US taxes when I only had Canadian income in 2015 - MFS?

[theanswerisdance 144]

Hi all, I really tried to avoid posting this as I know there's a ton of similar topics, but it feels like every person is in a different situation and I still can't find a clear answer. My husband and I went to an accountant who was just as clueless as us which wasn't very comforting.

I moved to California in May 2015 on a K1 and married that same month. Prior to May I worked in Canada, and from September through November 2015 I returned to Canada to work as well. I have my SSN and Green Card but have never earned a penny of US income. I know that if my husband made a substantial amount of money, that it would be best to go the married filing jointly route because it might mean a bigger refund, HOWEVER, he is currently a full-time student using the tax-free GI Bill and as such has next to no 2015 taxable income either (as in maybe $2500 in taxable income for the entire year). Based on that it doesn't seem worth it to file MFJ because then I have to report my foreign income. But if he files as married filing separately, then my question, as dumb as it sounds, is...what do I do? As a resident do I still file a return and just put all zeroes because I made no American money? If he files MFS then do I also do the same, but report my foreign income on mine? I really have no idea how to go about this and just finished dealing with my Canadian taxes and the CRA on this issue so am feeling really overwhelmed with tackling the USA side. I would greatly appreciate any insight as I don't feel like I can even turn to an accountant for help on this because so few have dealt with this situation it seems.

Thank you so much in advance!

[Telluride 0]

I am a US CPA, but not a tax person.. However, I can answer this question fairly well. Actually, I worked overseas and dealt with this personally.

Simple response... Once you become a permanent resident, your worldwide income is taxable. The good news is, there is an exemption for about the first $100,000 or so. So, file jointly as it won't really make a difference. However, I am assuming you are not making over the equivalent of $200,000 per year; if so you will have somewhat of a tax burden.

Also, if he files separately, he is still required to report you as his spouse with name and social security number. And, the IRS will be wondering why you failed to file a tax return now that you have a SSN.

[Telluride 0]

Forgot to add; there is a residency test and the exclusion depends on how long you lived outside of the US. There are plenty of Canadians in the US, particularly here in Phoenix. There are plenty of firms that specialize in this area and I could always refer you to someone if needed.