Hello,

I am an Indian citizen. I filed my 2007 return as a non resident and took the itemized deduction.

I entered the US on F-1 Visa in 2006 and then transferred to H-1B in October 2007. So for calendar 2007 I was on F-1/OPT for 9 months and H-1B for 3 months.

When I filed my taxes I used 1040NR. I just read about the tax treaty with India allowing standard deduction for students/apprentices. Was I eligible for standard deduction in calendar 2007 return? Can I go back and file an amended return if I was?

Thanks!

If you are unmarried in 2007, you filed correct tax return.
As per tax treaty, you are allowed standard deduction instead of itemized deduction for your OPT income. If you did not claim this treaty deduction in 2007, you can file amended tax return. Read: Your U.S. Tax Return: U.S. Tax Filing Requirements for Non-Residents (http://taxipay.blogspot.com/2008/03/us-tax-filing-requirements-for-non.html)

If you are unmarried in 2007, you filed correct tax return.
As per tax treaty, you are allowed standard deduction instead of itemized deduction for your OPT income. If you did not claim this treaty deduction in 2007, you can file amended tax return. Read: Your U.S. Tax Return: U.S. Tax Filing Requirements for Non-Residents (http://taxipay.blogspot.com/2008/03/us-tax-filing-requirements-for-non.html)

Yes I was unmarried for calendar 2007 and filed as a "single" tax payer. That being the case then, I shouldn't file an amendment? Or as a single taxpayer converting to H-1B in the calendar year with H-1 income only, can I still get standard deduction for 2007?

Thanks for your advise!

As an Indian citizen on a F-1 or J-1 visa, you are entitled to claim the standard deduction per the U.S.-India Tax Treaty.

Your marital status is irrelevent.

Even though you switched to the H-1B visa on 1 October 2007, the F-1 visa criteria holds because you did NOT meet the Substantial Presence Test by 31 December 2007.

Amend the 2007 return to claim the standard deduction.

Even though you switched to the H-1B visa on 1 October 2007, the F-1 visa criteria holds because you did NOT meet the Substantial Presence Test by 31 December 2007.

Go ahead and amend the 2007 return to claim the standard deduction.


I'm trying to clarify - does this mean a single 1040NR would have been sufficient (without a need to split income into two segments - H1B and OPT)? Please correct me if I'm wrong. Thanks.

SInce you have NOT met the Substantial Presence Test, you are considered to be a non-resident alien and should file the single Form 1040NR or 1040NR-EZ.

You CAN wait until June 2009 and file dual-status, but there is likely NO TAX ADVANTAGE in doing so, so why wait?