Married filing jointly spouse is nonresident alien

[cc_25c6e9b8]

My wife and I married last year, and we wish to file married filing jointly this year. I'm a citizen and resident. She worked as an au pair, here on a J-1 visa, and is classified as a non-resident alien. As far as I understand, we can treat her as a resident for federal income tax purposes. However, we're having trouble figuring out exactly how to report her income. Since filed 1040-NR in the past, as she was filing as a nonresident. As she was an au pair, she does not have a W-2 or 1099 or any sort of form. The host family was not required to give her one.

How do we report her income? Do we put it in Miscellaneous Income as a household employee? When I try this, it gives me a warning not to report any number above $2700, which she made more than. Apparently, she's required to request a W2 from her "employer", presumably her host family. However, we weren't married yet when she was working as an au pair, so they had no reason to produce a W-2. Can I just put her wages (which are above $2700) in this box anyway?

Otherwise, do we put it in self employment? This is the second closest alternative, but she wasn't really self employed. She worked for a family; she just didn't get tax forms. Furthermore, when I input "au pair" into the self employment section, it suggests "nanny services". Is that accurate? Should I put "other", or can I put "nanny services", even though she wasn't really in the nanny business?

[KrisD15]

Yes, you both can make the election this tax year to file a joint return. Your spouse will be treated as a resident for tax filing purposes. 

Select the option in the "Personal Info" section and TurboTax will generate the Statement to include with your return. 

You will need to mail the joint return along with the statement. If she has an ITIN, mail it to the address in the TurboTax instructions. If she does not, mail it with Form W-7 (and the required documents) to the office in Austin TX. The address is listed in the instructions for the W-7.

I suggest you enter the income under:

• Wages & Income
• LESS COMMON INCOME
• Miscellaneous Income, 1099-A, 1099-C     START
• Other reportable income    START

Use something like "Nonresident spouse US income" as the description and the amount.

It will show up on Schedule 1 line 8z. 

The income will be subject to Income Tax, but not Self-Employment tax (FICA) since she will still not be required to pay into Social Security as an exempt taxpayer. 

IRS LINK