I came USA on H1B in beginning on 2008, My wife and kid were here until October and they are back to India now. As I understand to claim the tax exemption I need to apply for their ITIN. My question is.. Do they need to be here in USA when I apply for their ITIN ?

Chandra

You can file joint return as residents. You can attach W7 (ITIN application) with your tax return.
If your kid stayed with you in the U.S. for more than 6 months, you can claim the dependent.