[samdep2003]

Hi,
I have a L1 Visa and came here in April 2009 on a intracompany transfer. I went and brought back my wife and son on L2 on May. I have the following questions

1. My wife does not have SSN and do I have to apply for ITIN durin the time of filing or can I apply for it now itself. My W2 form will come only in 1est week of feb. Hence I thought I would apply for ITIN for my wife and son. Is this okay

2. WIll I be able to apply for moving expense from India to US ?

Your answer would be greatly helpful

[AtlantaTaxExpert]

You can file jointly with your wife and you both CHOSE to be treated as resident aliens. This will allow you to claim the $11,400 joint standard deduction plus two $3,650 personal exemption (for yourself and your wife) plus one $3,650 exemption for your child PLUS the $1,000 Child Tax Credit.

You WILL be able to claim the moving expense using Form 3903 if you paid the expenses out of pocket with no reimbursement from your employer, or if the reimbursement was added to your taxable salary.

You will need to submit Forms W-7 to apply for ITINs for your wife and child. A notarized photocopy of their passport needs to be stapled to the W-7. You can get the photocopies notarized at any local bank or, failing that, at your local IRS office.

The downside is that you must declare ALL 2009 world-wide income, but you can at least partially offset any double taxation by claiming a Foreign Tax Credit (Form 1116).

Even with the downside, this is probably the best way for you to file.

If you want professional help doing this, email me at [email protected].

[smoothy]

And DO apply for the TID you will need for your wife and any and all children. You should have been issued your TID with your Visa if you haven't already.

[samdep2003]

Hi,
Thanks for your replies.

I have a further clarification. Do I declare the Foreign income in 1040 or I need to declare everything in 1116
Regards
Leo

[AtlantaTaxExpert]

Leo:

You declare the foreign income on the Form 1040 (wages on Line 7), plus cite it on the Form 1116.

If you need professional help, contact me at [email protected].