County Assessor wants information I don't have concerning a foreign spouse. Threatening with only a partial homestead.

[Hunterman]

Minnesota.

I think this is fairly self-explanatory. Any advice and help would be appreciated. I have owned the property since 2007. Only my name is on the title and mortgage.

From the county:

October 18, 2022

Dear Property Owner,
County Records indicate your marital status changed since your last Homestead Application was filed, therefore, the Assessor's Office is asking to have the enclosed Homestead Application completed in order to update this change. A spouse is also considered an owner of the property for tax purposes even if their name is not listed on the deed. As stated in the Assessor's manual:
"Owners or individuals occupying residences owned by their spouse and previously occupied with that spouse, either of whom fail to include the other spouse's name and Social Security number on the homestead application or to provide any information or proof requested will be deemed to have elected to receive only partial homestead treatment of their property. The remainder of the property will be classified as non-homesteaded."
Please complete the enclosed homestead application and return to our office with a copy of your spouse's driver's license. Failure to do so may result in a partial homestead on the property. An envelope is provided for your convenience.


Here is what I have written as a response, but have not sent, yet. Any advice is appreciated.

County Assessor's Office,
I received your letter dated October, 28, 2022. I want to explain the situation and ask you how to proceed.
On June 29, 2022 I married a woman named X. X is not a citizen of the United States. She is a citizen of Norway. X is living and working in Norway and has no intention of ever living or working in the USA. X does not have a Social Security number and she is ineligible to get one. X does not have an ITIN and she is ineligible to apply for one. X does not own my house here and I don't own her house in Norway. X does not have a United States driver's license. X is in Norway and not available to sign the application
I am unsure how to fill out the form you sent. Any guidance would be greatly appreciated.

Sincerely,
Hunterman

Here's a link to the homestead application.
https://www.millelacs.mn.gov/DocumentCenter/View/206/Homestead-Application-Form-PDF

 

[adjusterjack]

I am unsure how to fill out the form you sent.

I am, and others are also likely to be, unsure how to fill out the form because you haven't provided a link to the form on the assessor's website.

Options:

1 - Provide a link to the form.
2 - Wait for a response to your letter.
3 - Call up the assessor's office and discuss.

 

[Hunterman]

Here's a link to the homestead application.
https://www.millelacs.mn.gov/DocumentCenter/View/206/Homestead-Application-Form-PDF

 

[adjusterjack]

Seems simple enough.

Section 3 spouse.

SSN/TIN - None
Phone number
email
Does spouse occupy the property - No
Spouse's address in Norway.
Date vacated - I guess whatever the last date she was present, or if never present - Never lived in owner's res.

Looks like you'll need your spouse's signature. Have her print it out, sign it, scan it, and email it back to you.

At the bottom of the third page is a big white space where you can explain things the way you explained it in your letter, or attach a letter.

No guarantees, of course, but that's how I would handle it.

 

[Hunterman]

Seems simple enough.

Section 3 spouse.

SSN/TIN - None
Phone number
email
Does spouse occupy the property - No
Spouse's address in Norway.
Date vacated - I guess whatever the last date she was present, or if never present - Never lived in owner's res.

Looks like you'll need your spouse's signature. Have her print it out, sign it, scan it, and email it back to you.

At the bottom of the third page is a big white space where you can explain things the way you explained it in your letter, or attach a letter.

No guarantees, of course, but that's how I would handle it.

Thank you.

 

[Zigner]

Why do you believe she doesn't qualify for an ITIN? She is your spouse.

 

[davew9128]

Why do you believe she doesn't qualify for an ITIN? She is your spouse.

Because an NRA spouse must be filing a US tax return in order to apply for it, and I can think of a half dozen reasons off the top of my head as to why you wouldn't make an election to subject the spouse to the US income tax regime, which is what needs to happen.

 

[Hunterman]

Why do you believe she doesn't qualify for an ITIN? She is your spouse.

She won't be filing an income tax return and she won't be claimed by me as a dependent so she's not eligible to get an ITIN.

 

[Taxing Matters]

Why do you believe she doesn't qualify for an ITIN? She is your spouse.

She could get one if they chose to elect to do that, but as davew9128 points out, that means subjecting her foreign income to U.S. tax. If she has significant foreign income, then such an election may end up costing them more in tax, and since she lives outside the U.S., that election can create other problems for her too. Before electing to do that, I'd suggest they get advice from both U.S. and Norway tax experts.

 

[Zigner]

Because an NRA spouse must be filing a US tax return in order to apply for it, and I can think of a half dozen reasons off the top of my head as to why you wouldn't make an election to subject the spouse to the US income tax regime, which is what needs to happen.

She could get one if they chose to elect to do that, but as davew9128 points out, that means subjecting her foreign income to U.S. tax. If she has significant foreign income, then such an election may end up costing them more in tax, and since she lives outside the U.S., that election can create other problems for her too. Before electing to do that, I'd suggest they get advice from both U.S. and Norway tax experts.

Fair enough - thanks.