[Terry Chang]

Hi,

I need some help figuring out what's the best way for me to file my tax return this year. I am not a US citizen or permanent resident; in fact, I am a Canadian citizen. My time spent in 2009 is as follows:

01/01/2009 - 04/05/2009 => Vacation in Taiwan
04/06/2009 - 09/30/2009 => Employment in US via F1 OPT status
10/01/2009 - 12/31/2009 => Employment in US via H1B status

I am considering the following options:

1. Non-resident in 2009
2. Dual-status alien in 2009
3. File an extension and Resident in 2009
4. File an extension and dual status alien in 2009

1. This is the most straight forward way because I don't pass the SPT in 2009. But I owe taxes of > 1k so I would like to explore other legal options.

2. Even though I will not pass the SPT by the filing deadline (04/15/2010), I am very confident that I will eventually file as a resident in 2010 because I have stable employment. Therefore, I am wondering if I could use the First Year Choice (FYC) and just file as a dual status alien now.

3. I don't think this option is available to me because even if I use FYC I am only resident for part of the year, therefore, I will still need to file as a non-resident for the other part.

4. If I file a extension (4868) and then file as a dual-status alien, that would be ideal. It's basically like option 2 except instead of being confident about my filing as a resident in 2010, I would know it for sure. However, I read the "When and Where To File" paragraph about dual status alien on the IRS website (Taxation of Dual-Status Aliens). It said "f you are a resident alien on the last day of your tax year and report your income on a calendar year basis, you must file no later than April 15 of the year following the close of your tax year." Therefore, it seems like extension isn't an option and this choice isn't available to me too.

If someone can give me some tips about this, it would be great. I am very confused about what is the best way to file.

Thanks.

[MukatA]

When did you enter the U.S. on F-1? Are you married?
If you did not complete 5 years on F-1/OPT and are not married, file nonresident tax return.