Hello

My husband is on a J-1 visa as a teacher in the USA. He started in 2006 and for 2006 and 2007 he filed 1040 Nr. He holds a Belgian passport. My question is: For 2008 does he still file 1040 NR or does he file 1040 as resident?

Thanks

For 2006 and 2007 your husband is exempt from SS tax, Medicare tax and federal income tax. He does not get exemption in the 3rd year.
For 2008, he will file resident tax return. You can file joint return as residents. You will both get standard deductions and exemption deductions. Read Your U.S. Tax Return: Filing Status for Married (http://taxipay.blogspot.com/2008/02/filing-status-for-married.html)

Thanks for your response - however, there appears to be some complication with my husbands case. His employer did not deduct federal taxes for 2008 and according to the tax treaty, he was exempt from federal until August 2008. His employer should have deducted federal for the months of Sept-Dec 08 but did not. How does he now file for the 2008 taxes? His employer does not know what to do and which forms my husband should file and for how much for the Sept-Dec months. Please advise.

He files as a non-resident alien for 2008, filing Form 1040NR or 1040NR-EZ and paying taxes for Sep through Dec 2008 wages earned.

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

AtlantaTaxExpert is correct. File nonresident tax return and Form 8843.
About FICA taxes, you can not pay yourself. So do not do anything. Make sure you pay FICA taxes from January 2009.