Hi Guys,
I am married and was on a H1B visa and had been filing taxes as a resident alien before moving to India in Mar 2020. Since then i have been living in India and i do not intend to return to USA.
Can i file my taxes as a Resident alien for the tax year 2020? I was reading about filing as a dual status alien, but what i understood was that it's totally optional to file that way and i can decide whether:
1) I want to file 1040 as a resident alien for full year or
2) I can file 1040 as a resident for Jan-Mar and then 1040 NR as a non-resident for the remaining portion of the year.
Is it correct understanding that i can make the decision on whether i want to go with option #1 or #2?
Also if i go with #1, would i be able to get the standard deduction (for full tax year 2020) and child credit when filing jointly with my spouse?
If you have met the SPT Substantial Presence Test, you may file as a resident in 2020. Your residency termination date is generally December 31 of the year you leave which is 2020.
In your situation, if you have stayed on H-1B visa and met SPT before March 2020, you are not a dual status. It is not an option. You have to file as a US resident with a Form 1040. To read IRS link, click here: Last year residency
If you are filing a resident, you are filing for the full year jointly with your spouse and qualify for the Child related credits if you meet the all the requirements.