Hi ATE,


I am following this forum for last couple of months. It is a very good source of tax information.

I am non-resident alien from India. I was on F1 (OPT) from Jan 06, 2005 to Nov 30, 2005. My H1B status started on Dec 01, 2005. I am filing 1040NR-EZ and Form 8843.

I have received 1099-G for $121 and 1099-INT for $19(Interest on apartment deposit from renting agency). Where do I include these amounts on form 1040NR-EZ?

I had claimed US-India treaty deduction for 2004 taxes and plan to use it for 2005.

Thanks,

KSC

AtlantaTaxExpert

KSC:

You DO report the $19 in interest on the Form 1099-INT.

The $121 on Form 1099-G is probably for the state tax refund you received from your 2004 state tax return. If you did not itemize on your federal return in 2004, you do NOT report that money on your 2005 tax return.

movie_maker

Hi ATE,

I have read most of tax related topics in this forum and I feel this is a very helpful forum. I need your advise on my status:

I was a student until April-2005 (Originally I came on F-1 status in Aug-01), my OPT was started in May-05 and I got job in August-05, my H1-B start date is Sept-05 but in my passport I still have F-1 visa status. I did not have my H1-B stamped yet. So

1)What is my immigration status at the end of 31 Dec 2005?
2) I have to file my taxes, so can I use 1040NR-EZ and 8843 forms as I am NR and can take advantage of India-Tax treaty?
3) I have also received 1099-INT INTEREST INCOME form in the amount of $25 from my bank. Is there a way to show this interest income on 1040NR-EZ form? or Do I need to fill separate form for this interest income and if yes where can I get this form?
4)If I fill this 1099-INT form then still will I be eligible for 1040NR-EZ?

Thanks a lot in advance

AtlantaTaxExpert

1) Probably F-1 until you get the H-1B stamped.

2) Yes, you can file Form 1040NR or 1040NR-EZ and Form 8843.

3 & 4) You have to file Form 1040NR, because you cannot report the interest income on Form 1040NR-EZ.

movie_maker

Thank you so much ATE for your response.

Can I use standardized deduction + 3280 as per Indian Tax Treaty? DO I NEED TO ATTACH FORM 1099-INT that my bank sent to me when I will send my tax papers to IRS or is there any separate form for this interest income 1099-int? And on which line I have to put this interest income on 1040-NR form? Is it line 9a (Taxable Interest)?

This might be stupid questions but I do not want to mess up my taxes. Thanks again for your help.

AtlantaTaxExpert

Yes, you can claim the standard deduction of $5,000, but the personal exemption is $3,200, not $3,280.

The interest goes on Line 9a, but you do not have to attach the Form 1099-INT. The IRS gets that informatioon electronically.

gtg974p

Just a quick comment--

You ARE in H1 status by the end of Dec 2005. It does not matter if you have it stamped or not. If you have your COS approved (with I94) then you have officially changed to H1 status. A visa stamping just to enter the country.

So you are in H1 status.

movie_maker

Thank you very much ATI for your clarification. Now I can file my taxes without any confusion. What a gr8 relief!

AtlantaTaxExpert

Glad to help.