[princerock]

Hi tax experts, I have some questions regarding making first year choice.

Background: I came to US in Aug 05 on F1 and worked on OPT from Jan 08 to Sept 08. From Oct 08 I became H1B. I got married in Dec 08 and my wife came to US (H4) in Mar 09.

Questions:
1. My wife was not in US in 08. Can I still file jointly with her? According to pub 519, I can use first year choice so that I am a resident alien at the end of 08. Then my wife, who is a nonresident alien married to a resident, can be treated as resident too. And we both can be treated as residents for the whole year. I have to make two statements for this (one for first year choice, one for nonresident spouse treated as resident). Am I correct?

2. After reading some other posts, I think I don't have to pay FICA or medicare retroactively. Right?

3. Does my wife need to pay tax for her income outside US in 08? What form does this?

Thanks for your help in advance!

[MukatA]

1. Yes, you can file joint return as residents. You will attach only one statement stating that you have met the requirements and you both want to be treated as residents for 2008.
2. Yes, you will pay FICA only during H1-B.
3. Yes, you must both report your worldwide income for 2008. If your wife paid taxes in foreign country then you will also file form 1116 Foreign tax credit or Form 2555 Earned income exclusion.
Your U.S. Tax Return: U.S. Citizen or Resident with Foreign Income