Hi,

This is similar to another question in the forum (which has not been answered yet).
I have been working on OPT from Aug 26, 2006 to Aug 26, 2007 and did not have SS and Medicare taxes withheld on my payroll. Then from Oct 1, 2007 I have been on H1B and have been paying SS and Medicare taxes.

- Do I meet the substantial presence test? Does only the period from Oct 1, 2007(when I started on H1B status) apply towards this test?

- Which form do I file 0 1040, 1040NR or 1040NR-EZ?

- How do I specify on my tax form that I was on OPT and am now on H1B , thereby conveying that I was exempt from the SS and Medicare taxes for most part of the year - As I have a single W2 for the entire year(2007) ?

- How does this affect my Maryland State Tax filing?

- Do I have to pay tax on my bank interest(negligible amount that is is!)

Thanks,
Confused Desi

You need to file as a non-resident alien, filing Form 1040NR or 1040NR-EZ and Form 8843 one last time.

You do NOT differentiate between your H-1B and OPT time; just file the tax return.

You file the Maryland return as a resident of Maryland.

You can ignore the bank interest for 2007.