I have several questions regarding the 2012 federal tax return.

Last year I was employed in the US on an F1 Visa (OPT STEM Extension, resident for tax purpose, present in the US for over 6 years ). In August 2012 , my wife joined me in the US on an F2 visa (she hasn’t applied for a, ITIN). Subsequently, in November 2012, my wife and I left the US and returned to our home country India.

Any help regarding the tax forms to filled will be greatly appreciated.

Thanks

It is probably most advantageous for you to file jointly with your wife, filing Form 1040 with Form 1116 to claim the Foreign Tax Credit.  Form 1116 is required because you must claim ALL world-wide income earned in 2012, and the Form 1116 allows you to claim a credit for the income taxes paid to your home country.

You will need to apply for Individual Tax Identification Number (ITIN) for your wife by submitting Form W-7, and that process has undergone some radical procedural changes this past year.  Instead of the simple notarization process, the IRS now requires that your home country certify the photocopy of your passport as a true copy.  This is due to rampant fraud in the ITIN submission process.  The notaries simply cannot tell the difference between a fake passport and the genuine passport.

You will need to get the passport photocopy certified by the Indian Interior Ministry, plus get an apostille which certifies the authenticity of the passport itself. The alternative is to mail in the actual passports themselves, something most of my clients are reluctant to do.

Once you get the ITIN, you can then amend past year returns to JOINT status. The fact that your wife was in India is irrelevant; she could be on Mars for all the IRS cares.

If you want professional help, email me at the email address in my profile (if you cannot see it below).

@ AtlantaTaxExpert, Thank you very much.

Glad to help!

It is probably most advantageous for you to file jointly with your wife, filing Form 1040 with Form 1116 to claim the Foreign Tax Credit.  Form 1116 is required because you must claim ALL world-wide income earned in 2012, and the Form 1116 allows you to claim a credit for the income taxes paid to your home country.


Do I need to submit a Form 1116 even if I did not have any foreign income during the year 2012?

Thanks

No Form 1116 is required if you had no foreign income.

However, you WILL have to submit a Residency Termination Statement with your 2012 tax return.