Hello. I was a student of F1 visa from January 2021 till December 2022. I worked on F1 OPT from December 2022 till December 2023.
For tax years 2021 and 2022 I was filing as non-resident alien since I was exempt individual for tax purposes during those two years.
I have transitioned to H1B on December 17th, 2023 after my OPT expired.
I have a question about the status change. I need to open savings account (IRA) to start contributing portion of my income to it, but the financial institutions don’t allow opening IRAs if you’re not a resident alien for taxation purposes. I also would like to change my brokerage account status from non-resident alien to resident alien, but they told me the same: “come back when you are a resident alien and we’ll send you a form to fill to change your status”.
When do I become resident alien, and can open an IRA account?
—Is it when I meet the substantial presence, so in about 6 months since my H1B started in late December;
—Or is it only after the full year of working on H1B, and after I submit my first tax return as resident alien?
Thank you for any guidance and advice.
