Department of the Treasury

Internal Revenue Service

Publication 3

Cat. No. 46072M

Armed Forces' 

Tax Guide

For use in preparing

2023 Returns

Get forms and other information faster and easier at:

• IRS.gov (English) 

• IRS.gov/Spanish (Español) 

• IRS.gov/Chinese (中文) 

• IRS.gov/Korean (한국어) 

• IRS.gov/Russian (Pусский) 

• IRS.gov/Vietnamese (Tiếng Việt) 

Contents

What's New ............................... 2

Reminders ............................... 3

Introduction .............................. 4

Gross Income ............................. 5

Servicemembers’ Government Pay Included 

in Gross Income ....................... 5

Servicemembers’ Government Pay Items 

Excluded From Gross Income ............. 5

Income Items of Special Interest ............. 5

Foreign Source Income .................... 9

Community Property ...................... 9

Domicile ............................. 10

Nevada, Washington, and California 

Domestic Partners .................... 10

Form W-2 ............................. 10

Adjustments to Income .................... 10

Travel Expenses of Armed Forces Reservists ... 11

Individual Retirement Arrangements (IRAs) .... 11

Moving Expenses ....................... 12

Income Exclusions for Armed Forces Members 

in Combat Zones ...................... 13

Combat Zone Exclusion .................... 14

How Much of My Combat Zone Pay Can I 

Exclude? ........................... 14

How Do I Report the Combat Zone 

Exclusion? .......................... 14

What Is Combat Zone Pay? ................ 14

Combat Zone Defined .................... 15

Service Eligible for Combat Zone Exclusion .... 16

Gain or Loss From Sale of Home ............. 16

Foreclosures ............................ 17

Itemized Deductions ...................... 18

Repayments to Your Employer .............. 18

Credits ................................. 18

Child Tax Credit, Credit for Other 

Dependents, and Additional Child Tax 

Credit ............................. 18

Additional Child Tax Credit (ACTC) ........... 20

Earned Income Credit (EIC) ................ 20

Credit for Excess Social Security Tax 

Withheld ........................... 24

First-Time Homebuyer Credit Repayment ...... 25

Forgiveness of Decedent's Tax Liability ........ 25

Combat Zone Related Forgiveness .......... 25

Terrorist or Military Action Related 

Forgiveness ......................... 25

How Do I Make a Claim for Tax Forgiveness? ... 26

Feb 7, 2024
Filing Returns ............................ 27

Where To File My Return .................. 27

When To File My Return .................. 27

When Is the Latest I Can Pay My Tax? ......... 27

Extensions of Deadlines To File Your Tax 

Return, To Pay Your Taxes, and for Other 

Actions .............................. 28

Can I Get an Extension To File My Return if I 

Am Not in a Combat Zone or a 

Contingency Operation? ................ 28

Are There Filing, Tax Payment, and Other 

Extensions Specifically for Those in a 

Combat Zone or a Contingency 

Operation? .......................... 29

Can I Get an Extension To Pay My Tax if I Am 

Not in a Combat Zone or a Contingency 

Operation? .......................... 31

Maximum Rate of Interest When There Is 

Hardship ............................. 31

Tax Returns of Aliens ...................... 31

Resident Aliens ........................ 32

Nonresident Aliens ...................... 33

Dual-Status Aliens ...................... 33

Signing Returns .......................... 33

How To Get Tax Help ....................... 34

Index .................................. 38

What's New

Due date of return. File Form 1040 or 1040-SR by April 

15, 2024. If you live in Maine or Massachusetts, you have 

until April 17, 2024, because of the Patriots’ Day and 

Emancipation Day holidays.

Who must file. Generally, the amount of income you can 

receive before you must file a return has been increased. 

For more information, see the Instructions for Form 1040.

Standard deduction amount increased. For 2023, the 

standard deduction amount has been increased for all filers. The amounts are:

• Single or Married filing separately—$13,850;

• Married filing jointly or Qualifying surviving 

spouse—$27,700; and

• Head of household—$20,800.

For more information, see the Instructions for Form 1040.

Credits for qualified sick and family leave wages. 

The credits for qualified sick and family leave wages paid 

in 2023 for leave taken before April 1, 2021, and for leave 

taken after March 31, 2021, and before October 1, 2021, 

are now reported on Schedule 3, line 13z. See Schedule H (Form 1040) for more information.

Additional child tax credit amount increased. While 

the maximum child tax credit amount remains at $2,000 

for each qualifying child, the amount that can be claimed 

as a refundable credit, called the additional child tax credit 

(ACTC), has increased to $1,600 for each qualifying child.

New lines on Schedule 3. This year Schedule 3 has 

new lines.

• Line 5 has been separated into lines 5a and 5b so that 

the residential clean energy credit and the energy efficient home improvement credit reported on Form 

5695 each have their own line.

• New line 6m was added to report the credit for previously owned clean vehicles from Form 8936.

• Line 13c will be used to report the elective payment 

election amount from Form 3800. Filers eligible to 

make the election must complete a pre-filing registration process and file their tax return with Form 3800 on 

or before the tax return due date (including extensions).

Standard mileage rates. The 2023 rate for business use 

of a vehicle is 65.5 cents a mile. The 2023 rate for use of 

your vehicle to do volunteer work for certain charitable organizations is 14 cents a mile. The 2023 rate for operating 

expenses for a car when you use it for medical reasons is 

22 cents a mile.

Modified AGI limit for traditional IRA contributions. 

For 2023, if you are covered by a retirement plan at work, 

your deduction for contributions to a traditional IRA is reduced (phased out) if your modified AGI is:

• More than $116,000 but less than $136,000 for a married couple filing a joint return or a qualifying surviving 

spouse,

• More than $73,000 but less than $83,000 for a single 

individual or head of household, or

• Less than $10,000 for a married individual filing a separate return.

If you either live with your spouse or file a joint return, and 

your spouse is covered by a retirement plan at work but 

you aren't, your deduction is phased out if your modified 

AGI is more than $218,000 but less than $228,000. If your 

modified AGI is $228,000 or more, you can't take a deduction for contributions to a traditional IRA. See How Much 

Can You Deduct in Pub. 590-A, Contributions to Individual 

Retirement Arrangements (IRAs).

Modified AGI limit for Roth IRA contributions. For 

2023, your Roth IRA contribution limit is reduced (phased 

out) in the following situations.

• Your filing status is married filing jointly or qualifying 

surviving spouse and your modified AGI is at least 

$218,000. You can't make a Roth IRA contribution if 

your modified AGI is $228,000 or more.

• Your filing status is single, head of household, or married filing separately and you didn't live with your 

spouse at any time in 2023 and your modified AGI is at 

least $138,000. You can't make a Roth IRA contribution if your modified AGI is $153,000 or more.

• Your filing status is married filing separately, you lived 

with your spouse at any time during the year, and your 

2 Publication 3 (2023)
modified AGI is more than zero. You can't make a Roth 

IRA contribution if your modified AGI is $10,000 or 

more. See Can You Contribute to a Roth IRA in Pub. 

590-A.

2024 modified AGI limits. You can find information 

about the 2024 contribution and AGI limits in Pub. 590-A.

Tax law changes for 2023. When you figure how much 

income tax you want withheld from your pay and when you 

figure your estimated tax, consider tax law changes effective in 2023. For more information, see Pub. 505, Tax 

Withholding and Estimated Tax.

Alternative minimum tax (AMT) exemption amount increased. The AMT exemption amount is increased to 

$81,300 ($126,500 if married filing jointly or qualifying surviving spouse; $63,250 if married filing separately). The 

amount used to determine the phaseout of your exemption 

has increased to $578,150 ($1,156,300 if married filing 

jointly or qualifying surviving spouse).

Adoption credit. The adoption credit and the exclusion 

for employer-provided adoption benefits have both increased to $15,950 per eligible child in 2023. The amount 

begins to phase out if you have modified AGI in excess of 

$239,230 and is completely phased out if your modified 

AGI is $279,230 or more.

Exception to the 10% additional tax for early distributions from certain retirement plans. The exception to 

the 10% additional tax for early distributions includes the 

following.

• Distributions from a retirement plan in connection with 

federally declared disasters.

• Distributions from a retirement plan made to someone 

who is terminally ill.

• Distributions to firefighters at age 50 or with 25 years 

of service under the plan.

See Form 5329 and its instructions and Pub. 590-B for 

more information.

Reminders

Future developments. For the latest information about 

developments related to Pub. 3, such as legislation enacted after it was published, go to IRS.gov/Pub3.

