Hi All,
I am an international student on OPT. I am a part-year Non resident Alien in Alabama and hence filing the form 40NR (AL 2008). I moved from South Carolina where I studied.

For the treaty between INDIA and USA I am eligible for
Itemized Deduction - 5450
Personal exemption or exemption Deduction 3500.

I earned 30% of my Income for 2008 in SC and 70% in AL.

SC lets me claim 30% of (5450+3500). I filled up SC 1040 and the Schedule NR(to claim this).

I am eligible for the remaining 70% of ( 5450+3500) to be claimed in my Alabama state tax.

The Alabama state form ( 40NR) does not have provision to do this.
In the 40NR, When I select my status as
“Single”, the personal deduction column of the 40NR(Alabama) gets automatically updated with $1500.

But actually I am eligible for 3500 as personal exemption.

My question is : In which field(line no) of form 40NR(Alabama) or Schedule, will I have to enter this information and get both my deductions (3500 and 5450) ? Thanks a lot!!

Please help.

I emailed the Alabama state dept with this query and they replied as below:

"Alabama has no provision for the deduction $3500.00. The maximum personal exemption is $1500.00."

You are not a part year nonresident of Alabama. You are a part year resident of Alabama.
If you live in a state, you are a full year resident or part year resident. You are nonresident if you did not live in the state.

Thanks Mukat.

I assumed since I file 1040NR EZ I am a non resident.

I have been in Alabama for 3 months in 2008. What form should I fill in and also please address my original question.

Thanks to all.

States that do not honor federal treaty benefits are Alabama, Arkansas, California, Connecticut, Hawaii, Kansas, Kentucky, Mississippi, New Jersey, North Dakota and Pennsylvania.


People from other states make use of this info.

OIPS, State Income Taxes

Useful link

Thanks. Glad I was of help. :)