Non resident alien spouse income from her sister

Forum|Forum|1 year ago
March 17, 2025
1 reply
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Greetings Tax Community!

Hoping to find clarity.

Last year I married a Filipina citizen. She remains a non resident alien and lives in the Philippines. I'm electing to file married and jointly. I'm also electing to treat my wife as a US Citizen for tax purposes.

Her Filipina sister is also a non resident alien, who lives in Taiwan, gives my wife a monthly living stipend. My wife is raising her sister's baby and her sister gives her a child care stipend. There is no contract and my wife is not her employee. My wife claims no income for Philippines taxes.

In addition together they are building a house in thr Phillipines. Her sister sends my wife money to pay the contractors. The house is not in my wife's name.

Would any of these overseas non us income sources be considered taxable?

Not A Product Question

DavidD66

The money your wife's sister sends her to pay contractors would not be taxable income. The money your wife receives for the care of her niece would be taxable income if it is to compensate your wife for taking care of the child. It would not be taxable if you sister-in-law sends your wife money to cover the expenses for her child (i.e. the child's support).

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Worldtrlver81Author

Thank you for the clarity. I've been struggling with this for a while. My foreign sister in law sends child care expenses only, not necessarily a wage in compensation for the service. It's common practice in the Philippines for family members to help raise children , while they work overseas.

Does the irs require proof of relationship like a marriage certificate? I believe I need to disclose my foreign spouse bank details to the irs.