Change of address. If you change your mailing address, 

be sure to notify the IRS using Form 8822, Change of Address. Mail it to the Internal Revenue Service Center for 

your old address. (Addresses for the Service Centers are 

on the back of the form.) Use Form 8822-B, Change of 

Address or Responsible Party—Business, if you are 

changing a business address.

Nontaxable combat pay election. In 2023 and future 

years, nontaxable combat pay will be reported on Form 

1040 or 1040-SR, line 1i.

Credits for sick and family leave for certain self-employed individuals are not available. The credit for 

sick and family leave for certain self-employed individuals 

were not extended and you can no longer claim these 

credits.

Tuition and fees deduction not available. The tuition 

and fees deduction is not available after 2020. Instead, the 

income limitations for the lifetime learning credit have 

been increased. See Form 8863 and its instructions.

Form 1040-X continuous-use form and instructions. 

Form 1040-X, Amended U.S. Individual Income Tax Return, and its instructions have been converted from an annual revision to continuous use beginning in tax year 

2021. Both the form and instructions will be updated as required. For the most recent version, go to IRS.gov/

Form1040X. Section discussions and charts that were updated annually have been removed, or replaced with references to relevant forms, schedules, instructions, and publications. See the forms, schedules, instructions, and 

publications for the year of the tax return you are amending for guidance on specific topics.

Electronic filing available for Form 1040-X. You can 

file Form 1040-X electronically with tax filing software to 

amend 2020 or later Forms 1040 or 1040-SR. See 

IRS.gov/Filing/Amended-Return-Frequently-AskedQuestions for more information.

All taxpayers now eligible for Identity Protection PIN. 

Beginning in 2021, the IRS Identity Protection PIN (IP PIN) 

Opt-In Program has been expanded to all taxpayers who 

can properly verify their identity. An IP PIN helps prevent 

your social security number from being used to file a fraudulent federal income tax return. You can use the Get An 

IP Pin tool on IRS.gov to request an IP PIN, file Form 

15227 if your adjusted gross income is $79,000 or less for 

individuals or $158,000 if married filing jointly, or make an 

appointment to visit a Taxpayer Assistance Center.

Veterans' disability severance payments received after 1991. There may still be time for some veterans to 

claim their refund for disability severance payments they 

received after 1991 and claimed as income. These veterans should take action soon if they received a notice and 

haven’t already filed Form 1040-X to claim a refund or 

credit of the overpayment attributable to the disability severance payment. See Disability Severance Payments to 

Veterans, later, for the filing deadline.

Alimony and separate maintenance payments. 

Amounts paid as alimony or separate maintenance payments under a divorce or separation agreement executed 

after 2018 won't be deductible by the payer. Such 

amounts also won't be includible in the income of the recipient. Amounts received as alimony or separate maintenance pursuant to a divorce or separation agreement executed on or before December 31, 2018, are includible in 

the recipient’s income unless that agreement was modified after December 31, 2018, to expressly provide that 

alimony received isn't included in your income. See your 

tax return instructions and Pub. 555.

Qualified birth or adoption distribution. Beginning in 

tax years after December 31, 2019, you can take a distribution from your IRA without it being subject to the 10% 

additional tax for early distributions. For more information, 

see Pub. 590-B.

Third party designee. You can check the “Yes” box in 

the Third Party Designee area of your return to authorize 

the IRS to discuss your return with your preparer, a friend, 

Publication 3 (2023) 3
a family member, or any other person you choose. This allows the IRS to call the person you identified as your designee to answer any questions that may arise during the 

processing of your tax return. It also allows your designee 

to perform certain actions. See your income tax return instructions for details.

Penalty for failure to file. If your return is more than 60 

days late, the minimum penalty will be $485 or the amount 

of any tax you owe, whichever is smaller.

Educational assistance benefits. If you receive educational assistance benefits from your employer under an 

educational assistance program, you can exclude up to 

$5,250 of those benefits.

Abbreviations. The following abbreviations will be used 

in this publication when appropriate.

• ACTC means additional child tax credit.

• ATIN means adoption taxpayer identification number.

• ITIN means individual taxpayer identification number.

• ODC means credit for other dependents.

• SSN means social security number.

• TIN means taxpayer identification number. A TIN may 

be an ATIN, an ITIN, or an SSN.

Other abbreviations may be used in this publication and 

will be defined as needed.

Photographs of missing children. The IRS is a proud 

partner with the National Center for Missing & Exploited 

Children® (NCMEC). Photographs of missing children selected by the Center may appear in this publication on pages that would otherwise be blank. You can help bring 

these children home by looking at the photographs and 

calling 1-800-THE-LOST (1-800-843-5678) if you recognize a child.

Introduction

This publication covers the special tax situations of active 

members of the U.S. Armed Forces.

For federal tax purposes, the U.S. Armed Forces includes commissioned officers, warrant officers, and enlisted personnel in all regular and reserve units under control 

of the Secretaries of the Defense, Army, Navy, and Air 

Force. The U.S. Armed Forces also includes the Coast 

Guard. The Public Health Service and the National Oceanic and Atmospheric Administration can also receive 

many of the same tax benefits. The U.S. Armed Forces 

doesn't include the U.S. Merchant Marine or the American 

Red Cross.

Members serving in an area designated or treated as a 

combat zone are granted special tax benefits. In the event 

an area ceases to be a combat zone, the IRS will do its 

best to notify you. Many of the relief provisions will end at 

that time.

Throughout this publication, we reference “combat zone exclusion” and “combat zone pay.” These 

terms are also known as “combat zone exclusion” 

and “combat zone compensation,” respectively.

TIP

What isn't covered in this publication. This publication 

doesn't cover military retirement pay or veterans' benefits 

(except those discussed under Disability Severance Payments to Veterans, later) or give the basic tax rules that 

apply to all taxpayers. For information on military retirement pay or veterans' benefits, see Pub. 525, Taxable and 

Nontaxable Income. If you need the basic tax rules or information on another subject not covered here, you can 

check our other free publications.

Comments and suggestions. We welcome your comments about this publication and suggestions for future 

editions.

You can send us comments through IRS.gov/

FormComments. Or, you can write to the Internal Revenue 

Service, Tax Forms and Publications, 1111 Constitution 

Ave. NW, IR-6526, Washington, DC 20224.

Although we can’t respond individually to each comment received, we do appreciate your feedback and will 

consider your comments and suggestions as we revise 

our tax forms, instructions, and publications. Don’t send 

tax questions, tax returns, or payments to the above address.

Getting answers to your tax questions. If you have 

a tax question not answered by this publication or the How 

To Get Tax Help section at the end of this publication, go 

to the IRS Interactive Tax Assistant page at IRS.gov/

Help/ITA where you can find topics by using the search 

feature or viewing the categories listed.

Getting tax forms, instructions, and publications. 

Go to IRS.gov/Forms to download current and prior-year 

forms, instructions, and publications.

Ordering tax forms, instructions, and publications. 

Go to IRS.gov/OrderForms to order current forms, instructions, and publications; call 800-829-3676 to order 

prior-year forms and instructions. The IRS will process 

your order for forms and publications as soon as possible. 

Don’t resubmit requests you’ve already sent us. You can 

get forms and publications faster online.

Useful Items

You may want to see:

Publication

17 Your Federal Income Tax

4 Tax Guide for U.S. Citizens and Resident Aliens 

Abroad

463 Travel, Gift, and Car Expenses

01 Dependents, Standard Deduction, and Filing 

Information

03 Child and Dependent Care Expenses

505 Tax Withholding and Estimated Tax

516 U.S. Government Civilian Employees Stationed 

Abroad

519 U.S. Tax Guide for Aliens

523 Selling Your Home

 17

 54

 463

 501

 503

 505

 516

 519

 523

4 Publication 3 (2023)
Taxable and Nontaxable Income

Residential Rental Property

Miscellaneous Deductions

Community Property

Survivors, Executors, and Administrators

Contributions to Individual Retirement 

Arrangements (IRAs)

Distributions from Individual Retirement 

Arrangements (IRAs)

Earned Income Credit (EIC)

Tax Benefits for Education

Tax Relief for Victims of Terrorist Attacks

Form (and Instructions)

U.S. Individual Income Tax Return

U.S. Income Tax Return for Seniors

Amended U.S. Individual Income Tax Return

Statement of Person Claiming Refund Due a 

Deceased Taxpayer

Foreign Earned Income

Power of Attorney and Declaration of 

Representative

Moving Expenses

Application for Automatic Extension of Time To 

File U.S. Individual Income Tax Return

Change of Address

Change of Address or Responsible 

Party—Business

Installment Agreement Request

ad Qualified Disaster 

Retirement Plan Distributions and Repayments

See How To Get Tax Help at the end of this publication for 

information about getting IRS publications and forms.

