Ask Experts Questions for FREE Help !
Ask
    cherit's Avatar
    cherit Posts: 1, Reputation: 1
    New Member
     
    #1

    Mar 7, 2008, 03:47 PM
    Confused over resident/non resident/dual status
    Hi,

    I'm in US on H1B visa from July 22,2007 , along with my wife on H4.

    I fail the substantial presence test by about 20 days. So should I be filing as Non-resident/resident or dual status ?

    Talked to one consultant who asked me to file as Non-resident, while another told that it isn't required as I'm married !

    If I'm filing as non-resident, can I claim any excemption for my wife. As most documents mention that I should assume the status of 'single' when using NR form.

    Can any of you clarify on which form I can use and which status I should use ?


    Thanks a lot,

    C'ian
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
     
    #2

    Apr 25, 2008, 01:27 PM
    You can file jointly with your wife and you both CHOSE to be treated as resident aliens. This will allow you to claim the $10,700 joint standard deduction plus two $3,400 personal exemption (for yourself and your wife).

    The downside is that:

    you must WAIT to meet the Substantial Test before you can file, which means you must wait until mid-May 2008.
    you must declare ALL 2007 world-wide income.

    There are two offsets available, by either claiming a Foreign Tax Credit (Form 1116) or a Foreign Income Exclusion (Form 2555).
    Even with the downside, this is probably the best way for you to file.

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Dual-Status or Resident Alien? [ 4 Answers ]

My husband came to the US on January 15 2007 on H1B visa and working in the US until now, which means he passes the Substantial Presence test (he does not have Green Card). He is from India. Will he be considered as a resident alien or a dual-status alien for tax purposes for the year 2007? ...

Dual status or resident alien? (TN->F1) [ 6 Answers ]

This is my situation, I was on a TN visa up until Sept, when I went back to school (and of course got a F1 visa instead). The past few years I've filed as resident alien, and I will pass the substantial presence test this year as well. So can I file as resident alien (instead of doing dual...

Non resident W4 for dual status [ 5 Answers ]

Hello All, Following is my employment status: 2007 Jan - May - part time as graduate assistant at university 2007 Jun - Dec - full time on CPT My employer did not withheld my social security and medicare tax in 2007 while on CPT. Now in year 2008, I'm on OPT (since 17 dec) and my H1...

Dual Status resident [ 1 Answers ]

I am a dual status resident and have to file 1040NR for first 3 months and for remaining months I will be filing 1040. I am married and have one son. Can I claim my spouse and kid as dependent and claim exemption. Thank you.

Dual status resident or resident? [ 2 Answers ]

I am not sure whether I am a dual status resident despite reading the IRS website. Background: I arrived on September 17, 2005 in the USA, started working on September 19, 2005. I filled as nonresident (1040NR I believe) in 2005. I spent a week vacation in February 2006 in my homecountry. I...


View more questions Search