CR1 Unique Tax Situation Help

[U&L 6]

Hello Everybody, 

 

I have a tax filing question but first some background on the situation:

Now, my wife came in on a K-1 visa in December 2018. We were married in March 2019 in the US. We filed for adjustment of status. We were denied because of lack of financial evidence from co-sponsor. Consequently my wife left the country. (It's a sad story, I know) 

So now, in 2020, we are applying for a CR1 visa. Our I-130 was recently approved by USCIS. We are gathering documents for the NVC stage. I am having some trouble filing my taxes for 2019 with the filing status. Do I file Married File Separately or Married File Jointly?  My wife never got a ITIN number while she was in the states. We did not know that was a thing. We were waiting for the green card and the SSN. 

 

If we file Jointly we will have to attach a W7 with evidence like her actual passport. There is a list of other documents. In a nutshell, for our situation, the W7 makes it more complicated. 

if we file separately do we need a W7, does I need to put an ITIN for her? The reason this question stumps me is because she was in the US for the majority of 2019(Jan - midDec). So technically she is a resident alien(due to substantial presence test). From what I have seen on IRS you can elect to treat a non-resident as a resident but not the other way around. So what I am really getting at is...in this situation is my wife required to get an ITIN if I go MFS route? Do I need to have an ITIN for her on my return? 

Any insight would be appreciated. I hope I explained it clear enough. We don't want to have any trouble again as we are already traumitized. 
 

[Liam2021 583]

Go with MFS route since spouse SSN or ITIN not required, and you can amended your tax later when your spouse coming.

[U&L 6]

45 minutes ago, H&T said:

Go with MFS route since spouse SSN or ITIN not required, and you can amended your tax later when your spouse coming.

I like the sound of this. I also found this excerpt from IRS Pub. 17 

 

Quote

How to file. If you file a separate return, you generally report only your own income, credits, and deductions. Select this filing status by checking the “Married filing separately” box on the Filing Status line at the top of Form 1040 or 1040-SR. Enter your spouse's full name and SSN or ITIN in the entry space at the bottom of the Filing Status section. If your spouse doesn't have and isn't required to have an SSN or ITIN, enter “NRA” in the space for your spouse's SSN. Use the Married filing separately column of the Tax Table, or Section C of the Tax Computation Worksheet, to figure your tax.

My further question is: Is my wife required to have an ITIN because she was present in the US for at least 339 days in 2019(i.e. substantial presence) making her actually a resident alien? 

Would the IRS investigate this further? is it even in their interest? Do you see what I mean? I just wanna make sure the case is water tight.

 

I guess what makes our situation unique in my eyes is that she did live in the US before and was denied, compared to other CR1 where the spouse never lived in the US. 

 

 

I would be more simple to not have to file that W7. I just want to be sure before we proceed. Thanks in advance. 

Edited June 13, 2020 by Uriah & Laura

[Ryan H 3,812]

Moved from IR-1/CR-1 Process & Procedures to Tax & Finances During US Immigration forum.

[Wuozopo 4,293]

23 hours ago, Uriah & Laura said:

I like the sound of this. I also found this excerpt from IRS Pub. 17 

 

My further question is: Is my wife required to have an ITIN because she was present in the US for at least 339 days in 2019(i.e. substantial presence) making her actually a resident alien? 

Would the IRS investigate this further? is it even in their interest? Do you see what I mean? I just wanna make sure the case is water tight.

 

I guess what makes our situation unique in my eyes is that she did live in the US before and was denied, compared to other CR1 where the spouse never lived in the US. 

 

 

I would be more simple to not have to file that W7. I just want to be sure before we proceed. Thanks in advance. 

File Married Filing Separately and use NRA in the place for SSN/ITIN. She is not required to have an ITIN unless you file a joint return.  I don’t think the IRS  is going to be counting up her days.

 

Also note if you are doing taxes yourself with software: 

Most programs will not allow NRA in that box because they are programmed to accept only numeric characters. Thus no e-file for you. Get everything else correct ignoring only the prompt to add a SSN. THEN print the return and fill in that blank box you left with a pen..NRA. Then sign, attach the W2 to the front,  and mail the return to the proper address based on where you live

[payxibka 10,045]

Not so unique for this site

[U&L 6]

10 minutes ago, Wuozopo said:

File Married Filing Separately and use NRA in the place for SSN/ITIN. She is not required to have an ITIN unless you file a joint return.  I don’t think the IRS  is going to be counting up her days.

 

Also note if you are doing taxes yourself with software: 

Most programs will not allow NRA in that box because they are programmed to accept only numeric characters. Thus no e-file for you. Get everything else correct ignoring only the prompt to add a SSN. THEN print the return and fill in that blank box you left with a pen..NRA. Then sign, attach the W2 to the front,  and mail the return to the proper address based on where you live

Thanks Wuozopo. 

 

That really puts me at ease. I am glad to know I was overthinking this part a bit, feels good. We got our USCIS approval in 4 months. Jan - May. It was alot quicker than expected. I am curious to see how fast the NVC/Embassy phase will go. Maybe slower maybe fast as well. I will be interesting to see. Thanks again though.

[U&L 6]

14 minutes ago, payxibka said:

Not so unique for this site

That's some good news then.😃