Tax Time

[Steve and Qingqing]

So does the IRS have access to any of our other government forms? Shes stated shes worked in China on those....

[audelair]

hmm, what can I do since my wife did not arrive into the US until January 2006. Although we were married in mid-2005 and lived abroad.

 

How should I file?

 

Thanks for any advice

[Steve and Qingqing]

Ok, I spoke with the IRS, and I can file two ways.. Head of household ( as per Publication 519) or Joint return electing my non resident alien wife be treated as an resident alien for tax purposes..I figured both ways out, and putting in her salary, it works out the same..My wife said we only need one joint tax return for our next interview and that we should E-file head of household... I think we should do a joint return and have 2 years taxes this way... any opinions?

[frank1538]

Ok, I spoke with the IRS, and I can file two ways.. Head of household ( as per Publication 519) or Joint return electing my non resident alien wife be treated as an resident alien for tax purposes..I figured both ways out, and putting in her salary, it works out the same..My wife said we only need one joint tax return for our next interview and that we should E-file head of household... I think we should do a joint return and have 2 years taxes this way... any opinions?

192717[/snapback]

You've touched on a little known area - "head of household" for married folks, and the IRS is right is saying that even though you were married, you might fit the head of household category.

 

Here's some additional guidance on the subject: http://www.irs.gov/publications/p501/ar02.html#d0e2164

 

There are three requirements that must be met in order to file as head of household: 1) you have to be unmarried or considered unmarried; 2) you have to have paid more than half of the costs of keeping up your home; and 3) you have a "qualified person" who lived with you for more than half the year.

 

The first requirement (unmarried or considered unmarried) is where an alien spouse figures in. This is what Pub 501 says:

 

"...Nonresident alien spouse. You are considered unmarried for head of household purposes if your spouse was a nonresident alien at any time during the year and you do not choose to treat your nonresident spouse as a resident alien. However, your spouse is not a qualifying person for head of household purposes. You must have another qualifying person and meet the other tests to be eligible to file as a head of household."

 

Assuming you meet the other requirements, you are right in running the numbers both ways to see which produces the best answer. I agree though, if the numbers are about the same, I'd prefer to go to an AOS interview armed with a joint return.

[Steve and Qingqing]

Thanks frank. We decided on going the joint return as well...

[NY-Viking]

I imagine this topic will be of increased interest in the next couple of weeks.

 

This is a real pain for me. My wife didn't work at all in the U.S. last year, but we had a joint bank account which earned a little interest. Anyway, she did work in China for a couple of months, and probably has a couple of thousand in income. I'm currently a student, so with or without her income and then the marriage deductions by filing jointly, we should end up with no income taxes, but I think by including her income I'll get screwed slightly in MN property taxes. Still, I think I should include her income and whatnot so I don't have any later implications for my Bar application.