Gross Income

Members of the Armed Forces receive many different 

types of pay and allowances. Some are included in gross 

income while others are excluded from gross income.

Servicemembers’ Government Pay 

Included in Gross Income

You must report the items listed in Table 1 as gross income on your tax return unless the pay is for service in a 

combat zone. For pay for service in a combat zone, refer 

to Table 2. The items in Table 1 are taxable. The list in Table 1 isn't exclusive. Also see Income Items of Special Interest, later.

 525

 527

 529

 555

 559

 590-A

 590-B

 596

 970

 3920

 1040

 1040-SR

 1040-X

 1310

 2555

 2848

 3903

 4868

 8822

 8822-B

 9465

 8915-C, 8915-D, and 8915-F

Servicemembers’ Government Pay 

Items Excluded From Gross Income

Items in Table 2 aren't includible in your gross income 

though you may have to report them on your income tax 

return. The list in Table 2 isn't exclusive. See your tax return instructions for more information on specific items. 

Also see Income Items of Special Interest, later.

Combat zone pay. You may also be able to exclude pay 

for service in a combat zone even though that pay would 

otherwise be taxable. For information on the exclusion of 

pay for service in a combat zone and other tax benefits for 

combat zone participants, see Combat Zone Exclusion 

and Are There Filing, Tax Payment, and Other Extensions 

Specifically for Those in a Combat Zone or a Contingency 

Operation, later.

Retroactive determination of nontaxable disability severance payments. The Combat-Injured 

Veterans Tax Fairness Act of 2016 gives certain 

veterans who received disability severance payments after 

January 17, 1991, additional time to file claims for a credit 

or refund relating to overpayments attributable to these 

payments. Veterans affected by this legislation should 

have received a notice from the Department of Defense 

(DoD). See Disability Severance Payments to Veterans, 

later, for details on the payments and for the deadline for 

making a claim for a credit or refund.

Income Items of Special Interest

Death gratuity to a survivor. Any death gratuity paid to 

a survivor of a member of the Armed Forces is excluded 

from the survivor’s gross income.

Can I deduct expenses paid with my excluded basic 

allowance for housing (BAH)? As noted in Table 2, 

BAH is excluded from income. This doesn't prevent you 

from deducting certain expenses paid for with your BAH. 

You may still be able to deduct mortgage interest and real 

estate taxes on your home if you pay these expenses with 

your BAH. See the Instructions for Schedule A (Form 

1040) of your tax return.

Differential wage payments. Differential wage payments are taxable. They aren't treated as combat zone 

pay even if the individual was in a combat zone.

What are differential wage payments? Differential 

wage payments are payments made by an employer 

(other than the Armed Forces) to an individual. They are 

paid for a period during which the individual performed 

services in the uniformed services while on active duty for 

a period of more than 30 days. These payments represent 

all or a portion of the wages the individual would have received from the employer if the individual had been performing services for the employer during that period.

Military base realignment and closure benefits. Military base realignment and closure benefits paid under the 

Homeowners Assistance Program (HAP) are generally 

TIP

Publication 3 (2023) 5
excluded from income. However, for any property, the sum 

of all your payments can't be more than the maximum 

amount described in subsection (c) of 42 U.S.C. 3374 as 

in effect on November 6, 2009. You must include in income the excess over this maximum amount. For more information about the HAP, see usace.army.mil/Missions/

Military-Missions/Real-Estate/HAP/.

Qualified reservist distribution (QRD). The portion of 

your QRD reported by your employer as wages on Form 

W-2, Wage and Tax Statement, is included in your gross 

income and is taxable. The amount reported should be the 

QRD reduced by the after-tax contributions to your health 

flexible spending arrangement. This amount is also subject to employment taxes.

What is a QRD? With reference to a cafeteria plan or 

health flexible spending account, a QRD is a distribution 

Table 1. Servicemembers’ Government Pay Included in Gross Income

These items are included in gross income, unless the pay is for service in a combat zone.

Basic pay • Active duty

• Attendance at a designated service school

• Back wages

• Cadet/midshipman pay

• Drills 

• Reserve training

• Training duty 

Special pay • Aviation career incentives 

• Career sea

• Diving duty 

• Foreign duty (outside the 48 contiguous states and the District of Columbia) 

• Foreign language proficiency

• Hardship duty

• Hostile fire or imminent danger 

• Medical and dental officers 

• Nuclear-qualified officers 

• Optometry 

• Other Health Professional Special Pays (for example, nurse, physician assistant, social work, etc.)

• Pharmacy

• Special compensation for assistance with activities of daily living (SCAADL) 

• Special duty assignment pay 

• Veterinarian

• Voluntary Separation Incentive

Bonus pay • Career status

• Continuation pay

• Enlistment 

• Officer

• Overseas extension

• Reenlistment 

Incentive pay • Submarine

• Flight

• Hazardous duty

• High Altitude/Low Opening (HALO)

Other pay • Accrued leave

• CONUS COLA

• High deployment per diem

• Personal money allowances paid to high-ranking officers 

• Student loan repayment from programs, such as the Department of Defense Educational Loan 

Repayment Program when the year's service (requirement) isn't attributable to a combat zone, to 

the extent that qualified higher education expenses exceed $5,250 annually

• Certain payments made by an employer after March 27, 2020, and before January 1, 2026, of 

principal or interest on certain qualified education loans

In-kind military 

benefits

• Personal use of a government-provided vehicle 

6 Publication 3 (2023)
Table 2. Servicemembers’ Government Pay Items Excluded From Gross 

Income

The exclusion for certain items applies whether the item is furnished in kind or is a reimbursement or allowance.

Combat zone pay • Compensation for active service while in a combat zone (See Combat Zone Exclusion, later.) 

Note. The exclusion for certain officers is limited. See Commissioned officers (other than 

commissioned warrant officers), later.

Other pay • Certain amounts received under the Armed Forces Health Professions Scholarship and 

Financial Assistance Program payments

• Certain disability retirement pay, including payments received for injuries incurred as a direct 

result of a terrorist or military action

• Disability severance payments (See Disability Severance Payments to Veterans, later.)

• Group-term life insurance 

• Professional education 

• ROTC educational and subsistence allowances 

• State bonus pay for service in a combat zone (See State bonus payments, later.)

• Survivor and retirement protection plan premiums

• Uniform allowances 

Death allowances • Burial services 

• Death gratuity payments to eligible survivors 

• Travel of dependents to burial site 

Family allowances • Certain educational expenses for dependents 

• Emergencies 

• Evacuation to a place of safety 

• Separation 

Living allowances • BAH (Basic Allowance for Housing) (See also Can I deduct expenses paid with my excluded 

basic allowance for housing (BAH), later.) 

• BAS (Basic Allowance for Subsistence)

• Housing and cost-of-living allowances abroad paid by the U.S. Government or by a foreign 

government

• OHA (Overseas Housing Allowance) 

Moving allowances • Dislocation 

• Military base realignment and closure benefit (See Military base realignment and closure 

benefits, later.)

• Move-in housing 

• Moving household and personal items

• Moving trailers or mobile homes 

• Storage 

• Temporary lodging and temporary lodging expenses 

Travel allowances • Annual round trip for dependent students 

• Leave between consecutive overseas tours 

• Reassignment in a dependent restricted status

• Transportation for you or your dependents during ship overhaul or inactivation

• Per diem

• Travel benefits under operation hero miles

In-kind military benefits • Dependent-care assistance program 

• Defense counsel services

• Legal assistance 

• Medical/dental care 

• Commissary/exchange discounts

• Space-available travel on government aircraft

• Uniforms furnished to enlisted personnel 

Publication 3 (2023) 7
to an individual of all or part of the individual's balance in a 

cafeteria plan or health flexible spending arrangement if:

• The individual was a reservist who was ordered or 

called to active duty for more than 179 days or for an 

indefinite period, and

• The distribution is made no sooner than the date the 

reservist was ordered or called to active duty and no 

later than the last day reimbursements could otherwise be made under the arrangement for the plan year 

which includes the date of the order or the call to duty.

Uniformed Services Traditional Thrift Savings Plan 

(TSP) distributions. If you participate in the Uniformed 

Services Traditional TSP and receive a distribution from 

your account, the distribution is generally included in your 

taxable income unless your contributions included tax-exempt combat zone pay.

