Hello,

I've a simple tax question. I was on OPT until September 2005 and my H1 started from October 1st, 2005. I wanted to know what forms do I need to file and what deductions can I claim? I started paying social security and medicare taxes from October 1st.

Thank you.

Himanshu.

Himanshu:

If you were in country as a student under a F-1 visa for less than five years prior to converting to the H-1 visa, you should file as a non-resident alien for 2005. The time spent on the F-1 visa is "exempt time", which is not counted under the Substantial Presence Test. File Form 1040NR or Form 1040NR-EZ and, at a minimum, claim the $3,200 personal exemption.

Are you a citizen of India? If so, you can claim the $5,000 standard deduction unless your itemized deductions exceed $5,000. You can also claim your spouse and any children as dependents if they are in the United States under a F-2 visa and if they have no income. Even if they are still in India, you may still be able to claim them, but I would need more details before determining their status.

Thank you very much, AtlantaTaxExpert. I'm single and I've been in the US on F1 since 2002 which is less than 5 years. And yes I'm a citizen of India. Do I just need to file 1040NRez/1040nr? Since I'm in Texas I don't have to pay state taxes. And you said, at a minimun I can claim 3200. Can I claim more than that?

Again thank you very much. You are a great help.

Himanshu:

You can file Form 1040NR or 1040NR-EZ. Since you are an Indian citizen, you can claim a standard deduction of $5,000. Since you live in Texas (which has no state income tax), it is likely you do not have enough itemized deductions to exceed the $5,000 standard deduction.

You also have the $3,200 personal exemption, so your total deductions will be $8,200 if you do not itemize.

Thanks again. I also received one paycheck from my university in the beginning of the year. I worked as a research associate on my OPT for 15 days for them. Do I need to file 2 different 1040nr? And I guess this is the last time I'll be filing form 8843.

Have a great day.

No, both paychecks should go on just one Form 1040NR.

Yes, this should be your last Form 8843.