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    wuzixin's Avatar
    wuzixin Posts: 7, Reputation: 1
    New Member
     
    #1

    Mar 16, 2009, 02:52 AM
    OPT then became resident alien -> can I tax treaty?
    I searched this site and couldn't find the answer. Any help would be greatly appreciated!

    From Jan 1 to July 31, 2008, I was on OPT, thus a non-resident alien.
    On Oct 1, 2008, my immigration status was changed to H1B.

    I know if I file tax return now for year 2008, I will file as non-resident alien, and I can claim $5000 US-China tax treaty for my wage during OPT (I did this in the past years when I was a student).

    But I would rather to extend my tax return until June so that my wife and I will pass the SPT and become resident aliens. Then my wife and I can treat us as resident alien for the entire year of 2008, and file jointly to claim the standard deduction (my wife has no income).

    My question is that: if we file jointly as resident alien, can I claim the $5000 US-China tax treaty for my wage during OPT, apart from the standard deduction? Considering the "saving clause" here:
    http://www.irs.gov/pub/irs-trty/china.pdf
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
     
    #2

    May 7, 2009, 10:55 AM
    Yes, you CAN claim the $5,000 treaty exemption even if you file jointly with your wife under an exception to the savings clause.

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