I am on an H1B (final stages of Green card , pending 485) and am currently in Europe. I don't qualify for Presence test because I have spent better part of 2006 & 2007 in Europe. I got married in end of 2007 and my wife is european. My job requires me to stay in europe over extended periods

Should I...

1) File as a resident or Non-resident
2) file jointly? My wife's income is very little < 10000 Euros for 2007
3) Wife doesn't have SSN or ITIN, I am assuming I have to send the W7 form

Can somebody help me with my options here.

:(

Who is your employer? Why do you think that you must file the U.S. tax return?

1. Even if you need to file the U.S. tax return, you are nonresident.
2. No
3. No, she will not get ITIN.

Because my employer is a US based company and I have been on H1B with them for about 9 years now.