Level 2

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F1/F2 filing as tax resident

Forum|Forum|3 years ago
January 8, 2023
6 replies
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I'm on F1 status, my spouse and child on F2 visa. We are in US since mid 2017, so pass substantial presence test and will file 2022 taxes as tax residents for the first time. I have SSN, my wife and child do not have SSN/ITIN. During 2017-2021, I filed form 1040-NR, spouse and child - form 8843.

Questions for filing 2022:

- is my spouse considered "tax resident" for 2022? (F2 visa, >5 years in US, no SSN/ITIN)

- how should we file taxes: "married filing jointly" or "married filing separately"

- can we file "married filing jointly" if my spouse does not have ITIN via Turbo Tax?

- if "married filing jointly", does my spouse has to file taxes? (she's not working)

- do my spouse / child need to get ITIN before filing taxes for 2022 or attach W-7 form if we file jointly?

- which reason should my spose choose in W-7 form:

- "Dependent/spouse of a nonresident alien holding a U.S. visa" OR

- "Spouse of U.S. citizen/resident alien"? OR

- "U.S. resident alien"

Thank you!

Best answer by pk_

@vc76 As I understand your situation

1. You a F-1 visa student have completed your exempt period and thus 2022 ( 2017 through 2021 were exempt ) is the first year you are filing as Resident for tax purposes.

2. Your spouse on F-2 and child also on F-2 have been living here in the USA all this time.

3. The question now is how to file for 2022 tax year.

Generally , and absent any independent adjustment to the dependent visa, the tax status of the dependent is the same as that of the main visa holder. Thus once you became a resident for tax purposes, your spouse also became a Resident for Tax purposes. Thus you can indeed file as Married Fling Joint ( MFJ) and obviously this means all her world income ( if any , and just yours ) is taxed by the USA.

Now to be able to file a joint return or any return for that matter one must have a TIN ( Tax Identification Number --- SSN, ITIN or ATIN ). Since your spouse does not have any TIN, you would need to file for that , either separately or along with your return -- in ether case the processing of your return ( any refund issuance ) would be delayed .

For filing along with your return , you prepare the return using TurboTax, use a dummy SSN for spouse and child ( you could use your own SSN and replace the last four digits with things like 4000 and 5000 for the spouse and child respectively), then print the return, replace the dummy SSNs with " N R A ", sign date by both you and spouse. Next download the ITIN application W-7, attache all the documentation required , and send the whole thing by secure post to the IRS. This will allow IRS to issue ITIN retrospectively and then process your return -- but it will take time.

Is there more I can do for you ?

A

Anonymous_

Level 15

I believe @pk12_2 may be able to help here.

P

pk_

Answer

Level 15

@vc76 As I understand your situation

1. You a F-1 visa student have completed your exempt period and thus 2022 ( 2017 through 2021 were exempt ) is the first year you are filing as Resident for tax purposes.

2. Your spouse on F-2 and child also on F-2 have been living here in the USA all this time.

3. The question now is how to file for 2022 tax year.

Generally , and absent any independent adjustment to the dependent visa, the tax status of the dependent is the same as that of the main visa holder. Thus once you became a resident for tax purposes, your spouse also became a Resident for Tax purposes. Thus you can indeed file as Married Fling Joint ( MFJ) and obviously this means all her world income ( if any , and just yours ) is taxed by the USA.

Now to be able to file a joint return or any return for that matter one must have a TIN ( Tax Identification Number --- SSN, ITIN or ATIN ). Since your spouse does not have any TIN, you would need to file for that , either separately or along with your return -- in ether case the processing of your return ( any refund issuance ) would be delayed .

For filing along with your return , you prepare the return using TurboTax, use a dummy SSN for spouse and child ( you could use your own SSN and replace the last four digits with things like 4000 and 5000 for the spouse and child respectively), then print the return, replace the dummy SSNs with " N R A ", sign date by both you and spouse. Next download the ITIN application W-7, attache all the documentation required , and send the whole thing by secure post to the IRS. This will allow IRS to issue ITIN retrospectively and then process your return -- but it will take time.

Is there more I can do for you ?

V

vc76Author

Level 2

@pk12_2 thank you for the detailed reply! I have some follow up questions:

- you mention to replace the dummy SSNs with "NRA" - does it stand for non-resident alien (she is resident alien already)? I also saw recommendations to us "RA" (resident alien?) and "APPLIED" - does it matter what we use?

- do I get it right that I need to send the federal taxes (MFJ pack) + W-7 form to the address listed for W-7, not the the address of regular tax form submission?

- if I use 'married file separately', is my spouse require to file taxes (she has no income)? If so, should she follow the same approach for SSN fields, i.e., dummy SSN, print, replace SSN...

- how should we deal with state / local taxes if ITIN is requested for my spouse?

- do I need ITIN for my child (F2 visa)?

Thank you!

P

pk_

Level 15

@vc76 ,

(a) you use NRA to draw attention that the person has NO TIN. The space of the TIN ( SSN / ITIN ) entry may not be large enough to write in RA-- Applied for ITIN.

(b) No, you send the mailed in return to where the return should be sent ( based on whether there check enclosed or not and State ). This is force the system to recognize that you have filed a return and they will have to move the W-7 to appropriate area and track the whole thing. If they come back for more info for the ITIN issuance then follow the direction in the note sent by the IRS at that time.

(c) If you want to file as Married Filing Separate, your standard deduction will be less, you will still have to get the ITIN for her/him later but without any income she/he does not need to file. ITIN is issued ONLY so you can file jointly.

(d) Ideally you should get TIN for the child also ( if the child is born here in the USA , you could get SSN ), especially if you stay here long enough to become a Tax resident -- because many credits /benefits require SSN or ITIN.

(e) If you file joint for the federal, you can also file the State the same way or as MFS ( most states allow that ). The state processing may be delayed because they will/may await the issuance of the ITIN. It is not very uncommon for this situation { other than of course the IRS in the past was significantly understaffed }.

Is there more I can do for you ?