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-   -   F1 + opt + h1b (https://www.askmehelpdesk.com/showthread.php?t=170661)

  • Jan 9, 2008, 03:54 PM
    nightan
    f1 + opt + h1b
    Experts,

    Summary of situation:
    Jan 2007 - f1 with wages
    Start of employment on opt - feb 15, 2007
    Start of h1b - sept 15, 2007

    What is the status - non-resident, or dual-status?

    Other info - some interest income and dividends, but very low level.

    Any help greatly appreciated.

    Thanks

    p.s. - for some reason, the post tells me that I have too many capital letters so I had to remove them.
  • Jan 9, 2008, 05:24 PM
    AtlantaTaxExpert
    You should file as a non-resident alien, filing Form 1040NR or 1040NR-EZ, as you did NOT meet the 183-days required for the Substantial Presence Test.

    Now, if you are married, you can file jointly and you both be considered as resident aliens.
  • Jan 10, 2008, 03:21 AM
    MukatA
    If you are Single, nonresident tax return Form 1040NR/1040NR-EZ may be the best choice. You can be dual status resident if you wait till you complete 183 days test in 2008; but there is hardly any advantage in filing Dual status return.

    On your nonresident return, you will get exemption of $3,400 and itemized deductions or deductions as per tax treaty between your country and the U.S.
  • Jan 10, 2008, 11:07 AM
    AtlantaTaxExpert
    Agreed!
  • Jan 10, 2008, 11:36 AM
    Visa Taxes Expert
    Agreed!
  • Jan 10, 2008, 03:57 PM
    nightan
    Thanks a lot for the info, guys. So some more queries.

    I know that OPT is a part of the F1 visa, but is it so for tax purposes too? I have filed in 05 and 06 as a F1 student because I used to get by my department.

    I am single, so I guess that simplifies something. What about standard deductions vs. itemized deductions? I am an Indian citizen so I think I can deduct $5350 because of Indo-US treaty.
  • Jan 10, 2008, 06:05 PM
    Visa Taxes Expert
    Hello

    There is a student category for Taxes (F1), OPT is also considered F1. The reason you see so many queries about OPT is because, many employers don't know about the exempt status , and deduct FICA Taxes and also give out 1099 as an independent contractor.

    Yes you can avail the India-US Tax treaty deductions.

    Hope this helps!
  • Jan 10, 2008, 08:52 PM
    AtlantaTaxExpert
    Agreed!
  • Jan 10, 2008, 08:55 PM
    nightan
    Thanks again for your help. So how much does the IRS charge as tax during OPT/F1 as against H1B? I know that they do not charge SS/Medicare, but what about the tax rate.
  • Jan 10, 2008, 09:44 PM
    AtlantaTaxExpert
    Actually, non-resident aliens use the SAME tax tables.

    It's just that non-resident aliens cannot normally claim the standard deduction nor are they eligible for a lot of the credits, like education or earned income credit.
  • Jan 11, 2008, 03:34 PM
    Visa Taxes Expert
    Agreed!

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