Taxes on green card

[emzie1007 0]

Hey guys. Please dont laugh at me because i feel really silly asking this but if you are a green card holder and do not work, do you still file jointly with your spouse? I was told i can and should but if i am not earning anything ( i am a student) then is this possible?

[Newbie608 103]

She should be able to claim you as a dependent...I think

[emzie1007 0]

Thank you!

[Boiler 46,104]

The 2 issues are not connected.

[Cathi 5,784]

yes

[VanessaTony 3,567]

She should be able to claim you as a dependent...I think

A spouse is NEVER a dependent.

[VanessaTony 3,567]

Hey guys. Please dont laugh at me because i feel really silly asking this but if you are a green card holder and do not work, do you still file jointly with your spouse? I was told i can and should but if i am not earning anything ( i am a student) then is this possible?

As long as you have a SSN then yes, you can file jointly. You will likely get a bigger refund filing with your spouse. Certain concessions available that aren't if filed separately.

I filed in 2009 and 2010 jointly even though I didn't start working until 2011.

[Dave&Roza 748]

Hey guys. Please dont laugh at me because i feel really silly asking this but if you are a green card holder and do not work, do you still file jointly with your spouse? I was told i can and should but if i am not earning anything ( i am a student) then is this possible?

Two options 1) file as married filing jointly or 2) file as married filing seperately. You will have to look at your tax situation to determine which is more beneficial to YOU. For us, my wfe does not work, but we have a large inheritence from my parents that is acting like her "income" so filing jointly gives us the best tax breaks. Being married you MUST file as married and include the information about the spouse on the form in the spousal information section and not in the dependent section--that is why a spouse is never considered a dependent as each is treated differently.

Just remember that as a LPR, just like a USC, you must file US taxes on world-wide income. Please notice I said FILE taxes--completely different than PAYING taxes.

Dave

Edited December 15, 2012 by Dave&Roza

[emzie1007 0]

Ok i totally understand now! Thank you so much for your help guys. I wanted to make sure i did what i needed to correctly and this has definitely answered my questions!

[aaron2020 11,651]

Ok i totally understand now! Thank you so much for your help guys. I wanted to make sure i did what i needed to correctly and this has definitely answered my questions!

You are not your husband's dependent for tax purposes. A spouse is NEVER a dependent. A spouse can only be a joint filer. This means both people file together. Neither is a dependent of the other.

Even though you do not work, it is best if you file "married filing jointly" with your husband. A husband and wife is considered one economic unit for tax purposes. This will also get you the best results - lowest taxes possible => higher refund or less tax owed.

DO NOT FILE "MARRIED FILING SEPARATELY." This will end up with your family paying extra taxes since you have zero income and your husband can only claim one personal exemption.

[Darnell 8,479]

Hey guys. Please dont laugh at me because i feel really silly asking this but if you are a green card holder and do not work, do you still file jointly with your spouse? I was told i can and should but if i am not earning anything ( i am a student) then is this possible?

yup - status is 'married filing jointly'

now that school is out, please study up a 1040 instruction book. It's great reading, for the winter break.

[emzie1007 0]

Thanks everyone! You guys are so helpful!

[aaron2020 11,651]

Two options 1) file as married filing jointly or 2) file as married filing seperately. You will have to look at your tax situation to determine which is more beneficial to YOU. For us, my wfe does not work, but we have a large inheritence from my parents that is acting like her "income" so filing jointly gives us the best tax breaks. Being married you MUST file as married and include the information about the spouse on the form in the spousal information section and not in the dependent section--that is why a spouse is never considered a dependent as each is treated differently.

Just remember that as a LPR, just like a USC, you must file US taxes on world-wide income. Please notice I said FILE taxes--completely different than PAYING taxes.

Dave

For federal tax purposes, an inheritance is exempt from income taxes. No federal income tax is ever owed by the beneficiary. An inheritance is NEVER reported on a 1040 federal tax return.

You may want to go over your tax returns to fix this if you reported your inheritance as income on your 1040.

Edited December 15, 2012 by aaron2020

[bigdog 376]

As long as you have a SSN then yes, you can file jointly. You will likely get a bigger refund filing with your spouse. Certain concessions available that aren't if filed separately.

I filed in 2009 and 2010 jointly even though I didn't start working until 2011.

:thumbs:yep

[Dave&Roza 748]

For federal tax purposes, an inheritance is exempt from income taxes. No federal income tax is ever owed by the beneficiary. An inheritance is NEVER reported on a 1040 federal tax return.

You may want to go over your tax returns to fix this if you reported your inheritance as income on your 1040.

If the inheritance is in the form of stocks and bonds and IRAs it is taxable to the beneficiary when they cash in the stocks and take their RMD on the inherited IRA it is taxed at the tax rate of the person based on income level and where this additional income places you in the tax brackets. So my wife not working and we get capital gains and the RMD taxed at a much lower rate by filing as joint verses filing seperately. I realize there is no inheritance tax unless the estate is over $5 million, but there are tax ramifications depending on what you do with the estate funds. The government wants to get there share.

Dave