[jkandas]

Hi,

I have mixed signals for my tax preparation so far. Am from India...

Jan 1 - Sep 31, 2005 - F1 (Opt from Jan 27)

Oct 1 - Dec 30, 2005 - H1

Left for vacation to India from Dec 17, 2004 to Jan 14, 2005.

ATE, referring to your announcement:

I converted to H1 after July, but I left U.S to India for vacation (as a student) and returned to U.S.

1. Should I file Dual status or 1040? If I file as 1040 should I write a letter or something?

2. Say I file 1040, then it is 3200 + std deduction ($5000)... easy...

3. But if I have to file dual status, then I don't have standard deduction. In this case, can I claim tax treaty as a deduction somewhere in Schedule A of 1040 so that I get more duductions? Right now I have other deductions and moving expenses.. but it is less than $3500..

Please also clarify that I can take EITHER std deduction OR itemized deductions? Is that right?

Please help.. I am confused...

[AtlantaTaxExpert]

You do not file dual status, nor do you file Form 1040.

You are a non-resident alien, so you file Form 1040NR.

You can claim both the $3,200 personal exemption and the $5,000 standard deduction. However, you can deduct your total itemized deductions IF they exceed the $5,000 standard deduction. So yes, you claim either the standard deduction or the itemized deductions, but not both.

[jkandas]

ATE,

One last question... so I am filing 1040NR with std deduction and personal exemption.

But how about tax treaty? Is that separate? Can I have one more $5000 along with the above std deduction and personal exemption?

Thanks for your time!

[AtlantaTaxExpert]

No, the standard deduction IS the $5,000 treaty exemption.

You get ONLY the $5,000 standard deduction and $3,200 personal exemption.