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As the tax day approaches, it is common for expats to feel overwhelmed with international tax forms. Questions like "Can you file a married filing jointly with a non-resident spouse?" flood the online tax websites only to confuse people even more. If you're an American living abroad married to someone who isn't a U.S. citizen, you're probably facing tax questions that never crossed your mind before expatriating. Is your spouse suddenly subject to U.S. taxes? Should you file separate returns?
Even when you think you understand the basics, international tax situations create layers of complexity that leave most of us second-guessing our decisions. That's why we've created this guide to help you understand your filing options and the tax benefits available when you're a U.S. expat married to a foreign spouse:
Can You File Jointly with a Foreign Spouse?
The straight answer is yes, you can file jointly with your foreign spouse, but it comes with a significant election that has long-term implications for both of you.
The joint filing option gives you the opportunity to access married filing jointly benefits. Your foreign spouse agrees to be treated as a U.S. resident for tax purposes, while you gain access to higher standard deductions and various credits. You can also combine your incomes and deductions on one tax return, potentially putting you in a lower tax bracket. For many expat couples, this election alone makes sense from a pure numbers perspective.
The thing to watch is what's called "making the Section 6013(g) election." You and your foreign spouse file Form 8832 with your tax return, and your non-resident alien spouse is treated as a U.S. resident for tax purposes. The catch here is that your spouse's worldwide income becomes subject to U.S. taxation, and they'll need to obtain a U.S. taxpayer identification number.
Process for Making the Section 6013(g) Election
The process for making this election is straightforward but needs to be done correctly:
ITIN Application: Obtain an Individual Taxpayer Identification Number (ITIN) for your foreign spouse through Form W-7 if they don't already have one or aren't eligible for a Social Security Number.
Election Statement: Attach a signed statement to your tax return declaring your intention to treat the non-resident spouse as a U.S. resident for tax purposes.
Statement Details: Include both spouses' names, address, and taxpayer identification numbers in the statement.
Timing of Filing: Submit this election with your original joint return, an amended return, or even a late return, but do it before the IRS questions your filing status.
Maintaining Election Status: Understand that this election remains in effect until formally revoked by either spouse or automatically terminated by events like legal separation.
Revocation Limitations: Be aware that once revoked, you generally can't make this election again for any subsequent tax year.
When Filing Separately Makes More Sense
Filing separately enjoys these distinct advantages:
- Your foreign spouse's income remains completely outside the U.S. tax system
- No need for your spouse to obtain a U.S. tax identification number
- Simpler paperwork with no need to report foreign financial accounts owned solely by your spouse
- Protection of foreign spouse's privacy and financial information
For example, if your British spouse works for a UK company:
- Their income isn't subject to U.S. taxation when filing separately
- You don't need to report their foreign bank accounts on your FBAR
- They maintain their financial privacy from the U.S. tax system
- That meant avoiding potentially thousands in additional U.S. tax liability!
These aren't hard and fast rules, they're more like guidelines to help you navigate your unique situation while maximizing your tax savings potential.
Head of Household Status: Can Expats Qualify?
With the right circumstances, expats might qualify as Head of Household despite being married. This could provide a higher standard deduction than filing as married filing separately and access to certain credits that wouldn't otherwise be available.
To qualify, the following key conditions must usually be met:
- Your spouse is a nonresident alien: If your foreign spouse does not elect to be treated as a U.S. tax resident, the IRS generally considers you “unmarried for tax purposes.” This opens the door to filing as Head of Household, provided other conditions are met.
- You maintain a home for a qualifying person: This means you paid more than half the cost of keeping up a home during the tax year (e.g., rent, utilities, groceries).
- Have a qualifying dependent, typically your child, who lived with you for more than half the year.
Key Tax Benefits You Could Be Missing
Choosing the right filing status can help with several valuable tax benefits. Here's when each status might help you access specific tax advantages:
Joint Filing Benefits:
- Higher standard deduction like $30,000 for 2025
- Lower tax brackets when combining incomes
- Ability to contribute to an IRA for a non-working spouse
Pro tip: Filing jointly gives you access to the Child and Dependent Care Credit which is completely unavailable to those filing separately.
