[cdacsumit]

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) Can we file as Married filling jointly, as resident alien?
2)Am I entitled for recovery rebate credit (around $1500)? I have not filled income tax last year, as I am new in US.
3) How to get ITIN for my wife (electronically)?

Regards,
Sumit

[AtlantaTaxExpert]

1) Yes, you can and should file jointly. It will offer the best tax benefits.

2) NOT for the 2007 rebate, because your wife will have an ITIN AND you were not in the U.S. in 2007. It has not yet been decided whether there will be a rebate for 2008.

3) You must submit Form W-7 to get an ITIN for your wife. This form cannot be filed electronically, The Form W-7, with the tax return, must be mailed manually.

[cdacsumit]

Are you sure that I can file as resident alien and not dual? Then, what is the diff between resident alien and dual for tax filling?

[cdacsumit]

1) Yes, you can and should file jointly. It will offer the best tax benefits.

2) NOT for the 2007 rebate, because your wife will have an ITIN AND you were not in the U.S. in 2007. It has not yet been decided whether there will be a rebate for 2008.

3) You must submit Form W-7 to get an ITIN for your wife. This form cannot be filed electronically, The Form W-7, with the tax return, must be mailed manually.

Are you sure that I can file as resident alien and not dual? Then, what is the diff between resident alien and dual for tax filling?

[AtlantaTaxExpert]

Yes, I am sure you can file jointly.

The difference is that, by filing jointly, you are:

1) Eligible for tax benefits not available as a dual-status alien, such as education credits and Child Tax Credits.

2) You can claim the standard deduction, something not available to dual-status aliens.

3) The standard deduction available is the JOINT standard deduction, which is TWICE the single standard deduction.