Married filing separate or joint for foreign spouse currently in i-130 process

[khans1025 6]

Okay I feel like this is a common situation and someone would have an answer:

 

I am a USC and currently waiting on my husband's spouse visa petition approval (form i-130). Obviously I know I have to file taxes as "married" status for 2018 since we were married in August 2018. 

My husband is in Costa Rica and doesn't have much income. My question is, would I file as jointly, or separately? He has never been outside of his country and so never had income from the US.

 

Does it even matter? Could I file jointly and just put his income as 0, or do I technically have to file as separate, since we are living apart at the moment? 

 

This is my first time filing as not single so I'd like a little guidance... but I don't think my situation is super specific that i'd need a tax professional so I figured i'd ask the forum

[NikLR 13,227]

probably separately.  He would need an SSN or ITIN to be able to file jointly.  

 

If you file separately you may need to paper file as well. 

[geowrian 22,337]

You can file either MFS or MFJ. MFJ usually provides a significant tax break. However, they must have an SSN or ITIN to do so. Since he has never been in the US, the only option sounds like getting an ITIN first if you go that route.

If filing MFJ, he must report his worldwide income...but the FEIE and/or FTC will likely eliminate any tax liability associated with that income.

 

The alternative is to file MFS now then amend later to MFJ once he has an SSN.

[khans1025 6]

2 minutes ago, NikLR said:

probably separately.  He would need an SSN or ITIN to be able to file jointly.  

 

If you file separately you may need to paper file as well. 

He would be eligible for ITIN, could I submit for him a request to get an ITIN?

[NikLR 13,227]

Just now, khans1025 said:

He would be eligible for ITIN, could I submit for him a request to get an ITIN?

Yes it's a w7 and you'll need his passport or a certified copy of his passport. 

[NikLR 13,227]

my husband simply submitted an extension that was accepted.  But I'm Canadian and sponsorship isn't much of an issue.  

[AstroCanada 206]

4 hours ago, geowrian said:

You can file either MFS or MFJ. MFJ usually provides a significant tax break. However, they must have an SSN or ITIN to do so. Since he has never been in the US, the only option sounds like getting an ITIN first if you go that route.

If filing MFJ, he must report his worldwide income...but the FEIE and/or FTC will likely eliminate any tax liability associated with that income.

 

The alternative is to file MFS now then amend later to MFJ once he has an SSN.

This is all really good advice.  Depending on how different your incomes are and where you fall in the tax brackets, you can end up with very different marginal tax rates for the two options.  You can probably pretty easily calculate the different tax rates and figure out if it's worth the extra effort to pursue either of the routes above.  

[payxibka 10,045]

8 hours ago, AstroCanada said:

This is all really good advice.  Depending on how different your incomes are and where you fall in the tax brackets, you can end up with very different marginal tax rates for the two options.  You can probably pretty easily calculate the different tax rates and figure out if it's worth the extra effort to pursue either of the routes above.  

Exactly what you do.  You prepare it each way and select the best option

[Diachka 66]

I'm also curious if it is important for the CO officer at the embassy whether the taxes are filed MFJ or MFS? Will it cause additional scrutiny at the interview if it's MFS? 

My husband filed the last year as MFS as I'm not in the USA waiting the whole spouse visa in my home country. We thought that if filing jointly, my income will be taxed in the USA along with my country too. I have SSN. 

[NikLR 13,227]

9 minutes ago, Diachka said:

I'm also curious if it is important for the CO officer at the embassy whether the taxes are filed MFJ or MFS? Will it cause additional scrutiny at the interview if it's MFS? 

My husband filed the last year as MFS as I'm not in the USA waiting the whole spouse visa in my home country. We thought that if filing jointly, my income will be taxed in the USA along with my country too. I have SSN. 

NO issue... it was married so that's the main thing

[geowrian 22,337]

12 minutes ago, Diachka said:

I'm also curious if it is important for the CO officer at the embassy whether the taxes are filed MFJ or MFS? Will it cause additional scrutiny at the interview if it's MFS? 

My husband filed the last year as MFS as I'm not in the USA waiting the whole spouse visa in my home country. We thought that if filing jointly, my income will be taxed in the USA along with my country too. I have SSN. 

No issue. MFS vs MFJ is a personal decision based on tax liability, not the legitimacy of the marriage.

Edited January 15, 2019 by geowrian

[Diachka 66]

8 minutes ago, geowrian said:

 

 

11 minutes ago, NikLR said:

NO issue... it was married so that's the main thing

 

8 minutes ago, geowrian said:

No issue. MFS vs MFJ is a personal decision based on tax liability, not the legitimacy of the marriage.

That's good news. Thank you!