Hi,

My wife worked in India for 1 month in 2006. She then got married and moved to US on H4 visa and worked for 2 months in US on L1 visa.

She has been in the US for 199 days and I have a few questions about filing taxes:

1. Is it necessary for her to take into consideration the income earned while in India? If so, how does she need to show this on the tax return?

2. Is it recommended to file tax jointly (I am on H1 visa and have been working in 2006) or file it separately.

Any help is really appreciated

Thanks!

1) If she files as a non-resident or dual-status alien, she will pay NO tax on the India-based income. If she files dual-status, she has to report the income on Form 1040NR, but no tax will be due.

2) Depends on how much she made in India. More than likely, it is more advantageous to file jointly.

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

Thanks AtlantaTaxExpert for your quick reply.

If she has to report the India income, does she need any kind of paper work from India to be attached to the Form 1040?

If she is unable to get these docs, is it absolutely necessary to submit them?

Thanks!


1) If she files as a non-resident or dual-status alien, she will pay NO tax on the India-based income. If she files dual-status, she has to report the income on Form 1040NR, but no tax will be due.

2) Depends on how much she made in India. More than likely, it is more advantageous to file jointly.

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

TaxSearcher pointed out on another forum that India-based income does NOT have to be reported on a dual-status return.

Hence, I am amending my guidance. If she files dual-status, she would claim her U.S.-based income on Form 1040 and attach a statement to the return stating she had NO U.S.-based income prior to her arrival in the U.S.