Hi,

I (having SSN) entered US first time on H1 Visa with my non working wife

(without SSN) on H4 Visa in March 2008. We also had a new born baby (having

SSN), born in Aug-2008 in US. Following are my queries:

1) I want to file as Married filling jointly. Can I? What will be my

Residential status: resident alien or dual, as this is my first year in US?
2) How different is filling as a dual citizen? Do I need to include my

Indian income from Jan-March 2008?
3) I also had losses in equity in India this year. Can I get show it

Somewhere to get benefit? And to what extent? My equity losses in India are

Far greater then my Indian income from Jan-March 2008.
4) I have not filled income tax last year, as I am new in US. I am not

Entitled for recovery rebate credit (around $1500). Correct?
5) With this information, can I e-file? If not, to which consultant should

I go? Fees? I will also require ITIN for my wife.
6) I am blessed with baby this year in US. Can I get any rebates for

My out of pocket medical expenses (around $5k)?

Regards,
Sumit

1) I want to file as Married filling jointly. Can I? What will be my residential status: resident alien or dual, as this is my first year in US?
You can file joint return as resident and claim exemption for your child. You will also get child tax credit. You both will be residents.

2) How different is filling as a dual citizen? Do I need to include my Indian income from Jan-March 2008?
Yes on resident return you must both report your worldwide income for 2008. For income in India, you can claim foreign tax credit or if you qualify use foreign earned income exclusion.
3) I also had losses in equity in India this year. Can I get show it somewhere to get benefit? And to what extent? My equity losses in India are far greater then my Indian income from Jan-March 2008.
Did you sell the stocks? You have gains or loss only when you sell.

4) I have not filled income tax last year, as I am new in US. I am not entitled for recovery rebate credit (around $1500). Correct?
For this both of you must have SSN.
5) With this information, can I e-file? If not, to which consultant should I go? Fees? I will also require ITIN for my wife.
AtlantaTaxExpert [email protected]

6) I am blessed with baby this year in US. Can I get any rebates for my out of pocket medical expenses (around $5k)?
Only if you itemize. You will not itemize if it is only 5K.

Yes, I sold stocks in 2008 in India, with huge loss (Rs. 400K).. Can I show this anywhere on my tax returns and get US tax benefit out of it?

Quote:

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Originally Posted by MukatA

1) I want to file as Married filling jointly. Can I? What will be my residential status: resident alien or dual, as this is my first year in US?
You can file joint return as resident and claim exemption for your child. You will also get child tax credit. You both will be residents.

2) How different is filling as a dual citizen? Do I need to include my Indian income from Jan-March 2008?
Yes on resident return you must both report your worldwide income for 2008. For income in India, you can claim foreign tax credit or if you qualify use foreign earned income exclusion.
3) I also had losses in equity in India this year. Can I get show it somewhere to get benefit? And to what extent? My equity losses in India are far greater then my Indian income from Jan-March 2008.
Did you sell the stocks? You have gains or loss only when you sell.

4) I have not filled income tax last year, as I am new in US. I am not entitled for recovery rebate credit (around $1500). Correct?
For this both of you must have SSN.
5) With this information, can I e-file? If not, to which consultant should I go? Fees? I will also require ITIN for my wife.
AtlantaTaxExpert [email protected]

6) I am blessed with with baby this year in US. Can I get any rebates for my out of pocket medical expenses (around $5k)?
Only if you itemize. You will not itemize if it is only 5K.

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Yes. The stock sales will be reflected on Schedule D.

You can write off up to $3,000 against other income. Any losses over $3,000 are carried forward to future tax years until you use up the loss, or until you die, whichever comes first.