H1B Revalidation with Tax Issues

[brindhu_shri]

Hi,

Firstly, sorry for the wrong mismatched fonts size in porevious thread. Pls see this one only.
My H1B Visa is expiring on 20th Aug 2006 and I need to go for re-validation for next extension of 3 yrs. I have few queries regarding the same. Would really appreciate & be grateful if you all can help me with your inputs.

1)
What all documents I need to have with me to initiate this process & go for the re-validation? Could you please provide with a list of the same?

2)
My H1B visa was issued on 24-Sep-2003 & I arrived in USA on 06-Nov-2003. I was on bench from 06-November-2003 to 06-January-2004 for 2 months. And so, I neither have W2 nor tax returns for the year 2003. But I have them for 2004 & 2005 is in process. Also, I have never been on-bench & have got regular pays from 6th Jan-2004 till date.

My question:
a) Firstly, is W2/Tax returns for 2003 necessary in my case?
b) If yes, and since I do not have them what can I do to be on a safer side?
c) How can I convince the consular officer about the same when I go for H1B Revalidation?
d) Can I file my taxes for 2003 now in some way or other?

3)
My employer office location is registered & physically present in NJ. From January-2004 to September-2004 I was in California on client site. But my pay-stubs show tax deductions based on NJ state.
From October-2004 to date I am in Maryland on client location. And the NJ Tax deduction continued till December-2004. My 2004 W2/tax returns have NJ State Filing & Refund details.
From January-2005 to April-2005, my employer deducted tax based on Wisconsin state showing company address as Wisconsin. (May be he created a virtual office for facilitating Green-card applications....I am not sure why. But there is no office is Wisconsin).
From April-2005 to September 2005 the tax was again deducted based on NJ state. And from September-2005 to date it is getting deducted based on Maryland state.

My question is:
a) Firstly, is this way of tax deduction a valid way?
b) Would it be a problem for revalidation as I have tax deductions from multiple states? As such only Maryland state tax deduction is valid that too for not my entire stay. Only recently from September 2005.
c) What should I answer if the consular asks me on which client locations have you worked or where did you live in Wisconsin or NJ(I have not worked in these 2 states so far & I have their paystubs from these states).
d) Am I on the wrong side of filing my returns?
e) If yes, what else can I do to cover up my self & rectify my mistakes.

Again, pls note, the tax deductions from these States was solely on employer's discretion & I never bothered to interfere or ask abt deductions from state other than where I lived. May be my mistake.

4) How early can I apply for revalidation? Is it 30/60/90 days before expiry date or can I apply even before 5-6 months before expiring? Is there a limit?

5) If asked in the US consulate while stamping, would it be OK to mention that my Green Card application is in process?

Your inputs will greatly help me to reduce my tension, especially for Tax-returns.

Regards,
Brindhu

 

[skali]

Hi Brindhu,

Your employer suppose to deduct tax for the state where you were working. even if not, if you filed your tax returns to those states you will be fine. My employer is a MI state and i used to working in CA for 4 years, He deducted tax only for MI because he doesnot have office in CA. so every year I get the tax back from MI(by filing MI state return) and paid for CA. If you did the same, you will be fine. There is another catch. Your employer suppose to file seperate LCA for the state you were working. otherwise it will be problem for you. you were working illegally to those states other than NJ.

SK

 

[brindhu_shri]

Hi Skali,

Thanks for the reply. Can you please throw some more light as to how can I file tax returns for CA & MD? Should I get the tax back from NJ & file again for CA & MD for 2004 & 2005 respectively, through a CPA?

Secondly, as you mention working in states other than NJ is illegal but aren't H1B's allowed to work at client sites other then the state location of their sponsorer?

Thirdly, when I work on client site other than NJ, should me or my employer apply for LCA for that particular state. Suppose the client changes in one year across two new states, everytime the employer needs to file LCA for those states?

I am confused on these parts. Please help!!

Thanks,
Brindhu

 

[skali]

Brindhu,

Regarding tax filling, you could say "you are on business travel to those cities client side" if you donto have any residential addresses for you in those cities. so you donot want to pay tax for those states. but you stayed there and had residential address (automatically you become a resident to that state) and used that for getting your driving licenses for those states, you should definitely filing state tax for those states. I guess you were in NJ whenever you filing your tax every year. otherwise tax offices (if you didnot file yourself) might told you about this.

Yes H1B holder can work anywhere in the clientside otherthan state location of their sponser as long as the sponser has valid LCA for the client side location (in case they donot have operation in those states). I would say you should validate whether it is true or not by any immigration lawyers. When my employer placed me in CA, he got LCA for the client side location mentioned in the LCA. so I had two LCA, one for MI and other one for the location i worked in CA. This is your employer has to file not you.

Gurus, currect me if i am wrong.

SK.

Its my experience only. Donot consider its a legal advice. verify yourself