How can I file jointly if my spouse is a foreign national?

[mrhodes08]

My spouse is Japanese and I am on orders.

[DoninGA]

If you are a US citizen or US resident and your spouse does not have a Social Security number or an ITIN and you are not applying for an ITIN with the tax return then you can only file your tax return as Married Filing Separately.  Where asked to enter the spouse's Social Security number enter 999-88-9999.  You can only print and mail your tax return, it cannot be e-filed.  When you print the tax return erase the Social Security number for your spouse and manually enter NRA for non-resident alien.

See this TurboTax support FAQ for the procedure to print and mail a tax return using the online editions - https://ttlc.intuit.com/questions/1944348-how-do-i-print-and-mail-my-return-in-turbotax-online

If you decide to file your tax return as Married Filing Jointly you must apply for an ITIN with the tax return and you would need to be providing a statement with your tax return that you want your Nonresident Alien Spouse Treated as a Resident.  See IRS Publication 54 Tax Guide for U.S. Citizens and Resident Aliens Abroad pages 9 - https://www.irs.gov/pub/irs-pdf/p54.pdf

Go to this IRS website for ITIN information - https://www.irs.gov/individuals/international-taxpayers/general-itin-information

[mrhodes08]

Follow up... I plan on getting her an ITIN number.  I am SOFA member living abroad on orders.  I know the ITIN number can take a minute, but I should have it in time before filing.  My spouse worked, I read I have to claim her income too, but she pays taxes to her home country.  Would I still claim her income on my return, even though there is no W2 for her?  How would I enter that data?  

[DoninGA]

If you are going to file as Married Filing Jointly, her income is entered on Form 2555, Foreign Earned Income, not on a W-2.

See this TurboTax support FAQ for foreign earned income - https://ttlc.intuit.com/turbotax-support/en-us/help-article/foreign-income/need-report-foreign-incom...

See this TurboTax support FAQ for the foreign tax credit - https://ttlc.intuit.com/turbotax-support/en-us/help-article/import-export-data-files/enter-foreign-t...

[mrhodes08]

So going through these steps, I am filing on my spouses behalf.  I indicated they were paid cash, as it is a family own business.  I would need a statement from the business stating how much income my spouse earned?  I would include that in the return?  

As I was filling out the FEI it said I did not qualify for the 2555 and deleted the form from my return.

[DoninGA]

No, to the best of my knowledge a statement is not required to be sent with the tax return for the cash income received.  However, if the IRS ever questioned this income it would be advisable that a statement be available for proof of income.

As for the Form 2555, you have to be filing as Married Filing Jointly.  Enter the amount of foreign income earned in the section under your spouse's name only.

[mrhodes08]

Correct, I did that and it said I do not qualify so it deleted the form.  It did still calculate her income though and use it towards the overall return.

Another question about the ITIN.  Since I am a SOFA member, I will be visiting our tax center here.  They can certify my spouses passport.  I need to submit the w-7, with the certified copy of her PP along with my upcoming tax return?  Or do I submit the W7 separately and wait to get the number before filing?

[DoninGA]

@mrhodes08 I will ask another of our experts who is well versed in these types of issues to respond, if they are available.

@pk Can you assist ?

[TomD8]

@mrhodes08 --

You will find the complete instructions on how to submit a W-7 application in this IRS Publication:

https://www.irs.gov/pub/irs-pdf/iw7.pdf

[pk]

@mrhodes08 , having gone through your post and the responses of my colleagues @DoninGA and @TomD8 , (and generally agreeing with the  responses) , what I get :

1.   you and your spouse are both  citizen of Japan

2. Under SOFA you are   on assignment  ( who pays  for your services -- Japan or the US ) on US base -- a US territory for tax purposes  ( which country/ base ?)

3.  Your wife  has her own earnings in Japan and is a resident of Japan  ( family business).

In general ( and  without refreshing my   memory on US-Japan tax treaty  which I need to do forthwith ), because  (a) you are military  and (b) your wife is living in Japan,  she would not be eligible for ITIN (  her income is foreign sourced and her tax home is Japan ).

4.  When did you enter the US ? US base on assignment ?

I am not familiar with the SOFA agreement  ( with Japan military ), will have to hunt for that-- but my sense  is that you are probably  treated as an US  personnel on duty.  Generally though if Japan is paying your wages  then you may have no US filing requirements. if US ia paying then you have to file  US return. 

