I hold a H1B Visa from Tata Consultancy Services Ltd working for my client General Electric in Greenville, South Carolina. I came here with my wife on 30NOV08. I got my W2 form for 2008(for only one month DEC'08). Do I need to use 1040 or 1040NR to file my tax returns. Am I eligible for standard deduction? Can I have the option to file jointly? Can I take personal exemption for me and my wife? Please advise.

You have two choices:
1. File nonresident tax return and claim moving expenses for both of you. You will get $3500 exemption and itemized deductions. It all this makes your taxable income 0 or very little, then go for this.

2. You can file joint return as residents after you complete SPT in 2009. Read about H1-B tax filing: Your U.S. Tax Return: The U.S. Visas