I came first time in US on H1B visa and my employer as per rules has deducted the fedral and state tax (NC) as well.

As per the IRS website, as I have stayed only 75 days in US in 2007 and never before, hence I do not qualify for "substantial presence test"
I believe that for this reason I should get 100% fedral and state tax refund.

I have a social security number and W-2 form from my employer.
Kindly let me know how shall I fill in my tax returns, and get a refund.

Since you don't meet the substantial presence test, file 1040 or 1040EZ.


I beleive that for this reason I should get 100% fedral and state tax refund.

Not true - depends how much income you had. Just because you are non-resident for tax purposes, does not mean that you are exempt from taxes.

Thanks vaya for your help,
Can you also let me know how should I file the 1040NR-EZ form or the normal 1040.
Also some trusted websites or any other link which could be used.

You have a choice of filing 1040NR for the money you earned in the U.S. or you can make a first year election and file 1040. If you make the first year election, you need to delay filing until you meet the substantial presence test. Whether you will owe any tax under either situation depends on the amount of income you earned.