@geminagl wrote:
Thank you! I have some follow ups to your comments below.
It could be, but it depends on your spouse's other income.
My husband's income is under 25% of mine for the 2022 tax year, so this is why I had thought MFJ might provide the most benefits.
Include a W-7 application with your tax return and file by mail.
Just confirming there is no way to file this application online or ahead of the 2022 filing?
If you do not make the election to treat your spouse as a resident for tax purposes, then your spouse would file a non-resident tax return to only report US-sourced income. If they do not live or work in the US, they probably don't have US-sourced income, except for some rare exceptions.
This information relates to MFS, correct?
My husband's income is under 25% of mine for the 2022 tax year, so this is why I had thought MFJ might provide the most benefits.
Here again, the issue is that if you make the election to treat him as a US resident for tax purposes, then you must report his income on your joint US tax return which will raise your tax, possibly by more than the increased deductions. If he pays tax in Mexico, you can claim that as a credit to offset the increased US tax. The only way to really know for sure in your situation is to test different combinations. (Also note that if he applies for a green card or citizenship, one of the questions is "have you accurately reported any prior US income and paid your income tax?")
Just confirming there is no way to file this application online or ahead of the 2022 filing?
Per the instructions, the applicant needs a financial connection to the US. Filing a joint tax return with a US person creates that connection. Starting a business in the US might also create such a connection, and there are a few other rules. Check the instructions to form W-7. In general, he won't have a financial connection to the US until you file the joint return so you can't apply until you file the joint return, but you may qualify for an exception.
This information relates to MFS, correct?
Correct, if you file MFS, your spouse does not file any US tax return, unless they have what is considered "US-source income", in which case they file a non-resident tax return form 1040-NR also as married filing separately.
