Can You File Jointly if Your Spouse Is Not a US Citizen?

When a U.S. citizen or resident alien marries a non-U.S. citizen, income tax filing can present challenges. While a non-resident alien spouse is generally not included on a joint tax return, the U.S. tax system offers an election. This election allows eligible couples to choose a filing status that can impact their tax obligations. Understanding this election and its implications is important.

Default Tax Filing Status for Non-Citizen Spouses

A non-resident alien (NRA) spouse is not included on a joint tax return with their U.S. citizen or resident alien spouse. Non-resident aliens are taxed by the United States only on income from U.S. sources. Income earned outside the U.S. by a non-resident alien is not subject to U.S. taxation.

In this scenario, the U.S. citizen or resident alien spouse must file using the “Married Filing Separately” status. This status means the U.S. spouse reports only their own income, deductions, and credits on their individual tax return. The non-resident alien spouse does not file a U.S. tax return unless they have U.S. source income subject to tax.

Married Filing Separately can limit access to tax benefits and credits available to married couples filing jointly. This arrangement often results in a higher tax liability compared to filing a joint return. The complexities of this status highlight the importance of understanding alternative filing options.

Electing Resident Alien Status for Joint Filing

An election allows a U.S. citizen or resident alien married to a non-resident alien to file a joint tax return. This election treats the non-resident alien spouse as a U.S. resident for tax purposes for the entire tax year. This means their worldwide income, regardless of its source, becomes subject to U.S. taxation.

Making this election means the non-resident alien spouse must report all income, including foreign-earned income, to the Internal Revenue Service (IRS). This departs from the rule where non-resident aliens are only taxed on U.S. source income. Both spouses become jointly and severally liable for any tax due on the joint return.

To make this election, the non-resident alien spouse must have or obtain a U.S. taxpayer identification number. This can be a Social Security Number (SSN) if they are authorized to work in the U.S. or an Individual Taxpayer Identification Number (ITIN). An ITIN is a tax processing number issued by the IRS to individuals who need a U.S. taxpayer identification number but are not eligible for an SSN.

Benefits of this election include access to more favorable tax rates, the standard deduction for married couples, and tax credits not available under Married Filing Separately status. Joint filers can claim credits like the Child Tax Credit or education credits. This election also simplifies tax planning for the couple by consolidating their income and deductions.

Once made, this election applies for the year it is made and for all subsequent tax years. It continues in effect unless it is terminated by either spouse, revoked by the spouses, or terminated by the IRS. The decision to make this election should be considered due to its impact on worldwide income taxation and ongoing filing requirements.

Making the Election and Filing Jointly

Making the election to treat a non-resident alien spouse as a resident alien for tax purposes involves specific steps. A written statement must be prepared, indicating the intent to make this election. This statement should include the names, addresses, and taxpayer identification numbers (SSNs or ITINs) for both spouses.

The statement must also declare that one spouse is a U.S. citizen or resident alien and the other is a non-resident alien. It must state that the couple elects to be treated as U.S. residents for tax purposes for the tax year the election is made and for all subsequent tax years. This declaration is a formal commitment to the U.S. tax system for both individuals.

This election statement must be attached to the couple’s joint income tax return, Form 1040, for the first tax year the election is in effect. For this initial filing, both the U.S. citizen/resident alien spouse and the non-resident alien spouse must sign the tax return. This dual signature signifies their agreement to the election and joint liability.

The completed Form 1040, along with the attached election statement, is then submitted to the IRS. While e-filing may be possible, returns involving this election are often mailed to an IRS address. For subsequent tax years, if the election remains in effect, a new statement is not required; simply filing a joint Form 1040 is sufficient to continue the election.

Alternative Filing Options

If the election to treat a non-resident alien spouse as a resident alien is not made or is not suitable, other filing options exist. The most common alternative is “Married Filing Separately.” Under this status, the U.S. citizen or resident alien spouse files their tax return individually, reporting only their own income, deductions, and credits.

The non-resident alien spouse, in this scenario, does not file a U.S. tax return unless they have U.S. source income subject to tax. This filing status can result in a higher tax liability for the U.S. spouse, as tax benefits available to joint filers are reduced or eliminated. For example, the standard deduction for married filing separately is half of the joint standard deduction.

Another filing status for a U.S. citizen or resident alien married to a non-resident alien is “Head of Household.” This status may be available if the U.S. spouse has a qualifying child or dependent and meets specific criteria. To qualify, the U.S. spouse must pay more than half the cost of keeping up a home for a qualifying person for more than half the year. This status often provides a larger standard deduction and more favorable tax rates than Married Filing Separately.