Hi,
My husband is working in USA and holds H1-B visa. We got married on Dec 30,2008. I came to US in may,2009 on H-4 visa(dependent). I don't have any income here but I was working last year in India.
Since we were married on Dec,30th 2008 - We wish to apply for joint tax filing in USA for 2008.
My question is:
1] We need to show my income as well during joint tax filing - So in India we get form 16 - We are trying to use turbo tax for joint filing. How can I show my income using W2?
How do I convert the information in Form 16 into W2 format?

2] Do I have to file Tax in India as well in case I file in usa along with my husband.

Kindly help.

Thanks!

1) You do NOT show the income using the W-2. There should be a form that allows you to show foreign-sourced income in the TurboTax worksheets , probably titled Foreign Earned Compensation.

2) Probably, but you can claim the Foreign Tax Credit unsing Form 1116.

Of course, you could contact me at [email protected] and let ME do it for a very reasonable fee.

Hi ATE,
Thanks for your answer. I have another question - My foreign earned income was very less in USD (about 18,000 USD a year) - do I even have to fill any form in that case to report my income?

I also read about forms 2555EZ -do I need to fill that?

Meanwhile I am contemplating on the options you mentioned about. Thanks for your help.

Thanks!

Due to the time line you used, you ARE eligible to use the Form 2555, which results in you adding your income on Line #7 of Form 1040, then subtracting it out on Line #21 of Form 1040. You are taxed at a somewhat higher tax rate, but the effect is minimal and probably will result in a lower overall tax than if you claimed the Foreign Tax Credit.

However, Form 2555 is a bit complex. Take a look at it in TurboTax to see if you understand how to complete it. If it IS too complex, you have my email address.

Hi ATE,
I have mailed you from my gmail ID -but haven't received any response so far. Please let me know how can you help us?
Thanks.

I emailed you last night after getting home from client meetings.