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View Full Version : Tax benefits or difference in OPT and H1 Visa


lux85
Apr 21, 2008, 06:02 PM
Hi,

As I am working on OPT I want to know what is the tax benefit we get when compared to H1 visa. Actually is it benefit to be on OPT if we get H1 also like using the whole duration of OPT. I also have one doubt please help me out in this, I have been heard from my seniors like in OPT Period we cannot go to India. Is this true, like what will be the problems we need to face in order to visit india in OPT period or is it safe to visit?

Thanks,
Lux

MukatA
Apr 21, 2008, 06:15 PM
1. F1/OPT is exempt from residency for 5-years that is you don't pay FICA taxes on your wages. Also you must file nonresident tax return. You will get personal exemption and standard deduction as per tax treaty between India and the U.S.

2. On H1-B your days are not exempt from residency. You must pay FICA taxes. If you meet Substantial Presence Test you file resident tax return. You will get personal exemption and standard deduction.

3. Other part of your question is not related to taxation.