If your contributions included tax-exempt combat zone 

pay, the part of the distribution attributable to those contributions is tax exempt. However, the earnings on the 

tax-exempt portion of the distribution are taxable. The TSP 

will provide a statement showing the taxable and nontaxable portions of the distribution. For more information on 

TSP distributions, see TSPBK26, Tax Rules About TSP 

Payments.

Note. For 2023, combat zone service entitles service 

members to contribute as much as $66,000 in a TSP retirement account.

Note. The annual additions limit is the total amount of 

all the contributions made in a calendar year. This limit is 

per employer and includes money from all sources: employee contributions (tax-deferred, after-tax, and tax-exempt), Agency/Service Automatic (1%) Contributions, and 

Agency/Service Matching Contributions. It does not include catch-up contributions.

The annual additions limit affects mostly members of 

the uniformed services who can exceed the annual elective deferral limit. The excess contributions go into the traditional portion of their TSP accounts from tax-exempt pay 

earned in a combat zone.

Uniformed Services Roth Thrift Savings Plan (TSP). 

Roth TSP contributions are included in your income. They 

are after-tax contributions and are subject to the same 

contribution limits as the traditional TSP. Qualified distributions from your Roth account in the TSP aren't included in 

your income. For more details, see Thrift Savings Plan 

(TSP) in Part II of Pub. 721, Tax Guide to U.S. Civil Service 

Retirement Benefits, and TSPBK26.

State bonus payments. A state bonus payment will be 

treated as combat zone pay and may not be taxable if it is 

made because of your current or former service in a combat zone. See Combat Zone Defined, later, for a list of 

designated combat zones.

What are state bonus payments? A state bonus 

payment is a bonus payment made to you or to your dependent(s) by a state (or a political subdivision of a state).

Disability Severance Payments to Veterans

Your claim must be made by the deadline. See 

When must I file my claim, later, for the deadline 

for making these claims.

Veterans discharged from military service due to medical disability may receive a severance payment. If you received a disability severance payment that was taxed to 

you, and either the amounts received were by reason of a 

combat-related injury or the Department of Veterans Affairs (VA) later determined that you were entitled to receive disability compensation, your severance payment 

isn’t taxable and you can file a claim for credit or refund 

using Form 1040-X for the tax year in which the disability 

severance payment was received and included in income 

on your tax return.

For more information about amending prior-year returns 

to take advantage of this change, see that revision of the 

Instructions for Form 1040-X. For more information on how 

to file a prior-year Form 1040-X, go to IRS.gov/

Form1040X.

Retroactive determination of nontaxable disability 

severance payments. The Combat-Injured Veterans 

Tax Fairness Act of 2016 gives certain veterans who received disability severance payments after January 17, 

1991, additional time to file claims for credit or refund to 

recover tax overpayments attributable to their disability 

severance payments. Veterans affected by this legislation 

should have received a notice from the Department of Defense (DoD) reporting the amount of disability severance 

payments.

How do I file a claim for a refund of an overpayment 

attributable to my disability severance pay? The notice from the DoD includes an explanation of how to file a 

claim, including a simplified method for making the claim. 

The IRS has worked closely with the DoD to produce 

these notices, explaining how veterans should claim the 

related tax refunds.

You can submit a claim based on the actual amount of 

your disability severance payment by completing Form 

1040-X. However, you can choose instead to claim a 

standard refund amount based on the calendar year in 

which you received the severance payment. Enter “Disability Severance Payment” on line 15 of Form 1040-X and 

enter on lines 15 and 22 the standard refund amount listed 

below that applies.

• $1,750 for tax years 1991 through 2005.

• $2,400 for tax years 2006 through 2010.

• $3,200 for tax years 2011 through 2020.

Claiming the standard refund amount is the easiest way 

for you to claim a refund, because you don’t need to access the original tax return from the year of your disability 

severance payment.

Enter “Veteran Disability Severance” or “St. Clair Claim” 

across the top of Form 1040-X, page 1, and attach a copy 

of the notice from the DoD about the disability severance 

CAUTION

!

8 Publication 3 (2023)
payment. If you didn’t receive the DoD notice, you must include documentation showing the exact amount of and 

reason for your disability severance payment and a copy 

of either the VA determination letter confirming your disability or a determination that your injury or sickness was either incurred as a direct result of armed conflict, while in 

extra-hazardous service, or in simulated war exercises, or 

was caused by an instrumentality of war. Documentation 

showing the exact amount of and reason for your disability 

severance payment may include a letter from the Defense 

Finance and Accounting Services (DFAS) or your Form 

DD214 explaining the severance payment at the time of 

the payment. If you don’t have the required documentation 

showing the exact amount of and reason for your disability 

severance payment, visit dfas.mil/dsp_irs to learn how to 

obtain it.

In addition to the documents listed above, Form 

1310, Statement of Person Claiming Refund Due 

a Deceased Taxpayer, may need to accompany 

Form 1040-X. See Step 4: Provide Form 1310, if required 

under How Is Tax Forgiveness Claimed, later.

When must I file my claim? You must file your claim 

by the later of 1 year after the date you received the notice 

from the DoD or the normal deadline for filing a claim for 

refund or credit.

This alternative 1-year time frame is especially important because the normal deadline is the later 

of 3 years after filing the original return or 2 years 

after paying the tax and claims may date back as far as 

1991.

Where to file. Mail the completed Form 1040-X and your 

documents to the following address, regardless of where 

you live.

Internal Revenue Service

333 W. Pershing Street, Stop 6503, P5

Kansas City, MO 64108

Foreign Source Income

What Is Foreign Source Income?

For U.S. citizens, foreign source income is income from 

sources outside the United States. This section only discusses the tax consequences for foreign source income of 

U.S. citizens.

Is My Foreign Source Income Taxable?

You must report all of your foreign source income on your 

tax return, except for those amounts that U.S. law specifically allows you to exclude. This is true whether you reside 

inside or outside the United States and whether or not you 

receive a Form W-2 or a Form 1099. This applies to 

earned income (such as wages and tips) as well as unearned income (such as interest, dividends, capital gains, 

pensions, rents, and royalties).

TIP

CAUTION

!

Some foreign income may be excluded, but these exclusions aren't available for wages and salaries of military 

and civilian employees of the U.S. Government. See more 

on these exclusions in Foreign earned income exclusion 

and American Samoa and Puerto Rico income exclusion 

below.

Foreign earned income exclusion. Certain taxpayers 

can exclude income earned in foreign countries. For 2023, 

this exclusion amount can be as much as $120,000. However, military and civilian employees of the U.S. Government are not eligible to elect the foreign earned income 

exclusion. Employees of the U.S. Government include 

those who work at U.S. Armed Forces exchanges, commissioned and noncommissioned officers' messes, and 

Armed Forces motion picture services, and similar personnel. Military personnel and/or their spouses may be eligible to elect the foreign earned income exclusion only if 

they are independent contractors who are not employees 

of the U.S. Government. Of course, these individuals 

would need to meet the requirements of the foreign 

earned income exclusion to qualify. You won’t be treated 

as having a tax home in a foreign country for any period 

for which your abode is within the United States, unless 

you are serving in an area designated by the President of 

the United States by Executive order as a combat zone in 

support of the Armed Forces of the United States. For 

more information on the exclusion, including requirements 

and the definition of “abode,” see Pub. 54.

American Samoa and Puerto Rico income exclusion. 

Residents of American Samoa and Puerto Rico may be 

able to exclude income from American Samoa and Puerto 

Rico. However, this territory exclusion doesn’t apply to wages and salaries of military and civilian employees of the 

U.S. Government. If you need information on this territory 

exclusion, see Pub. 570, Tax Guide for Individuals With Income From U.S. Territories.

Community Property

The pay you earn as a member of the Armed Forces may 

be subject to community property laws depending on your 

marital status, the nature of the payment, and your domicile. These laws may affect how much of your income is 

included in your gross income for tax purposes. Community property states are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin.

Marital Status

Community property rules apply to married persons 

whose domicile during the tax year was in a community 

property state. These rules may affect your tax liability if 

you file separate returns or are divorced during the year.

Publication 3 (2023) 9
Nature of the Payment

Active duty military pay is subject to community property 

laws. Armed Forces retired or retainer pay may be subject 

to community property laws.

For more information on community property laws, see 

Pub. 555.

Domicile

Your domicile is the permanent legal home you intend to 

use for an indefinite or unlimited period, and to which, 

when absent, you intend to return. It isn't always where 

you presently live.

