Just got married, but what am I supposed to file as?

Okay, I've been searching everywhere for this and I'm not sure what exactly I should do. I am a US citizen, just got married to my UK huband in December of 08. He has not and does not work or live in the US - I am still in the US (working on getting my spousal visa for the UK). I am starting the journey of filing my taxes and I am trying to figure out HOW I need to file.
1 - Married filing Jointly: This I don't think we will do as it will be a big hassle to get the documents needed to get DH an ITIN number to accomplish this and he would not be okay with having to file taxes every year for a country in which he is not even living. Also I read on another thread that this meathod is not recommended, although it did not say why.
2 - Married filing Seperately - this is what I was planning on doing, but am wondering if it is the best option as far as deductions, etc. From what I understand, filing jointly tends to give you more of a return and I'm wondering if filling seperately is going to make me have to pay more. Also, I just filled out my new W-4 form for work which brings me to...
3 - on line 3 when it asks your status (i.e. Single, Married, or Married, but withold at highter Single rate) it states "Note. If married, but legally separated, or spouse is a nonresident alien, check the "Single" box"... so that confused me even more. Is that something different from how I file my taxes or am I supposed to be filing as Single since my spouse is a nonresident alien? I have looked on the IRS website and different searches but have ended up more confused.

Thank you!!!

Hey, Chi Chi...once again, we're jumping over the same hurdles!  Did you get this one sorted?  I'm hoping to do my taxes tomorrow, but I'm quite confused as to how I should file.  Any wisdom would be greatly appreciated!

I think the Note may be telling you that in the eyes of the US gov't tax authority you are single if your spouse is a nonresident alien. So, even if you're married, to the tax man you are single. I would think that you can't file married if your status is single. Or it would be very confusing if you could.

You can actually call the IRS helpline and just ask them.

http://www.irs.gov/help/article/0,,id=96730,00.html
Telephone Assistance for Individuals:
Toll-Free, 1-800-829-1040
Hours of Operation: Monday – Friday, 7:00 a.m. – 10:00 p.m. your local time (Alaska & Hawaii follow Pacific Time).

I think the Note may be telling you that in the eyes of the US gov't tax authority you are single if your spouse is a nonresident alien.

Thanks for that number.  I called and they said that I'm allowed to file as "married filing separately" and DH doesn't need an ITIN.  Whew!

That is correct advice.

If you have joint accounts with your husband or signature over his accounts or use of his debit card etc he would still have to be disclosed on the TD F 90-22.1 if you need to file that form.

That is correct advice.

If you have joint accounts with your husband or signature over his accounts or use of his debit card etc he would still have to be disclosed on the TD F 90-22.1 if you need to file that form.

Okay, that's good to know.  Thank you.  They also told me on the phone that if I wished, I could also file as "married filing jointly."  Just out of curiosity, why on earth would I want to do that?  Since DH didn't live/work in the US at all and doesn't need to file US taxes, it seems like filing jointly would just be walking into a huge maze of red tape (we're wrapped up in enough of that right now with the spousal visa!!!).  I'm definitely going as "married filing separately," just curious about the benefits of filing jointly.

Devin, we must be soul sisters or something! I ended up filing married filing seperately. Because, I am married and not single, despite the W-4 told me to put single. From reading the IRS website, it said to file married. I chose note to file jointly for the same reasons as you Devin. The spousal visa is more than enough legal mumbo jumbo to go through right now and I know that DH would NOT want to get and ITIN and have to file taxes in a country that he doesn't even live or work in every year. So there it is. Taxes suck.

That is correct advice.

If you have joint accounts with your husband or signature over his accounts or use of his debit card etc he would still have to be disclosed on the TD F 90-22.1 if you need to file that form.

Garry, does this mean that if my husband's income was over the threshold designated as taxable foreign income (not the case, but curious how it works) AND i was listed on his accounts, then his income would be taxed even if he has no resident or citizen status in the US?

His income is NOT taxed - but you would have to disclose the maximum balance, account number and his details to the IRS.

Failure to do so could lead to civil penalties equal to 50% of the balance in the account.

that's just if i'm listed on the accounts, right? they don't demand info about us citizens' spouses' banking accounts if the citizen's name isn't on there, do they?