Hi, client is a greencard holder and lived outside of the US the whole year in 2023. If I read the guidance correctly, he can file a 1040 with worldwide income and claim the foreign tax credit OR he can also file 1040NR with just US income.

His income as follows:

Foreign salary - $400K

US W2 - $15K

US K-1 from S corp - $5K

Some minor interest/dividend from US banks

He paid tax in the foreign country on his worldwide income

If he we were to file 1040NR - would his tax rate only be on $20K income so about 10%? Can a foreign tax credit be claimed on a NR return? Or is there any additional NR tax I should consider? I'm trying to decide what's the best way to file.

I don't do NR returns so any starting guidance on how to approach this would be greatly appreciated.