sylviawp
Mar 18, 2009, 02:53 AM
Hi,
I am preparing the tax return for Year 2008, need some help to decide whether I should make the first year choice.
My husband was transferred by his company from UK to US headoffice in Oct 08 with L1 visa. Me and our daughter joined him in Nov08 and stay in US since. He works fulltime and expect to stay US for whole year 2009. I don't have any income in US or UK. We are both UK citizens.
Here are my questions?
1) If my husband make the first year choice for 2008 tax return, what tax status he belongs to? Dual-Status or he will be treated as Resident only for the period from Oct 08 till the end of year 2008?
2) If he make the first year choice for 2008 tax return, then we file a joint return, in Form 1040, we can claim $10,900 standard deduction, and $10,500 ($3,500*3) excmptions as normal resident even though we only stay in US for 3 months for Year 2008. Is it correct?
3) As we don't have much income in UK since we move to US, should I presume that make the first year choice to file 1040 as joint return, will pay less tax compared to my husband file 1040NR on his own? If he file 1040NR, he doesn't have standard deduction, and he can't claim exception for me and our daughter? Is that right?
Your help will be much appreciated.
I am preparing the tax return for Year 2008, need some help to decide whether I should make the first year choice.
My husband was transferred by his company from UK to US headoffice in Oct 08 with L1 visa. Me and our daughter joined him in Nov08 and stay in US since. He works fulltime and expect to stay US for whole year 2009. I don't have any income in US or UK. We are both UK citizens.
Here are my questions?
1) If my husband make the first year choice for 2008 tax return, what tax status he belongs to? Dual-Status or he will be treated as Resident only for the period from Oct 08 till the end of year 2008?
2) If he make the first year choice for 2008 tax return, then we file a joint return, in Form 1040, we can claim $10,900 standard deduction, and $10,500 ($3,500*3) excmptions as normal resident even though we only stay in US for 3 months for Year 2008. Is it correct?
3) As we don't have much income in UK since we move to US, should I presume that make the first year choice to file 1040 as joint return, will pay less tax compared to my husband file 1040NR on his own? If he file 1040NR, he doesn't have standard deduction, and he can't claim exception for me and our daughter? Is that right?
Your help will be much appreciated.