[dk_patel]

I came us on L1 Visa on 22nd July 2006 along with My wife & Son . I am working for Indian compony and we have US subsidiary.. In US, my US company is paying me the salary.

My family went t back to india 29th Oct 2006 and I am still here and will be going in early Feb 07.

I also visited US on business visa (B1) 4-5 time.In 2006
Last week of Dec 2005 - 2nd or 3rd week of Feb 2006 (Total Approx 1.5 month)
May 2006 - 2nd or 3rd week of June 2006 (Approx 1.25 Month)

During my business trip I have not received any salary in US but received in India.Company provided me accommodation and some other alliance for food etc..

Now I am not clear I am resident alien or non-resident alien? Since my presence in US is more than 200days but on different visa. Which Tax return I have to file.Can I claim dedication for my wife & Son

[AtlantaTaxExpert]

In my opinion, because you exceed 183 days in country, you must file a U.S. tax return and pay U.S. taxes on your income.

You will need to file a dual-status tax return. You need to file a dual-status tax`return. This is a complex return which requires preparation of BOTH Form 1040 and 1040NR.

You should get professional tax help to file such a return. If you want ky help, you can contact me at [email protected].

I apologize for the late answer. I have been without Internet access since Friday.

[dk_patel]

Thanks for quick reply.


What is difference difference between deduction and exception. Is exemption is something by default you get it ($3300.00) or is their any pre requisite for it.

Can I take show my wife & son as dependent and claim exemptions for them If so how much. Will I get any self exemptions?

Do I have to submit ITIN for my wife & Son? So what should be their status option "d" &"e" or option "g"

Since my wife is on L2 she is not eligible for SSN so, What will be my status on return Married filed jointly? Or else I have to file separate return for my wife even though she has no income.

Is there any moving expense I can claim since I came from india?

I appreciate for your guidance

[AtlantaTaxExpert]

For all intent and purposes, the "personal exemption" is another word for deductions.

You CAN claim your wife and son as dependents. You WILL have to file Form W-7 to get them ITINs. Use the option as "dependent of non-resident alien".

You CANNOT file jointly with your spouse if you file a dual-status return.

You CAN claim moving expenses using Form 3903.

I STRONGLY recommend you get professional tax help! If you want to use my service, contact me at [email protected].

[dk_patel]

Thanks for reply.

But I am wondering that since I was present during from Dec -05 to Feb -06 i.e. 1st day of 2006 and also present here i.e last day of year, so what should be my residency start date.
The difference is at beginning I was present on B1 visa & now on L1 visa. If residency start date is from beginning of year then I am resident here?

Also since on dual status I can not file joint but my wife had no income so I have to file with no income and take exemption in my return?

Appreciate for your guidance.Thanks

[AtlantaTaxExpert]

The period for Dec 05 to Feb 06 is not taxable, since your pay originated in India and presumably was taxed by India. Further, it would not qualify you for residency even if it did count, because the Substantial Presence Test by itself does not allow you to file as a resident alien.
If you are a non-resident for even one day, you must file either a non-resident tax return or a dual-status tax return.

Now you COULD file a non-resident alien tax return (Form 1040NR), and that would be the form of choice if you did not want to claim your wife or son as a dependent.

Since your wife had no income, she does not have to file a return.

The dual-status return will allow you to claim your wife and child as dependents. That's an additional $6,600 in exemptions for the trouble of filling out two W-7s and mailing in certified/notarzied photocopies of their passports.

[dk_patel]

Sorry! Missed to check reply last week

Appreciate for your quick response.Thanks

[AtlantaTaxExpert]

Glad to help!