Domicile or tax residence of civilian spouse. If you 

are the civilian spouse of an active duty U.S. military servicemember, you can elect to have the same domicile or 

residence as the servicemember. If your domicile or residence is the same as the servicemember's, you may be 

able to keep your prior domicile or residence for tax purposes when you accompany your spouse who relocated to a 

new duty station. For more information about this option, 

see Pub. 570. You may also elect to have the same domicile or residence as the servicemember.

Nevada, Washington, and California 

Domestic Partners

A registered domestic partner in Nevada, Washington, or 

California must generally report half of his or her income 

plus half of the income of his or her domestic partner. See 

Form 8958 and Pub. 555.

Form W-2

What Information Can I Find on My Form 

W-2?

Form W-2 shows your total pay and other compensation 

and the income tax, social security tax, and Medicare tax 

that was withheld during the year. Form W-2 also shows 

other amounts that you may find important in box 12.

Form W-2 Reference Guide for Box 12 Codes

A Uncollected social security or RRTA tax 

on tips

B Uncollected Medicare tax on tips (but not 

Additional Medicare Tax)

C Taxable cost of group-term life 

insurance over $50,000

D Elective deferrals to a section 401(k) 

cash or deferred arrangement plan 

(including a SIMPLE 401(k) arrangement)

E Elective deferrals under a section 403(b) 

salary reduction agreement

F Elective deferrals under a section 

408(k)(6) salary reduction SEP

G Elective deferrals and employer 

contributions (including nonelective 

deferrals) to a section 457(b) deferred 

compensation plan

H Elective deferrals to a section 501(c)(18)

(D) tax-exempt organization plan

J Nontaxable sick pay

K 20% excise tax on excess golden 

parachute payments

L Substantiated employee business 

expense reimbursements

M Uncollected social security or RRTA 

tax on taxable cost of group-term life 

insurance over $50,000 (former 

employees only)

N Uncollected Medicare tax on taxable cost 

of group-term life insurance over $50,000 

(but not Additional Medicare Tax) (former 

employees only) 

P Excludable moving expense 

reimbursements paid directly to a 

member of the U.S. Armed Forces

Q Nontaxable combat pay

R Employer contributions to an Archer MSA S Employee salary reduction contributions 

under a section 408(p) SIMPLE plan

T Adoption benefits

V Income from exercise of nonstatutory 

stock option(s)

W Employer contributions (including 

employee contributions through a 

cafeteria plan) to an employee's health 

savings account (HSA)

Y Deferrals under a section 409A 

nonqualified deferred compensation 

plan

Z Income under a nonqualified deferred 

compensation plan that fails to satisfy 

section 409A

AA Designated Roth contributions under a 

section 401(k) plan

BB Designated Roth contributions under a 

section 403(b) plan

DD Cost of employer-sponsored health 

coverage

EE Designated Roth contributions under a 

governmental section 457(b) plan

FF Permitted benefits under a qualified 

small employer health reimbursement 

arrangement

GG Income from qualified equity grants 

under section 83(i)

HH Aggregate deferrals under section 83(i) 

elections as of the close of the calendar 

year

Note. For more information on these codes, see the General Instructions for Forms W-2 and W-3.

What Do the Codes in Box 12 of Form W-2 

Mean?

Box 12 shows amounts not listed in other places on the 

form. The amounts shown in box 12 are generally preceded by a code. A list of the codes used in box 12 is shown 

above.

Adjustments to Income

Adjusted gross income is your total income minus certain 

adjustments. The following adjustments are of particular 

interest to members of the Armed Forces.

• Travel Expenses of Armed Forces Reservists.

• Individual Retirement Arrangements.

10 Publication 3 (2023)
• Moving Expenses.

Each of these adjustments is discussed below.

Travel Expenses of Armed Forces 

Reservists

Are My Travel Expenses as a Reservist 

Deductible?

If you are a member of a reserve component of the Armed 

Forces and you travel more than 100 miles away from 

home in connection with your performance of services as 

a member of the reserves, you can deduct your unreimbursed travel expenses on your tax return. Include all unreimbursed expenses from the time you leave home until 

the time you return home. See How To Report My Reserve-Related Travel Expenses, later, for information on 

how to report these expenses on your tax return.

Am I a Member of a Reserve Component?

You are a member of a reserve component of the Armed 

Forces if you are in:

• The Army, Navy, Marine Corps, Air Force, or Coast 

Guard Reserve;

• The Army National Guard of the United States;

• The Air National Guard of the United States; or

• The Ready Reserve Corps of the Public Health Service.

How To Report My Reserve-Related Travel 

Expenses

If you have reserve-related travel that takes you more than 

100 miles from home, you should first complete Form 

2106, Employee Business Expenses.

On Schedule 1 (Form 1040), line 12, enter the part of 

your expenses, up to the federal rate, included on Form 

2106, line 10, that is for reserve-related travel more than 

100 miles from your home.

For more information about this limit, see Per Diem and 

Car Allowances in chapter 6 of Pub. 463.

Example. Captain Harris, a member of the Army Reserve, traveled to a location 220 miles from his home to 

perform his work in the Reserves in April 2023. He incurred $1,588.20 of unreimbursed expenses consisting of 

$288.20 for mileage (440 miles × 65.5 cents a mile), $300 

for meals, and $1,000 for lodging. Only 50% of his meal 

expenses are deductible. He shows his total deductible 

travel expenses of $1,438.20 ($288.20 + $150 (50% of 

$300) + $1,000) on Form 2106, line 10. He enters the 

$1,438.20 ($288.20 + $150 + $1,000) for travel over 100 

miles from home on Schedule 1 (Form 1040), line 12.

Individual Retirement Arrangements 

(IRAs)

An IRA generally includes a traditional IRA, Roth IRA, simplified employee pension (SEP) IRA, and a savings incentive match plan for employees (SIMPLE) IRA.

Deductibility of Contributions to My IRA

Deductible IRA contributions. You no longer 

need to be younger than age 701/2 to take a deduction for your contributions to an IRA.

Generally, you can deduct the lesser of the contributions to your traditional IRA for the year or the general limit 

(or spousal IRA limit, if applicable). However, if you or your 

spouse was covered by an employer-maintained retirement plan at any time during the year for which contributions were made, you may not be able to deduct all of the 

contributions. The Form W-2 you or your spouse receives 

from an employer has a box used to indicate whether you 

were covered for the year. The “Retirement plan” box 

should have a mark in it if you were covered.

For purposes of a deduction for contributions to a traditional IRA, Armed Forces members (including reservists 

on active duty for more than 90 days during the year) are 

considered covered by an employer-maintained retirement plan. The "Retirement plan" box on your Form W-2 

should have a mark in it. Your deduction for contributions 

to a traditional IRA may be subject to a phaseout. See 

Limit if Covered by Employer Plan in Pub. 590-A for more 

information.

As a military person, do I get additional time to make 

a contribution to my IRA? Individuals serving in the 

U.S. Armed Forces or in support of the U.S. Armed Forces 

in designated combat zones have additional time to make 

a contribution to an IRA. For more information on this extension of deadline provision, see Are There Filing, Tax 

Payment, and Other Extensions Specifically for Those in a 

Combat Zone or a Contingency Operation, later. For more 

information on contributions to IRAs, see Pub. 590-A.

Is My Combat Zone Pay Included in IRA 

Calculations?

For IRA purposes, your compensation includes nontaxable combat zone pay. Even though you don't have to include the combat zone pay in your gross income, you do 

include it in your compensation when figuring the limits on 

contributions, and on deductions for contributions, to 

IRAs.

Treatment of Distributions (and Repayments 

of Distributions) From an IRA to Qualified 

Reservists

Is a qualified reservist distribution subject to the 

10% additional tax? A qualified reservist distribution, 

CAUTION

!

Publication 3 (2023) 11
defined below, isn’t subject to the 10% additional tax on 

early distributions from certain retirement plans.

What is a qualified reservist distribution? With reference to an IRA, a section 401(k) plan, or a 403(b) plan, a 

distribution you receive is a qualified reservist distribution 

if the following requirements are met.

• You were ordered or called to active duty after September 11, 2001.

• You were ordered or called to active duty for a period 

of more than 179 days or for an indefinite period because you are a member of a reserve component (see 

Am I a Member of a Reserve Component, earlier, under Travel Expenses of Armed Forces Reservists).

• The distribution is from an IRA or from amounts attributable to elective deferrals under a section 401(k) or 

403(b) plan or a similar arrangement.

• The distribution was made no earlier than the date of 

the order or call to active duty and no later than the 

close of the active duty period.