Head of Household Benefits:
- Higher standard deduction than filing separately like $22,500 for 2025
- More favorable tax brackets than married filing separately
- Potentially qualifying for the Earned Income Credit
Many expats panic when they hear about forfeiting tax benefits money left on the table isn't anyone's goal. But once you consult with a tax professional, you'll discover that choosing the right filing status is surprisingly strategic. Just make sure you understand the trade-offs, consider both immediate tax savings and long-term implications, and don't make permanent decisions based solely on one year's tax situation.
How to Choose the Best Filing Option
While the options might seem daunting, the decision process is actually more straightforward than many fear. Every situation will need to be considered based on:
- Your foreign spouse's income level and sources
- Whether your spouse has U.S. tax obligations under treaties
- The presence of qualifying dependents
- Your comfort with bringing your spouse into the U.S. tax system
- Long-term immigration plans for your spouse
Here are things to keep in mind when choosing joint filing:
- Your spouse needs a U.S. tax identification number (ITIN if not eligible for SSN)
- All worldwide income for both spouses must be reported
- The election remains in place until terminated or revoked
Don’t make the mistake of not analyzing your spouse’s foreign pension implications or else you might spend hours figuring out the U.S. tax treatment of foreign retirement accounts ended up costing more stress than you normally would.
Reporting Requirements for Foreign Spouses and Assets
Before making your final filing decision, understand these crucial reporting requirements:
- FBAR (FinCEN Form 114) – Required if your combined foreign financial accounts exceed $10,000
- Form 8938 (FATCA) – Required if foreign assets exceed certain thresholds
- Form 3520 – May be needed for foreign gifts or inheritance
- Form 5471 – Required if you have ownership in foreign corporations
- Form 8621 – Required for investments in foreign mutual funds (PFICs)
When filing jointly, your spouse's foreign accounts and assets become reportable on your U.S. tax forms.
Pro tip: Keep documentation of your decision-making process for at least three years.
To Sum up
The key takeaways here is that joint filing offers higher standard deductions and access to more credits but subjects your spouse to U.S. taxation. Filing separately keeps your spouse out of the U.S. tax system but limits available tax benefits. And Head of Household might be available in specific circumstances to provide a middle-ground option.
Have questions about which filing status might work best for your specific situation? NSKT Global specializes in helping expats optimize tax situations through strategic filing status selection. Our tax professionals understand the nuances of international taxation and can ensure you're not leaving money on the table. From determining the right filing status to handling the paperwork, we'll navigate the complexities while you focus on living your international dream.
FAQs About Expats with Foreign Spouses and U.S. Taxes
Can I claim my foreign spouse as a dependent?
No. The IRS specifically prohibits claiming your spouse as a dependent regardless of their citizenship or residency status. Instead, consider whether filing jointly or as Head of Household (if you have qualifying dependents) might provide better tax benefits.
What if my spouse doesn't want a U.S. tax ID?
If your spouse is uncomfortable obtaining an ITIN, filing separately is your only option. Remember that the ITIN application process requires submitting identity documents to the IRS, which some foreign nationals prefer to avoid for privacy or other concerns.
Will we be taxed on all foreign income?
When filing jointly, all worldwide income from both spouses becomes subject to U.S. taxation. However, various exclusions, deductions, and foreign tax credits can often eliminate or substantially reduce the actual U.S. tax liability on that income.
Is filing jointly always better for expats?
Definitely not, while filing jointly offers higher standard deductions and access to more credits, it also brings your spouse's worldwide income into the U.S. tax system. If your spouse has substantial foreign income that would be heavily taxed by the U.S., filing separately often makes more financial sense.
Can I change our filing status later?
Once you've elected to treat your foreign spouse as a U.S. resident for tax purposes, that election remains in effect until properly terminated. Termination requires filing a statement with the IRS, and certain timing rules apply. Additionally, once terminated, you generally cannot make the election again without IRS consent.
