[dprm]

I was in US in 2009 for more than 31 consecutive days and fail substantial presence test. I was on B1 from July 26 to Sept 26
But I entered US on H1 on Dec 3 hence could not complete 75% presence since my first 31 days presence (July 26 to 31 Dec= 60%)
It seems there is a facility to treat up to 5 days absence as presence in US.
Can I use 3 days of absence as presence and make 2009 as first year choice for me?
If yes, can I make a choice of my spouse to be resident align as well who is in US for 28 days in 2009?

[MukatA]

Why do you want to file resident return for 2009? You can deduct moving expenses and then your 2009 income (as on W-2) may not be taxable even if you file nonresident tax return.
On resident return, you must both report worldwide income and may also have to file Form FBAR. http://taxipay.blogspot.com/2008/03/...h-foreign.html

[dprm]

Thanks MuktatA, I would like to take exemptions for dependants: my wife and one kid who are non-earning nonresident aliens. Unfortunately company give me some bucks for relocation as part of salary, so despite using exemption for self, moving expenses I am ending up in paying up to 1500 tax if I file as non-resident alien 1040 NR. Is there any other way I can save this? I think my foreign income need not be mentioned here as it is being taxed there when I was non-resident in US. Is that right?

[MukatA]

For purposes of this 75% requirement, you can treat up to 5 days of absence from the United States as days of presence in the United States.