[kasamba]

Dear ATE n other members,

I got a lot of valuable help from this site when I was filing last year.
I have some questions about filing tax forms this year. It would be great if you guys can give me some direction.

I came to US as an F-1 student(nationality:Indian) on Aug 2003. After studies I was on CPT till Dec 2005 and then on OPT from Dec 2005 to October 1st 2006. My H-1 B started from Oct 1st 2006 and I have been on H1-B since then.

My questions are:
1) What forms do I need to file for federal returns (1040 or 1040NR(1040NR-EZ))
2) Also, can I make use of the article 21(2) std deduction exemption under US-India tax treaty.. Did that amount change from last years returns (2005)?
3) Also I received a form 1099G from my state. Do I need to report it on the federal returns (if I am using std deduction under article 21(2)? How about the same on the state returns?

I am confused because for majority for the year(10 mnths) I was in OPT(f-1) and then H1-B(for the nxt two months of 2006).

Can you guys please provide me with some direction.
Thank you,
Suprita

[kasamba]

Dear ATE n other members,

I got a lot of valuable help from this site when i was filing last year.
I have some questions about filing tax forms this year. It would be great if you guys can give me some direction.

I came to US as an F-1 student(nationality:Indian) on Aug 2003. After studies I was on CPT till Dec 2005 and then on OPT from Dec 2005 to October 1st 2006. My H-1 B started from Oct 1st 2006 and i have been on H1-B since then.

My questions are:
1) What forms do i need to file for federal returns (1040 or 1040NR(1040NR-EZ))
2) Also, can i make use of the article 21(2) std deduction exemption under US-India tax treaty..Did that amount change from last years returns (2005)?
3) Also i received a form 1099G from my state. Do i need to report it on the federal returns (if i am using std deduction under article 21(2)? how about the same on the state returns?

I am confused because for majority fo the year(10 mnths) i was in OPT(f-1) and then H1-B(for the nxt two months of 2006).

Can u guys please provide me with some direction.
Thank you,
Suprita

Can anyone tell me if there is a rule that you have to be in H1-B x number of days in the year to be filing 1040? I am guessing I need to file 1040NR-EZ with 8843.

[kasamba]

Can someone please please answer this.

[gunsaulus]

I believe you do not pass the Substantial Presencec Test for 2006 since you were on H-1B for only 2 months (This is the same as my case).

Therefore you should file form 1040NR/1040NREZ.
Yes, you can claim the standard deduction from article 21(2) for $5150
As for 1099G, the refund you got is tax deductible if you itemized your state tax in your previous years 1040NR(EZ). I am not aware of too many students who have done this... so I guess you don't need to pay tax on it.

I used a software called CINTAX for filing my retuns. I had all three questions that you had. My answers to you are based on what CINTAX did.

CINTAX is a software for international tax filers... if you are having trouble with your return you can try using it.

[kasamba]

Thanks Much.. I have heard of CINTAX.. I guess people like you n me need to file 1040 from next year.. so won't have all these complications next time round.
Thanks again.

[AtlantaTaxExpert]

Kasamba:

Sorry for the delay in answers; see my sticky note as to why.

You ARE a non-resident alien. File Form 1040 or 1040NR.