the dates you left and re-entered the U.S. on the Form 1040NR (Page 5) or Form 1040NR-EZ (page 2), but it does not in any way affect your filing status.