Hello all:

I have a problem filling taxes. I was on Opt until Feb 2nd week and then transferred to H1b. In the mean time I was working in California till March and then moved over to NY.

Here are the questions I have:

1) Should I be getting two W2s based on OPT and H1b.
2) Should there be two W2s one for California and one for New Jersey
3) Since I was on OPT for first month and half, I was not paying any SSN and medicare taxes so should I be filling the taxes separately.
4) Am I a resident or a non-resident alien.

All this concern is because my returns are coming out very low and need to get some help from experts.

So please comment on the scenario.

Thanks in advance,
Samit

1) Not necessarily.

2) Probably.

3) No, just ONE tax return.

4) You are NOT non-resident. You are dual-status. If you are married, you can choose with your wife to file jointly and be treated as resident aliens for all of 2006.

If NOT married, you must file a dual-status return.

If you do elect to file as residents for the full year, you are correct that you would not be exempt from social security tax during the OPT period. This is something that you should have notified your employer about.

1) Not necessarily.

2) Probably.

3) No, just ONE tax return.

4) You are NOT non-resident. You are dual-status. If you are married, you can choose with your wife to file jointly and be treated as resident aliens for all of 2006.

If NOT married, you must file a dual-status return.

So if I file as dual status how would they find out when I was in OPT and when in H1b. I also heard we can file the taxes completely as H1b and then file an amendment. If so what should I file as resident or non resident.

Thanks in advance,
Samit

Samit:

What you heard was wrong! You can file as a dual-status alien, or, if married, file jointly and be treated as resident aliens for all of 2006.

You CANNOT file as a non-resident alien.

Samit:

What you heard was wrong! You can file as a dual-status alien, or, if married, file jointly and be treated as resident aliens for all of 2006.

You CANNOT file as a non-resident alien.

Ok thanks. Let me try that tonight and see what changes in returns I get. I have received 2 W2s for the 2 states I have worked in.

However, I work in NY and stay in NJ. So which state should I be filling for. My taxes are cut for NY.

Thanks again in advance for all your help,
Samit

Samit:

You need to file BOTH NJ and NY state tax returns. You will pay taxs to NY and pay nothing to NJ, but you STILL have to file the NJ return.

If you need my professional tax help, contact me at [email protected].