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    ashishp108's Avatar
    ashishp108 Posts: 7, Reputation: 1
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    #1

    Jan 23, 2007, 12:45 PM
    Tax deduction on dependent
    I am currently on an H1b visa (for last 7 months) and my brother is under F1 visa ( 1month). I am paying for his tuition and was wondering if I can claim tax deduction based on the fact that he would be considered a dependent under me. Also, do I have to file any documents to make him as a dependent? Also, is there any tax advantages with this situation.

    Thanks
    - Ashish
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #2

    Jan 23, 2007, 09:55 PM
    Ashish:

    Are you married?

    What is your country of origin?

    When did you enter the country?
    ashishp108's Avatar
    ashishp108 Posts: 7, Reputation: 1
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    #3

    Jan 24, 2007, 07:13 AM
    No I am not married
    Country of origin - Tanzania
    I entered US in sept 2002 on F! Status, and was converted to H1B 7 months ago.

    Thanks
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #4

    Jan 24, 2007, 11:28 AM
    How long has your brother been in the U.S. on his F-1 visa?

    Does HE have any income earned in the U.S. in 2006?

    How much income have you earned while on H-1B in 2006? How much was earned while on F-1 in 2006?

    What is the EXACT date that your H-1B went into effect (VERY important to how I advise you)?
    ashishp108's Avatar
    ashishp108 Posts: 7, Reputation: 1
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    #5

    Jan 24, 2007, 12:27 PM
    My brother has been on F1 for 1 month.
    He hasn't earned any income
    Income while on H1B - $20K
    Income while on F1 - $5K
    H1B went into effect on 11/21/06
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #6

    Jan 24, 2007, 03:35 PM
    If you REALLY want to claim your brother as a dependent, you will have to file a dual-status tax return.

    To file dual-status, you must wait until mid-June 2007 before you can file, because you will NOT meet the Substantial Presence Test until then.

    If you do not want to wait, you can file as a non-resident alien, filing Form 1040NR or 1040NR-EZ right away. But you CANNOT claim your brother as a dependent if you file this way.
    ashishp108's Avatar
    ashishp108 Posts: 7, Reputation: 1
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    #7

    Jan 25, 2007, 07:09 AM
    What do you suggest I should be doing to get better benefits/claim. If waiting till June 2007 is a good option that's fine. What are the procedures in filing the Dual-status? Are there and paper work to be done or anything else to prove that my brother is a dependent. Thanks
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #8

    Jan 25, 2007, 12:30 PM
    There are NO procedures to prove your brother is a dependent. I would attach a copy of his visa to show that he was in the U.S. for at least part of 2006.

    The dual-status return is a very complex return. You should get professional help. If you want to use my service, contact me at [email protected].
    ashishp108's Avatar
    ashishp108 Posts: 7, Reputation: 1
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    #9

    Jan 25, 2007, 12:39 PM
    One of the requirements to claim someone as a dependent is that he should be a citizen of US. Is that true? Because neither me nor him are citizens.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #10

    Jan 25, 2007, 07:12 PM
    No, not a citizen but rather a resident.

    If he was in the U.S. for part of 2006, then he qualifies as a resident.
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