View Full Version : Can I claim for standard deduction on H1B
quin
Feb 12, 2007, 07:17 PM
Hi, I am an indian citizen. I came to US in 2003 on F1... was on F1 till May 2005 and then on OPT till feb 12 2006. From Feb 12 2006 I am on H1.
I am confused as to which form do I need to fil for 2006 since I shifted to H1 in Feb(resident or a non resident)...
Also can I still claim for standard deduction on H1...
I am unmarried...
AtlantaTaxExpert
Feb 13, 2007, 11:07 AM
You must file a dual-status return. It is a complex return, but the fact that you met the Substantial Presence Test and you are unmarried gives you no choice: file the dual-status return.
You can claim the standard deduction deduction on this dual-status return because you started the year as a F-1 student from India.
quin
Feb 19, 2007, 12:20 AM
Thanks for the reply but I am confused... If I file a dual status then how can I get standard deduction? I read that if you are dual status then you cannot claim standard deduction... (does this rule don't apply for being indian and starting as F1?? )
Also if I can claim standard deduction then how will that be calculated? I guess I need to fill both 1040 and 1040NR so do I need to claim standard deduction after prorating it for just 2 months (on opt) and only on 1040NR or can I use standard deduction in both 1040Nr and 1040... Again how do I prorate it?
Will appreciate your help...
Thanks
AtlantaTaxExpert
Feb 19, 2007, 12:35 AM
Quin:
You got it right. The standard deduction authorized for Indian students applies to the dual-status return as well.
When a dual-status return is done with H-1B and F-1 times, the F-1 data is reported, but ALL of the income is reported on the Form 1040 and the standard deduction and personal exemptions are taken on the Form 1040.
quin
Feb 24, 2007, 05:18 PM
Thanks AtlantaTaxExpert, but reading your old posts I am all confused...
I read somewhere you mentioned that if dual status then both 1040 and 1040Nr need to be filed... also we can claim standard only to the extend we earned on f1(opt)... but then you also mentioned about some corrections in red(which I couldn't find) and all...
Really got confused as to which post is correct and latest. So can you please explain to me the latest and up to date what your views are on that based on your past experience... I would really appreciate it.
Thanks again...
quin
Feb 24, 2007, 05:43 PM
Also in the following link you have said that a dual staus, irrespectable of being a student from india, cannot claim standard deduction...
https://www.askmehelpdesk.com/advice/t-8503.html
Can you pleaseeeeeeeeeeeeeee confirm which one is the correct thing to do... take standard or no...
Thanks
AtlantaTaxExpert
Feb 25, 2007, 12:45 AM
On the post on the link, the person involved was NEVER a F1 student, so HE was not eligible for the Standard Deduction.
If you ARE a F-1 visa holder during the first part of the year, then convert to H-1 or H-1B, then the Standard Deduction IS AVAILABLE to you.
If you need my professional tax help, contact me at
[email protected].
quin
Mar 10, 2007, 05:55 PM
Thanks AtlantaTaxExpert. I wanted to contact you for my charges and wanted to know if you are a legal tax professional and which company do you work for. And how much will you charge for this case... Please let me know these so that I can contact you ASAP...
Thanks!
AtlantaTaxExpert
Mar 11, 2007, 10:16 PM
Contact me at the email below!