File 2016 Taxes for Wife (Previous J1 visa holder)

[kris_hetfield 11]

Hi all,

 

We got married recently in November and will be filing for AOS this month. My wife was a J1 visa holder in 2015 and should have an ITIN as she had applied for a tax return. But she will be considered a non-resident for tax purposes.

 

I was trying to file with H&R Block online, and after a series of questions they recommend a "best of both" approach that required meeting with a tax professional as a 1040NR would be required.

 

Would this form be necessary if filing jointly? She was unemployed for 2016, so it should be straightforward to fill out. I'm also concerned if this will mean we are filing separately in a way.

 

Would appreciate any input you guys may have. Thanks.

[Anthony.B 2]

You should be able to file jointly easily. I was a J1 too back then. But i used turbo tax to file with my wife. It would be good for immigration if you file it jointly they like seeing things like those.

[MariaR323 199]

Hi there,

 

A couple things... if she has no income to report then there is no need at all for a 1040NR.

 

If you are filing jointly, there is also no need for a 1040NR. If she was living in the U.S. for the entire year 2016 and the J1 labels her a nonresident, you can still file jointly by electing to be treated as a resident for tax purposes. See the IRS link here for info on the election statement: https://www.irs.gov/individuals/international-taxpayers/nonresident-spouse-treated-as-a-resident

 

If the J1 doesn't label her a nonresident and she lived in the U.S. for the entire year 2016, then there is no need for the election statement and you can file jointly.

[kris_hetfield 11]

10 minutes ago, Anthony.B said:

You should be able to file jointly easily. I was a J1 too back then. But i used turbo tax to file with my wife. It would be good for immigration if you file it jointly they like seeing things like those.

I'll check that out. I'm assuming you couldn't e-file through turbotax could you?

 

5 minutes ago, MariaR323 said:

Hi there,

 

A couple things... if she has no income to report then there is no need at all for a 1040NR.

 

If you are filing jointly, there is also no need for a 1040NR. If she was living in the U.S. for the entire year 2016 and the J1 labels her a nonresident, you can still file jointly by electing to be treated as a resident for tax purposes. See the IRS link here for info on the election statement: https://www.irs.gov/individuals/international-taxpayers/nonresident-spouse-treated-as-a-resident

 

If the J1 doesn't label her a nonresident and she lived in the U.S. for the entire year 2016, then there is no need for the election statement and you can file jointly.

Hi Maria, I should've been clearer. She left in Oct 2015 and re-entered the US in Nov 2016, so she would still be a nonresident.

 

I also have a bit of an issue with the health insurance. She wasn't insured for the last couple of months and I found out that I could fill out code "C" on form 8965 (did not live in the US and/or are not a citizen) to be exempt from the insurance penalty.

 

Do you know if electing her to be a resident for tax purposes would affect this?

[Anthony.B 2]

1 minute ago, kris_hetfield said:

I'll check that out. I'm assuming you couldn't e-file through turbotax could you?

 

Hi Maria, I should've been clearer. She left in Oct 2015 and re-entered the US in Nov 2016, so she would still be a nonresident.

 

I also have a bit of an issue with the health insurance. She wasn't insured for the last couple of months and I found out that I could fill out code "C" on form 8965 (did not live in the US and/or are not a citizen) to be exempt from the insurance penalty.

 

Do you know if electing her to be a resident for tax purposes would affect this?

hey again! Yes turbo tax is so easy, and everything is done online, both federal and state taxes. When joining turbo tax it will ask you if your married or single, i clicked married and it went through smoothly. I will be doing it again after i receive my w2's! Turbo tax is the most easiest thing i ever used.

[MariaR323 199]

26 minutes ago, kris_hetfield said:

I'll check that out. I'm assuming you couldn't e-file through turbotax could you?

 

Hi Maria, I should've been clearer. She left in Oct 2015 and re-entered the US in Nov 2016, so she would still be a nonresident.

 

I also have a bit of an issue with the health insurance. She wasn't insured for the last couple of months and I found out that I could fill out code "C" on form 8965 (did not live in the US and/or are not a citizen) to be exempt from the insurance penalty.

 

Do you know if electing her to be a resident for tax purposes would affect this?

 

I see. Ok, yes, she's considered a NRA for tax year 2016 and has no filing requirement on her own for 2016. You can elect to treat her as a resident for tax purposes and file your 2016 tax return as MFJ. To avoid any health ins. penalty you can certainly use Code C and the election to be treated as a resident has no effect on being able to use Code C.

 

You can prepare the return using TurboTax, however, you cannot e-File since you need to attach the election statement. It should go via regular mail (get tracking if possible).

 

Maria

[kris_hetfield 11]

2 hours ago, MariaR323 said:

 

I see. Ok, yes, she's considered a NRA for tax year 2016 and has no filing requirement on her own for 2016. You can elect to treat her as a resident for tax purposes and file your 2016 tax return as MFJ. To avoid any health ins. penalty you can certainly use Code C and the election to be treated as a resident has no effect on being able to use Code C.

 

You can prepare the return using TurboTax, however, you cannot e-File since you need to attach the election statement. It should go via regular mail (get tracking if possible).

 

Maria

TY for your suggestions. Would you also happen to know what should be done regarding state taxes? I live in MA, but am not expecting a specifics since it may be different to your situation.

[MariaR323 199]

46 minutes ago, kris_hetfield said:

TY for your suggestions. Would you also happen to know what should be done regarding state taxes? I live in MA, but am not expecting a specifics since it may be different to your situation.

 

I'm not too familiar with MA state tax rules but the little research I did looks like they do not conform to the Federal option to elect resident status for taxation.

 

" For Massachusetts Income Tax Purposes:
Regardless of taxpayer's residency status for federal purposes, Massachusetts relies on it own law in determining whether or not a taxpayer is a resident, nonresident or part-year resident ."

 

Here's the link to the excerpt above: http://www.mass.gov/dor/individuals/filing-and-payment-information/guide-to-personal-income-tax/residency-status.html#Alien

 

Since you mention there's no income at all for 2016 for your spouse, sounds like there's no need to even file a NR state tax return and you'll file your state tax return accordingly.

 

Hope this helps

[kris_hetfield 11]

10 minutes ago, MariaR323 said:

 

I'm not too familiar with MA state tax rules but the little research I did looks like they do not conform to the Federal option to elect resident status for taxation.

 

" For Massachusetts Income Tax Purposes:
Regardless of taxpayer's residency status for federal purposes, Massachusetts relies on it own law in determining whether or not a taxpayer is a resident, nonresident or part-year resident ."

 

Here's the link to the excerpt above: http://www.mass.gov/dor/individuals/filing-and-payment-information/guide-to-personal-income-tax/residency-status.html#Alien

 

Since you mention there's no income at all for 2016 for your spouse, sounds like there's no need to even file a NR state tax return and you'll file your state tax return accordingly.

 

Hope this helps

Thanks, it does. I'm just not sure whether that means I file it individually.

[MariaR323 199]

The nonresident spouse would not file anything and you would file most likely married filing separately (unless you qualify for another filing status, such as head of household). I'm not familiar with MA's rules regarding their filing status options but that link I gave you has all that info on it or do a general search on MA filing status options.

[britt76457 0]

Hi everyone so my wife is here on a j1 visa and we got married october and now it's time to file our taxes. The company that she is here for gave here a paper stating that she has to file a 1040NR form does that mean that I can't use turbo tax to file our taxes jointly?