Can I repay amounts distributed from my IRA, section 401(k) or 403(b) plan, or a similar arrangement? 

You may be able to contribute (repay), to an IRA, amounts 

equal to any qualified reservist distributions (defined earlier) you received. You can make these repayment contributions even if they would cause your total contributions to 

the IRA to be more than the general limit on contributions. 

You make these repayment contributions to an IRA, even if 

you received the qualified reservist distribution from a section 401(k) or 403(b) plan or a similar arrangement.

Is there a limit to the amount I can repay? Your 

qualified reservist repayments can’t be more than your 

qualified reservist distributions.

Is there a time limit for repaying? You can make 

these repayment contributions up to and including the 

date that is 2 years after your active duty period ends.

Can I deduct qualified reservist repayments? You 

can’t deduct qualified reservist repayments.

Will the repayment affect my IRA deduction? The 

repayment of qualified reservist distributions doesn’t affect 

the amount you can deduct as an IRA contribution.

How do you report the repayment? If you repay a 

qualified reservist distribution, include the amount of the 

repayment with nondeductible contributions on line 1 of 

Form 8606, Nondeductible IRAs.

Tax Relief for Qualified Disaster 

Distributions and Repayments

Special rules provide for tax-favored distributions from and 

repayments to certain retirement plans (including IRAs) on 

account of economic losses due to disasters declared by 

the President. To report the qualified distributions and repayments, use Form 8915-D for 2019 disasters and use 

Form 8915-F for disasters that occur in 2020, 2021, 2022, 

2023 and future years. For more information, see the Instructions for Form 8915-F and Publication 590-B.

Moving Expenses

You may be able to exclude from income the value of government-provided services and reimbursement. If you 

weren't reimbursed, you may be able to deduct expenses 

you incurred when you moved. We discuss both below.

• Are Reimbursements, or the Value of Services Provided by the Government When I Move, Included in My 

Income.

• Which Moving Expenses Are Deductible and Which 

Aren't.

To deduct moving expenses, you must be a member of 

the Armed Forces on active duty and your move must be 

due to a military order and the result of a permanent 

change of station.

What constitutes a permanent change of station? A 

permanent change of station includes:

• A move from your home to your first post of active 

duty,

• A move from one permanent post of duty to another, 

and

• A move from your last post of duty to your home or to 

a nearer point in the United States. The move must 

occur within 1 year of ending your active duty or within 

the period allowed under the Joint Travel Regulations.

Are there additional considerations when a spouse 

or dependent moves? If you are the spouse or dependent of a member of the Armed Forces who deserts, is imprisoned, or dies while on active duty, a permanent 

change of station for you includes a move to:

• The member's place of enlistment or induction;

• Your, or the member's, home of record; or

• A nearer point in the United States.

If the military moves you to or from a different location 

than the member, the moves are treated as a single move 

to your new main job location.

Are Reimbursements, or the Value of 

Services Provided by the Government When 

I Move, Included in My Income?

Don't include in your income the value of moving and storage services provided by the government because of a 

permanent change of station. Similarly, don't include in income amounts received as a dislocation allowance, temporary lodging expense, temporary lodging allowance, or 

move-in housing allowance.

Generally, if the total reimbursements or allowances 

that you receive from the government because of the 

move are more than your actual moving expenses, the excess is included in your wages on Form W-2. However, if 

12 Publication 3 (2023)
any reimbursements or allowances (other than dislocation 

allowances, temporary lodging expenses, temporary lodging allowances, or move-in housing allowances) exceed 

the cost of moving and the excess isn't included in your 

wages on Form W-2, the excess must still be included in 

gross income on Form 1040 or 1040-SR, line 1h.

If you must relocate and your spouse and dependents 

move to or from a different location, don't include in income reimbursements, allowances, or the value of moving 

and storage services provided by the government to move 

you and your spouse and dependents to and from the 

separate locations.

Which Moving Expenses Are Deductible and 

Which Aren't

How much of my moving expenses can I deduct? If 

you move because of a permanent change of station, you 

can deduct the reasonable unreimbursed expenses of 

moving you and members of your household. See How To 

Report Moving Expenses, later, for how to report this deduction.

A member of your household is anyone who has both 

your former home and your new home as his or her main 

home. It doesn't include a tenant or employee unless you 

can claim that person as a dependent on your tax return.

Which moving expenses can I deduct? You can deduct expenses (if not reimbursed or furnished in kind) for:

• Moving household goods and personal effects, and

• Travel.

Moving household goods and personal effects. You 

can deduct the expenses of moving your household 

goods and personal effects, including expenses for hauling a trailer, packing, crating, in-transit storage, and insurance. You can't deduct expenses for moving furniture or 

other goods you bought on the way from your old home to 

your new home.

Storing and insuring household goods and personal effects. You can include only the cost of storing 

and insuring your household goods and personal effects 

within any period of 30 consecutive days after the day 

these goods and effects are moved from your former 

home and before they are delivered to your new home.

Travel. You can deduct the expenses of traveling (including lodging within certain limitations, but not meals) from 

your old home to your new home, including car expenses 

and airfare. You can deduct as car expenses either:

• Your actual out-of-pocket expenses such as gas and 

oil, or

• The standard mileage rate of 22 cents a mile.

You can add parking fees and tolls to the amount 

claimed under either method. You can't deduct any expenses for meals. You can't deduct the cost of unnecessary 

side trips or lavish and extravagant lodging.

Moving services and allowances provided by the 

government. Don’t deduct any expenses for moving 

services that were provided by the government. Also, 

don’t deduct any expenses that were reimbursed by an allowance you didn’t include in income.

Foreign Moves

A foreign move is a move from the United States or its territories to a foreign country or from one foreign country to 

another foreign country. A move from a foreign country to 

the United States or its territories isn't a foreign move. For 

purposes of determining whether a move is a foreign 

move, a U.S. military base is not a territory of the United 

States and moving to a U.S. military base located in a foreign country is a foreign move.

For a foreign move, the deductible moving expenses 

described earlier are expanded to include the reasonable 

expenses of the following:

• Moving your household goods and personal effects to 

and from storage, and

• Storing these items for part or all of the time the new 

job location remains your main job location. The new 

job location must be outside the United States.

How To Report Moving Expenses

Figure moving expense deductions on Form 3903. The 

Form 3903 instructions provide information on how to figure your deduction for qualified expenses that exceed 

your reimbursements and allowances (including dislocation allowances, temporary lodging expenses, temporary 

lodging allowances, or move-in housing allowances that 

are excluded from gross income).

If you qualify to deduct expenses for more than one 

move, use a separate Form 3903 for each move.

Carry the moving expense deduction from Form(s) 

3903, line 5, to Schedule 1 (Form 1040), line 14. For more 

information, see Form 3903 and its instructions.

Income Exclusions for Armed 

Forces Members in Combat 

Zones

Gross income doesn’t include compensation you received 

for active service in the Armed Forces for any month during any part of which you served in a combat zone or 

qualified hazardous duty area. The exclusion available to 

you as a member of the Armed Forces may depend on 

your rank.

Enlisted members, warrant officers, and commissioned warrant officers. If you are an enlisted member, 

Publication 3 (2023) 13
warrant officer, or commissioned warrant officer, you can 

exclude the following amounts from your income.

• Active duty pay earned in any month you served in a 

combat zone. See Combat Zone Exclusion, later.

• Imminent danger/hostile fire pay. See Serving in a 

Combat Zone, later.

• A reenlistment bonus if the voluntary extension or reenlistment occurs in a month you served in a combat 

zone.

• Pay for accrued leave earned in any month you served 

in a combat zone. The DoD must determine that the 

unused leave was earned during that period.

• Pay received for duties as a member of the Armed 

Forces in clubs, messes, post and station theaters, 

and other nonappropriated fund activities. The pay 

must be earned in a month you served in a combat 

zone.

• Awards for suggestions, inventions, or scientific achievements you are entitled to because of a submission 

you made in a month you served in a combat zone.

• Student loan repayments. If the entire year of service 

required to earn the repayment was performed in a 

combat zone, the entire repayment made because of 

that year of service is excluded. If only part of that year 

of service was performed in a combat zone, only part 

of the repayment qualifies for exclusion. For example, 

if you served in a combat zone for 5 months, 5/12 of 

your repayment qualifies for exclusion.

Commissioned officers (other than commissioned 

warrant officers). If you are a commissioned officer 

(other than a commissioned warrant officer), you may exclude part of your combat zone pay. There is a limit to the 

amount of combat zone pay you can exclude. See Commissioned officers (other than commissioned warrant officers) under How Much of My Combat Zone Pay Can I Exclude, later.

