Tax Questions

[ayaycapino]

I am an American Citizen working/living in China. My wife is a Chinese Citizen working/living in China

 

I am filing the 1040

 

Do I need to file Jointly or can I mark Married Filing Separately

 

If i can File Separately, does she need to file a 1040 herself? (I do not choose to treat her as a resident)

 

If I file jointly does she need to file a 2555 also? Separately?

 

Does she need a W7 in either case (she does not have a SSN or Alien Reg #. I have heard I will need one for Jointly, but I dont know about Separately)

 

If filing jointly, do I only add up her income for the months of the tax year we were married (we were married in May: Do I calculate 7 months of salary or all 12?)

 

Please help

[Randy W]

You are more generous than I am. Filing married jointly is almost always better than filing married separately.

 

The Form 2555 is "For Use by U.S. Citizens and Resident (US) Aliens Only". Why donate money when they tell you not to?

 

You do need to file a W-7 for her with the tax return - be sure to mail your return to the address listed for that form, and NOT the one you would normally mail to.

 

For tax purposes, if you are married on Dec 31, you were married for the entire year.

 

You might want to ask yourself how much of her income in China is reported by her employer to the United States government.

[mikepellicore]

I think something like the first $87,000USD each is tax exempt for income earned outside the US. You should contact an accountant for advice on filing. Good Luck, Mike & Yizhen

Edited April 14, 2009 by mikepellicore (see edit history)

[ayaycapino]

THanks so much everyone. So just so I have this straight:

 

I should file married jointly, with a W7 for her and a 2555 for me. She doesnt need a 2555 but I factor her earnings into our joint income anyway (which by IRS standards is next to nothing)

 

Do I have it?