[aramesh2502]

Hi,
Let me thank you first for your valuable time.
My case Jan2005-Oct2005 on OPT. Oct2005 - Dec2005 on H1B

Here are my list of questions:

1. Do i need to file seperately for OPT and H1?
2. Which forms do i need to fill out 1040 NREZ or 1040 EZ
3. What about filing state taxes? I live in Alabama,Birmingham

Your help is greatly appreciated.

[AtlantaTaxExpert]

1) No, you do not. You are a dual-status alien, which means you must either:

- File a dual-status return, which would mean completing both Form 1040 and Form 1040NR. The Form 1040NR is used to report the income while on OPT (I assume you were on F-1 status and the F-1 status did not extend beyond five calendar years). The Form 1040 is used to report ALL income, and the tax is calculated on the Form 1040. Unless you are Indian, you cannot claim the $5,000 standard deduction while filing a dual status return. It is a rather complicated return!

OR

- You can wait until early June 2006, at which time you can file as a resident alien (Form 1040, 1040A or 1040EZ) under the First Year Choice. You will need to file an extension (Form 4868), but you will be able to claim the $5,000 standard deduction as well as other tax credits not available on the dual status return.