Don't forget about state taxes too! My wife is a nonresident alien and we file jointly for federal, but some states have different rules. In California where we live, we had to file a separate nonresident state return for her foreign income even though we filed jointly for federal. Check your state's rules!

Just want to add another perspective here - we went through this exact situation last year and successfully filed jointly with the standard deduction. The key thing that helped us was understanding that the election to treat your NRA spouse as a resident is made simply by filing a joint return and including both spouses' worldwide income. You don't need to file any separate forms to make this election - it's automatic when you file Form 1040 jointly. However, you do need to attach a statement signed by both spouses saying you're making this election (this is the part many people miss). One tip: calculate both ways before deciding. We ran the numbers filing separately vs. jointly and the standard deduction savings from filing jointly more than offset the extra tax on my husband's foreign income. But every situation is different depending on income levels and what country the foreign income comes from (tax treaties matter!). The IRS Publication 519 has the clearest explanation of this if you want the official source, specifically the section on "Nonresident Spouse Treated as Resident.

Something nobody's mentioned - if this is your first job ever, you might qualify for some credits that will reduce any taxes you might owe. Did you have any tuition expenses? Moving expenses to get closer to work? Work from home expenses? Also make sure you claim the Climate Action Incentive payment if you live in Alberta, Saskatchewan, Manitoba or Ontario. It's a few hundred bucks you could get back depending on your province!

I went through this exact same stress last year! The good news is that if your employer has been deducting taxes from your paychecks (which it sounds like they have), you're probably in good shape. Here's what helped me figure things out: Get your T4 from your employer - they're required to give it to you by the end of February. This document will show exactly how much you earned and how much tax was already deducted. Since you mentioned your paystubs show tax withholding, you'll likely either owe a small amount or get a refund. For a first job with straightforward employment income, the withholding system usually works pretty well. A few quick tips for first-time filers: - Don't forget to claim the basic personal amount (everyone gets this) - If you moved for work, keep those receipts - moving expenses can be deductible - Any tuition or textbook expenses from school can reduce your taxes - Work-from-home expenses if your job required it The "chicken and egg" problem with the CRA account is super frustrating, but once you file your first return, you'll be able to access your online account for future years. Until then, the tax software options others mentioned will show you exactly what you owe (or what you're getting back) before you submit anything. You've got this! First-time filing is intimidating but it gets much easier once you've done it once.

Dependents take longer to process becuz of all the fraud last year. Just gotta be patient unfortunately

This is totally normal! I went through the exact same panic last year. The "RETURN NOT PRESENT" message doesn't mean your return is lost - it just means the IRS hasn't finished processing it yet. Since you filed as Head of Household with dependents, your return goes through additional verification steps that can take 3-4 weeks, sometimes longer during busy season. The fact that your filing status is showing correctly on the transcript is actually a good sign that your return was received. Keep checking your transcript weekly and you should see those blank fields start populating once processing completes. Don't stress - FreeTaxUSA's acceptance message means you're in the system!

Don't forget about the possibility of an AMT credit! If you do end up paying AMT from exercising ISOs, you can potentially recover that as a credit in future years when your regular tax exceeds your AMT. Worth factoring into your long-term planning.

Just went through this exact scenario last year and want to share what I learned the hard way. Your $130k capital loss won't help with the AMT from ISO exercises, but here's a key point everyone's missing: timing matters hugely for your specific situation. Since your startup hasn't gone public, you're dealing with illiquid stock. If you exercise now and the company's valuation drops before going public, you could end up owing AMT on phantom gains while holding worthless shares. I'd strongly recommend exercising only what you can afford to lose completely, regardless of the tax implications. Also, consider that your $130k loss can carry forward for years - don't feel pressured to "use" it this year. With 45k options at a $1.40 spread, you're looking at ~$63k in AMT income as others calculated. Maybe exercise 15k-20k options this year to test the waters, then reassess next year based on your company's progress and your financial situation. The AMT credit is real, but only helpful if you eventually have regular tax exceeding AMT - which might not happen for years with a startup that could fail. Better to be conservative here.

Quick question - does anybody know if the Section 179 works for used equipment? I'm looking at buying a used commercial oven for my bakery that's about $18,000 (new would be like $30k). Does previously owned stuff qualify?

Great thread! As someone who's been running a small manufacturing business for 8 years, I wanted to add a few practical tips that might help with your food truck situation: First, don't overlook smaller items - things like commercial-grade tablets for inventory management, specialized storage containers, or even heavy-duty extension cords can add up and qualify for Section 179. I've seen people focus only on the big-ticket items and miss hundreds or thousands in smaller deductions. Second, if you're planning that delivery van purchase, consider the timing carefully. Since you mentioned meeting with your accountant next week, ask them about your projected income for the rest of the year. If you're expecting a strong Q4, making the van purchase before December 31st could maximize your tax savings. One thing that caught me off guard my first year using Section 179 - make sure your business structure can handle it. If you're a sole proprietor or single-member LLC, the deduction flows through to your personal return and can only offset business income, not other income sources. Also keep detailed records of everything, including photos of equipment in use at your food truck. The IRS loves documentation, and it'll save you headaches if you ever get audited. Good luck with maximizing those deductions!