[kish14all]

I came to US in August on L1 (Less than 180 days), I am married, my wife is in India only don't have SSN or TIN and she didn't come to US, so now can I claim her as a dependent for my tax filing?

[AtlantaTaxExpert]

You CANNOT claim her as a dependent. However, if you are scheduled to be here past mid-May 2011, you CAN file jointly with her. You would both CHOOSE to be treated as resident aliens. This will allow you to claim the $11,400 joint standard deduction plus two $3,650 personal exemptions (for yourself and your wife). Your wife would need an ITIN to file, however.

To apply for an ITIN, you need to complete Form W-7 for your wife. You need to make a photocopy of her passport, then get the photocopy notarized. This can also be done at a Indian notary. However, if done in India, she must also get a certificate of authenticity (called an apostille) from the Indian government. Depending on WHERE she lives, this can take from a few days to up to a YEAR.

The downside is that:
• You must wait until sometime in May 2011 to meet the Substantial Presence Test before you can file for Tax Year 2010. You would file the extension (Form 4868) request to extend the filing deadline to 15 Octiber 2011.
• You must declare ALL 2010 world-wide income (wife's home country income, if applicable). There is an offset available by either claiming the Foreign Tax Credit (Form 1116) or to claim the Foreign Earned Income Exclusion (Form 2555).

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

Doing this with your wife in India IS more difficult, but it IS doable; I do it every year at least a dozen times during tax season.

If you need professional help filing your return, email me at [email protected].