Please any information you can provide on your deployment  ( and or SOFA applicable to you) would be very helpful.  Please help me on this.

I will circle back once I hear from you  and/or when I have  satisfied myself that I understand the situation and its nuances.

Look forward to hearing from you 

pk

[mtalha94]

Hello,

I am also in a similar position, so last year I filed my 2023 return and filled out my wife's return with 
SSN 999-98-999 and E-FILED it and it was accepted. 

So should I correct last years somehow ? or no ? because even this year I have to file with her but she is still not a resident yet. so can you please help me.

[mrhodes08]

I am an American citizen and have been living in Japan since 2019. Being a sofa member means I am employed with the United States government, I am paid by the United States government. My wife is a Japanese citizen who has never lived in the United States and she works for her family company here in Japan so all her income and taxes is from Japan. 

We got married this year and I was told the best way to do it is to file jointly as I can achieve a higher return that way. However she does not have an itin number and I know I need to submit a w7 for her to receive that. Where I work there was somebody that can do a certified copy of her passport to send in but I've been told one of two things. I can mail the w7 with the information with my current tax return in hopes of getting the itin or I just submit the w7 with a documents without filing my return at the same time. So my question is which one do I do?

[pk]

@mrhodes08 , thank you for the additional information.  I understand the situation to be :

1. You , a US person ( citizen )  have your tax home in Japan  ( US military / SOFA )

2. Your spouse is a Japanese national, lives with you

3. Spouse does not have a TIN ( SSN / ITIN).

(a) As an employee of the US admin / subdivisions, your earnings are US sourced. And under SOFA arrangement , Japan is not taxing this income -- so no double taxation.

(b) You can file as MFS ( Married Filing Sep ---  your standard deduction  then is like a single person.

)c) A better option for most married  person is to file  MFJ  ( Married Filing Joint ).   To be able to use this  your spouse  must agree to be taxed by US as a resident.  For that she needs   a TIN  ( SSN or ITIN ). 

                 1. This will mean  that you have to prepare the return using a dummy SSN, when all done print/sign date etc.  Her income needs to be included  as part of your joint world income.

                  2. Note that because her  tax home is foreign ( her income is foreign sourced ), you could take advantage of  Foreign Earned Income exclusion -- Japan will tax her income and under US-Japan tax treaty, her income is not taxed by the US.

                  3. You and your spouse need to sign a letter requesting her to be treated as a resident for tax purposes.

                  4. You have to prepare  the W-7 ( down load from the IRS site -- it is a fillable  .pdf .  Include all the docs required by the  instruction  of W-7.   The local IRS office or an agent  can certify the   copies of the documents.  Then send  everything to the IRS

The above is a summary . If you need more detailed help, you can either post here or PM  me  -- either way I will be happy to walk you through this whole thing.

Konnichiua

pk

[pk]

@mtalha94 , please give me more details of your  last year filing and plans for this year --

(a) are you a US person ( citizen/GreenCard/ Resident for Tax purposes )?

(b) Which country are you from  and entered with which visa ?

(c) What about your spouse ?   which country , which visa ?

(d) when did you enter this country ?  What about your spouse ?

  (e) do you have any children ?  when and where were they born ?

The you more you tell me , the more specific my answers will be.  If uncomfortable  on this public board you are welcome to PM me with details ( just NO PII -- personally identifiable information ).

Look forward to hearing from you .

pk

[mtalha94]

This question is about my 2023 Tax return ( which has been already filed last february and had been accepted)

 (a)   YES I am a US Citizen

 (b)   I am a US Citizen and since 2014, I am filing for my spouse who is in Pakistan 

  (c)  My spouse is from Pakistan ( we got married in 2022 december and she is still waiting on her visa interview ) 

(d)  I have been here since 2009 ( legally), she is not a US Citizen, never have been here. She is a Pakistani and was born in Pakistan.

  (e)  No children

I filed my 2023 tax return last year as Head of Household, I have myself and my mother as dependant and included my wife with SSN =(9,9,9,8,9,9,9,9,9 ) and filed it electronically. 
It was accepted and I received a refund.

But I found out it was supposed to be paper filed because she does not have a ITIN/SSN number yet. 
So how do I go back and fix last years return before completing this year's return.

THanks

Look forward to hearing from you .