 |
|
| Browse | Ask | Answer | Search | Join/Login |
|
|
||||
|
Standard deduction for H1B/OPT
I cannot decide if I am eligible to claim the $5000 (or 4850?) standard deduction. I was on an F-1 visa until Sep 30 this year (on OPT from June 29 - Sep 30). I have been on H1-B since Oct 1. I suppose that means I count as a non-resident for tax purposes.
Now, according to pub 519, student/business apprentices who are residents of india (which I am) can claim the standard deduction of $5000 (or 4850?). I am wondering if I qualify. Since I have been a student for 9 of the 12 months in 2005 I will appreciate some pointers to answer this THanks Vikas |
||||
|
||||
|
If you are not married, file nonresident tax return. You can use treaty deduction for your OPT income. Your U.S. Tax Return: U.S. Tax Filing Requirements for Non-Residents |
||||
|
||||
|
Hi,
If a married girl go on H1B visa and does not take her husband along with her to USA then can you please help me to understand the tax that will be deducted from her salary. I heard that for singles 30% tax is deducted and for married ones 10% tax is deducted. Now please help me to know how much tax will be deducted in my case because I am not planning to take my husband along with me to USA. Let's suppose my salary will be $5000 per month in US. |
||||
|
||||
|
Even though your husband is NOT with you, you are STILL considered to be married.
For this reason, you will be taxed at the Married Fuiling Separately tax rates if you file by yourself. The GOOD news is that you can file jointly with your husband, irrespective of his physical location; he could be on Mars for all the IRS cares. He WILL have to sign the tax return and apply for an ITIN using Form W-7, but this is very doable (I do it about a dozen times every tax season), though it does take about a month to get everything done. You WILL have to declare his home country income, but you can either exclude the income using Form 2555 or claim the Foreign Tax Credit using Form 1116, whichever is more advantageous. It is likely that filing jointly will result in a MUCH lower tax rate for you. If you need professional help doing this, email me at the email address in my profile. |
||||
| Question Tools | Search this Question |
Add your answer here.
Check out some similar questions!
Dear all, My status in US changed from F1 to H1B in mid Nov 2004. I was on F1 from Sep 2002-Nov 2004. Will I be able to take the standard deduction ? If so will it be under the US-India treaty? Please help. Regards.
Hello, My visa status changed from F1 to H1B on the 22nd August 2005. For the purpose of taxes, I have a few questions/ clarifications - 1. I believe that I would be considered as a non resident (since I am under 183 days for resident status) and hence would have to file both 1040NREZ and...
Hello ATE & others, I was reading pub501, pub901 and 1040NR-EZ instructions regarding the $5000 exemption for students from India. However, I am unclear about the correct way to report it in 1040NR-EZ. Could you please let me know which of the following is appropriate? 1. Deduct it from total...
Hi I am a Indian working in client place for a consulting firm, my status was CPT/OPT in 2005 & currently in from Jan 2006 status is H1. In this scenario to file form 2106, I don't have documents to prove the expenses(transportation , meals etc).; I have estimated the expense(this is minimum...
Hi, I am an Indian citizen. I as on a F1 status till Oct 18th 2004 and then I got converted to a H1B on Oct 18th 2004. I do not pass the standard presence test. Correct me if I am wrong, but I guess I have been able to determine that I am a Non Resident Alien and not a dual-status nonresident...
View more questions Search
|
