This is the first time I am filing taxes on my H1b so I have a few questions... please bare with me if they are really fundamental :o

1. As I gather, I am a resident alien (SPT passed), so I must file a 1040 and not a 1040NR or 1040NR-EZ, am I correct?

2. What is the difference between a 1040 and 1040-EZ?

3. I have to get an ITIN number for my wife - so I have to file a W7 as well. Does that mean that this time around, I have to mail all my tax documents to a different place, as mentioned on the W7?

4. Am I eligible for the standardized deduction? How much is it? Does India have a tax treaty with the US, and can I claim additional deductions for that?

5. Are there any other common deductions/mistakes done by those on H1b visa holders that I should be aware of?

Thanks in advance...
Avi

Avi:

When did you enter the U.S. There is more to being a resident alien than just the SPT.

Quote:

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Originally Posted by AtlantaTaxExpert

Avi:

When did you enter the U.S.? There is more to being a resident alien than just the SPT.

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Thanks for replying... :)..

I came to the US in 2002 as a F1 student, I graduated in mid 2005. I was on OPT until 2006. I worked for 10 days on my OPT and then started on my H1b from Mid July. (Edited... Mid June)

Can I still file as a resident alien? My wife has been in the US since July 2006

Thanks once again for the reply...
Awaiting your response.

You can file jointly with your wife and BOTH choose to be treated as resident aliens, but that makes BOTH world-wide incomes for 2006 subject to U.S. taxes.

Further, at least one of your must meet SPT before you can file. Based on what you have said, you will need to wait until May to file jointly in order to meet the Substantial Presence Test.

I have a question...
I read this on publication 519, but I might have misinterpreted it...
Its says in order to pass the SPT.. you must be physically present in the US for...

1. 31 days in the current year AND
2. 183 days during the 3-year period

My question is... if I count the number of days I was physically present in the US in 2006 alone, it would tally up to 199days (on H1b visa) and 120+ days on my OPT. I was in the US the whole of 2005... minus 1 month...


Do I still qualify as a resident alien? Would that mean that I have to file a 1040 rather than a 1040 NR.

Thanks for the help... I am a bit confused when you said I did not qual for SPT.

When I originally answered the question, you had said mid-July.

When you changed it to mid-June, you qualified yourself for SPT, so you no longer have to wait until May to file jointly with your wife.