Combat Zone Exclusion

Combat zone exclusion and combat zone pay are 

also known as combat zone exclusion and combat zone compensation, respectively.

How Much of My Combat Zone Pay 

Can I Exclude?

Enlisted member, warrant officer, or commissioned 

warrant officer. If you are an enlisted member, warrant 

officer, or commissioned warrant officer, none of your 

combat zone pay is included in your income for tax purposes.

Commissioned officers (other than commissioned 

warrant officers). If you are a commissioned officer 

(other than a commissioned warrant officer), there is a 

limit to the amount of combat zone pay you can exclude. 

TIP

The amount of your exclusion is limited to the highest rate 

of enlisted pay (plus imminent danger/hostile fire pay you 

received) for each month during any part of which you 

served in a combat zone or were hospitalized as a result 

of your service there. For 2023, the applicable amount is 

$10,011 per month (that is, $9,786.00 for the highest enlisted pay + $225 for imminent danger pay).

Earned income election. Though your combat zone pay 

is excluded from income, you can elect to include it in income in figuring your EIC. See Can I treat my nontaxable 

combat zone pay as earned income? under Earned Income Credit, later.

How Do I Report the Combat Zone 

Exclusion?

Ordinarily, you don't have to do anything for this exclusion 

to apply. The exclusion will be reflected on your Form W-2. 

The wages shown in box 1 of your 2023 Form W-2 

shouldn't include military pay excluded from your income 

under the combat zone exclusion provisions. If it does, you 

will need to get a corrected Form W-2 from your finance 

office. You can't exclude as combat zone pay any wages 

shown in box 1 of Form W-2. See also Disability Severance Payments to Veterans, later, for special rules relating 

to severance pay.

What Is Combat Zone Pay?

Combat zone pay is also known as combat zone 

compensation.

Combat zone pay is pay received by a member of the 

U.S. Armed Forces who serves in:

1. A combat zone as designated by the President in an 

Executive order (see Combat Zone Defined, later);

2. A qualified hazardous duty area designated by Congress while receiving hostile fire pay or imminent danger pay in accordance with 37 U.S.C. 351 (see Serving in a Combat Zone, later); or

3. An area outside the combat zone or qualified hazardous duty area when the DoD certifies that such service is in direct support of military operations in a combat zone or qualified hazardous duty area, and the 

member receives hostile fire pay or imminent danger 

pay (see Serving outside combat zone considered 

serving in a combat zone, later).

The month for which you receive the pay must be a 

month in which you either:

• Served in a combat zone; or

• Were hospitalized as a result of wounds, disease, or 

injury incurred while serving in the combat zone.

You don't have to receive the excluded pay while you are 

in a combat zone, are hospitalized, or in the same year 

you served in a combat zone.

TIP

14 Publication 3 (2023)
Partial month service is treated as full month of 

service. If you serve in a combat zone for any part of 1 or 

more days during a particular month, you are entitled to a 

combat zone exclusion for that entire month.

Are my retirement pay and pensions treated as combat zone pay? Retirement pay and pensions don't qualify for the combat zone exclusion.

Combat Related Special Compensation (CRSC) 

is a benefit awarded to certain retired veterans 

with combat-related disabilities. CRSC is excluded from income.

Combat Zone Defined

A combat zone is any area the President of the United 

States designates by Executive order as an area in which 

the U.S. Armed Forces are engaging or have engaged in 

combat. An area usually becomes a combat zone and 

ceases to be a combat zone on the dates the President 

designates by Executive order. To date, the Afghanistan 

area, the Kosovo area, and the Arabian Peninsula have 

been designated as combat zones. Combat zone tax benefits have been designated by Congress for the Sinai Peninsula of Egypt under certain circumstances. Though the 

former Yugoslavia is no longer treated as a combat zone, 

certain benefits may still be available to those who served 

in that area at that time. Each of the combat zones, the Sinai Peninsula, and the former Yugoslavia area are discussed below.

Serving outside combat zone considered serving 

in a combat zone. Military service outside a combat 

zone is considered to be performed in a combat zone if:

• The DoD designates that the service is in direct support of military operations in the combat zone, and

• The service qualifies you for special military pay for 

duty subject to hostile fire or imminent danger under 

37 U.S.C. 351.

Military pay received for this service will qualify for the 

combat zone exclusion if all of the requirements discussed 

under Service Eligible for Combat Zone Exclusion, later, 

other than service in a combat zone, are met and if the 

pay is verifiable by reference to military pay records.

The Afghanistan area. By Executive Order No. 13239, 

Afghanistan (and the airspace above) was designated as 

a combat zone beginning September 19, 2001.

The following countries were certified by the DoD for 

combat zone tax benefits due to their direct support of 

military operations in the Afghanistan combat zone.

• Jordan and Pakistan (as of September 19, 2001).

• Djibouti (as of July 1, 2002).

• Yemen (as of April 10, 2002).

• Somalia and Syria (as of January 1, 2004).

Note. For the Philippines only, the personnel must have 

deployed in conjunction with Operation Enduring Freedom 

TIP

or Operation Freedom Sentinel supporting military operations in the Afghanistan combat zone.

The Kosovo area. By Executive Order No. 13119, the 

following locations (including the airspace above) were 

designated as a combat zone beginning March 24, 1999.

• Federal Republic of Yugoslavia (Serbia/Montenegro).

• Albania.

• Kosovo.

• The Adriatic Sea.

• The Ionian Sea—north of the 39th parallel.

Note. The combat zone designation for Montenegro and 

Kosovo (previously a province within Serbia) under Executive Order 13119 remains in force even though Montenegro and Kosovo have become independent nations since 

EO 13119 was signed.

The Arabian Peninsula. By Executive Order No. 12744, 

the following locations (and the airspace above) were designated as a combat zone beginning January 17, 1991.

• The Persian Gulf.

• The Red Sea.

• The Gulf of Oman.

• The part of the Arabian Sea that is north of 10 degrees 

north latitude and west of 68 degrees east longitude.

• The Gulf of Aden.

• The total land areas of Iraq, Kuwait, Saudi Arabia, 

Oman, Bahrain, Qatar, and the United Arab Emirates.

The following countries were certified by the DoD for 

combat zone tax benefits due to their direct support of 

military operations in the Arabian Peninsula combat zone.

• Jordan (as of March 19, 2003).

• Lebanon (as of February 12, 2015).

• Turkey east of 33.51 degrees east longitude (as of 

September 19, 2016).

Sinai Peninsula. Section 11026 of Public Law 115-97 

designates the Sinai Peninsula of Egypt as a qualified 

hazardous duty area that is treated as if it were a combat 

zone. This designation generally applies for the period beginning June 10, 2015. For more information about 

amending prior-year returns to take advantage of the benefits associated with this designation, see the Instructions 

for Form 1040-X.

The former Yugoslavia area. Section 1 of Public Law 

104-117 designated the following locations as qualified 

hazardous duty areas that were treated as if they were 

combat zones.

• Bosnia and Herzegovina.

• Croatia.

• Macedonia.

That designation generally applied beginning November 

21, 1995, and ending November 1, 2007, allowing, for 

Publication 3 (2023) 15
example, members of the Armed Forces who die by reason of wounds that were incurred in that area and during 

that period to qualify for special tax treatment upon their 

death.

Service Eligible for Combat Zone 

Exclusion

As noted earlier, pay eligible for the combat zone exclusion must have been received for a month in which you either served in a combat zone or were hospitalized as a result of wounds, disease, or injury incurred while serving in 

the combat zone. We discuss these below. Also see Serving outside combat zone considered serving in a combat 

zone, earlier, under Combat Zone Defined.

Serving in a Combat Zone

You are considered to be serving in a combat zone if you 

are either assigned on official temporary duty to a combat 

zone or you qualify for hostile fire/imminent danger pay 

while in a combat zone.

Service in a combat zone includes any periods you are 

absent from duty because of sickness, wounds, or leave. 

If, as a result of serving in a combat zone, a person becomes a prisoner of war or is missing in action, that person is considered to be serving in the combat zone so 

long as he or she keeps that status for military pay purposes.

Hospitalization as a Result of Wounds, 

Disease, or Injury Incurred While Serving in 

a Combat Zone

Hospitalized while serving in a combat zone. If you 

are hospitalized while serving in a combat zone, the 

wound, disease, or injury causing the hospitalization will 

be presumed to have been incurred while serving in the 

combat zone unless there is clear evidence to the contrary.

