Would I be a resident alien or dual-status alien for tax purposes in 2017?

Question

Background: I came to the US in Aug 2013, to pursue my Master's degree. After graduating in Dec 2014, I worked for a company in Michigan from Feb 2015 to July 2017. Starting from Aug 2017, I have come back to school in Michigan to pursue my PhD. I have been on an F1 visa from Aug 2013 to Oct 2016, H1B visa from Oct 2016 to July 2017, and then F1 visa again starting from Aug 2017 onwards.

Questions:

1) For tax year 2017, I definitely meet the Substantial Presence Test (> 183 days on H1B visa) which makes me a residential alien for tax purposes. Since I came back to an F1 visa, does that make me a non-resident alien for the rest of 2017 (and hence, a dual-status alien)?

2) If yes, is there a software which handles the dual-status well? Or should I just generate 2 returns (1040/1040-NR) separately and mail them together?

Answer 1

1) For tax year 2017, I definitely meet the Substantial Presence Test (> 183 days on H1B visa) which makes me a residential alien for tax purposes. Since I came back to an F1 visa, does that make me a non-resident alien for the rest of 2017 (and hence, a dual-status alien)?

Since you pass the Substantial Presence Test for 2017, you are a resident alien for all of 2017.

Although this is your first year of residency (you were a resident alien for 2016), the First Year of Residency rules don't change anything because they say you start being a resident on the first day you were present in the US in 2017, and I presume you were in the US in the beginning of 2017.

The Last Year of Residency rules couldn't possibly apply, since you will be a resident alien for 2018 also (you are not an "exempt individual" as a student for your days on F1 if you have been an "exempt individual" for some part of 5 previous calendar years, and you have already been an "exempt individual" as a student for some part of 2013, 2014, 2015, 2016, and 2017).

So you are not dual-status, and you are a resident alien for all of 2017.