[Rohijee]

Hi

I came to US on L1B in aug 6th 2009 from india, Since I have not completed 183 days in 2009,so should I wait till 8th Feb10 to complete 183 days of US residency before filing tax,in order to get benefit of standard deduction. If not,is their any way I can claim tax benefits as married even though I am NRA?

[AtlantaTaxExpert]

Ifyou are single, then waiting to file will NOT allow you to claim the standard deduction, because waiting only qualifies you to file as a dual-status alien, and dual-status returns do NOT permit the claiming of the standard deduction.

This being the case, file Form 1040NR or 1040NR-EZ, filing as a non-resident alien and claiming itemized deductions (mostly state and local taxes withheld from your salary).

Now, if you are married, you can file jointly with your wife and you BOTH choose to be treated as resident aliens, which will allow you to claim TWO $3,600 personal exemptions plus a $11,400 joint standard deduction.

TWO DRAWBACKS:

1) You must wait until about 15 May 2010 to file in order to meet the Substantial Presence Test, which means you must be assured that you will in fact BE in the U.S. beyond 15 May 2010.

2) Both and your wife MUST declare all world-wide income. This can partually offset by claiming the Foreign Income Exclusion (Form 2555) or the Foreign Tax Credit (Form 1116) to avoid double taxation.

Even with the drawbacks, filing jointly is probably the best way to go, but you need to model it BOTH ways to be sure.