Reba wrote:However, by law her husband has to file taxes as married, and declare her income, whether she's in the country or not. BTDT, they didn't sell t-shirts.
Not if she's a non-immigrant alien and he's a resident US citizen, you can't file jointly a 1040NR and a 1040. And she could claim that until she filed for AOS or established other "residential ties".
Like I said there is a bit of fudge room there (not much because obviously you're married to an American and living there, I wouldn't try pushing it past three months). It still means you have to move near the end of the year, just not exactly on January 1st, necessarily.
You can always move your tax home prior to actually moving too, so if she moved say, at the end of January with a CR-1 she could say she established residential ties for tax purposes on January 1st. The problem with that is if she's working for the first couple of weeks of January in Canada, she would have to file a non-resident T1 as well as a (joint) 1040, instead of just a 1040 the following year. But doing it this way can get dicey with the CRA if they decide you were a resident of Canada for the first part of January. So quit your job before January 1st and don't have any Canadian-source income after the end of the year, basically, then it doesn't matter.


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