Example. You are hospitalized for a specific disease in 

a combat zone where you have been serving for 3 weeks, 

and the disease for which you are hospitalized has an incubation period of 2 to 4 weeks. The disease is presumed 

to have been incurred while you were serving in the combat zone. On the other hand, if the incubation period of the 

disease is 1 year, the disease wouldn't have been incurred 

while you were serving in the combat zone.

Hospitalized after leaving a combat zone. In some cases, the wound, disease, or injury may have been incurred 

while you were serving in the combat zone, even though 

you weren't hospitalized until after you left. In that case, 

you can exclude military pay earned while you are hospitalized as a result of the wound, disease, or injury.

Example. You were hospitalized for a specific disease 

3 weeks after you departed the combat zone. The incubation period of the disease is from 2 to 4 weeks. The 

disease is presumed to have been incurred while serving 

in the combat zone.

Time limit on combat zone exclusion for pay received 

while hospitalized. If you are hospitalized, you can't exclude any military pay received for any month of service 

that begins more than 2 years after the end of combat activities in the combat zone. This pay won't be combat zone 

pay.

Nonqualifying Presence in a Combat 

Zone

None of the following types of military service qualify as 

service in a combat zone.

• Presence in a combat zone while on leave from a duty 

station located outside the combat zone.

• Passage over or through a combat zone during a trip 

between two points that are outside a combat zone.

• Presence in a combat zone solely for your personal 

convenience.

Gain or Loss From Sale of 

Home

You may not have to pay tax on all or part of the gain from 

the sale of your main home. Usually, your main home is 

the one you live in most of the time. It can be a:

• House,

• Houseboat,

• Mobile home,

• Cooperative apartment, or

• Condominium.

How much can you exclude? You can generally exclude up to $250,000 of gain ($500,000, in most cases, if 

married filing a joint return) realized on the sale or exchange of a main home in 2023. The exclusion is allowed 

each time you sell or exchange a main home, but generally not more than once every 2 years.

What must you do to be eligible for the exclusion? 

You will be eligible for the exclusion if, during the 5-year 

period ending on the date of the sale, you:

• Owned the home for at least 2 years (the ownership 

test), and

• Lived in the home as your main home for at least 2 

years (the use test).

It doesn’t have to be a single block of time.

What happens if I don't meet the ownership and use 

tests? If you don't meet the ownership and use tests due 

to a move to a new permanent duty station, you can exclude gain, but the maximum amount of gain you can exclude will be reduced. See Pub. 523 for more details.

16 Publication 3 (2023)
5-year test period can be suspended for members of 

the Armed Forces. You can choose to have the 5-year 

test period for ownership and use suspended during any 

period you or your spouse serves on qualified official extended duty as a member of the Armed Forces. This 

means that you may be able to meet the 2-year use test 

even if, because of your service, you didn't actually live in 

your home for the required 2 years during the 5-year period ending on the date of sale.

Example. David bought and moved into a home in 

2015. He lived in it as his main home for 21/2 years. For the 

next 6 years, he didn't live in it because he was on qualified official extended duty with the Army. He then sold the 

home at a gain in 2023. To meet the use test, David chooses to suspend the 5-year test period for the 6 years he 

was on qualifying official extended duty. This means he 

can disregard those 6 years. Therefore, David's 5-year 

test period consists of the 5 years before he went on qualifying official extended duty. He meets the ownership and 

use tests because he owned and lived in the home for 21/2 

years during this test period.

Limits on period of suspension. The period of suspension can't last more than 10 years. You can't suspend 

the 5-year period for more than one property at a time. You 

can revoke your choice to suspend the 5-year period at 

any time.

Qualified official extended duty. You are on qualified 

official extended duty if you serve on extended duty either:

• At a duty station at least 50 miles from your main 

home, or

• While you live in government quarters under government orders.

You are on extended duty when you are called or ordered to active duty for a period of more than 90 days or 

for an indefinite period.

What if the property was used for rental or business? 

You may still qualify for a reduced exclusion of the gain 

from the sale of a home that you have used as a rental 

property or for business. However, you must meet the 

ownership and use tests discussed in Pub. 523.

What if there were periods when I didn't use the 

property as my main home and wasn’t on qualified 

official extended duty? If the sale of your main home results in a gain that is allocated to one or more period(s) of 

nonqualified use, you can't exclude that gain from your income.

Nonqualified use means any period after 2008 when 

neither you nor your spouse (or your former spouse) used 

the property as a main home, with certain exceptions. For 

example, a period of nonqualified use doesn't include any 

period (not to exceed a total of 10 years) during which you 

or your spouse is serving on qualified official extended 

duty, discussed above. You will be able to exclude the 

gain attributable to the period during which you or your 

spouse served on qualified official extended duty.

Are my losses deductible? You can't deduct a loss from 

the sale of your main home.

More information. For more information, see Pub. 523.

Foreclosures

There may be tax consequences as a result of compensation payments for foreclosures.

Payments made for violations of the Servicemembers Civil Relief Act (SCRA). All servicemembers who 

received a settlement payment reported on a Form 1099 

may need to report the amount on their tax return as income. However, the tax treatment of settlement payments 

will depend on the facts and circumstances as illustrated 

below.

Lump-sum portion of settlement payment. Generally, you must include the lump-sum payment in gross income. In limited circumstances, you may be able to exclude part or all of the lump-sum payment from gross 

income. For example, you may qualify to exclude part or 

all of the payment from gross income if you can show that 

the payment was made to reimburse specific nondeductible expenses (such as living expenses) you incurred because of the SCRA violation.

Interest payment on lump-sum portion of settlement payment. You must include any interest on the 

lump-sum portion of your settlement payment in your income.

Lost equity portion of settlement payment. If you 

lost your main home in foreclosure, you should treat the 

lost equity payment as an additional amount you received 

on the foreclosure of the home. You will have a gain on the 

foreclosure only if the sum of the lost equity payment and 

the value of the main home at foreclosure is more than 

what you paid for the home. In many cases, this gain may 

be excluded from income. For more information on the 

rules for excluding all or part of any gain from the sale (including a foreclosure) of a main home, see Pub. 523.

The rules that apply to a lost equity payment you 

received for the foreclosure of a property that wasn't 

your main home are different. To find rules for reporting 

gain or loss on the foreclosure of property that wasn't your 

main home, see Pub. 544, Sales and Other Dispositions 

of Assets.

Interest payment on lost equity portion of settlement payment. You must include any interest on the lost 

equity portion of your settlement payment in your income.

Publication 3 (2023) 17
Itemized Deductions

You can no longer claim any miscellaneous itemized deductions, including the deduction for unreimbursed employee business expenses. Miscellaneous itemized deductions are those deductions that would have been 

subject to the 2%-of-adjusted-gross-income limitation.

If you are an Armed Forces reservist, you may be able 

to deduct unreimbursed employee business expenses as 

an adjustment to income. See Travel Expenses of Armed 

Forces Reservists, earlier. These deductions aren’t available for active duty service members.

Repayments to Your Employer

If you had to repay to your employer an amount that you 

included in your income in an earlier year, you may be 

able to deduct the repaid amount from your income for the 

year in which you repaid it. Where you report the repayment on your tax return will depend on the amount of the 

repayment. See Repayments in Pub. 525.

Credits

After you have figured your taxable income and tax liability, you can determine if you are entitled to any tax credits. 

This section discusses the child tax credit, additional child 

tax credit, credit for other dependents, earned income 

credit, and credit for excess social security tax withheld. 

For information on other credits, see your tax form instructions.

Child Tax Credit, Credit for Other 

Dependents, and Additional Child Tax 

Credit

The child tax credit is a credit that may reduce your tax by 

as much as $2,000 for each of your qualifying children. 

See How Much Can I Claim as a Child Tax Credit, later.

The additional child tax credit (ACTC) is a credit you 

may be able to take if you aren't able to claim the full 

amount of the child tax credit. The additional child tax 

credit is discussed later.

The credit for other dependents (ODC) is a credit that 

may reduce your tax by as much as $500 for each of your 

qualifying children or other dependents who can’t be 

claimed for the CTC. The amount you may claim for your 

CTC is calculated together with the amount you may claim 

for your credit for other dependents on the Child Tax 

Credit and Credit for Other Dependents Worksheet in the 

instructions for your tax return. These credits are reported 

on the same line of your return. The credit for other dependents is discussed later.

The additional child tax credit (ACTC) is a credit 

you may be able to take if you aren't able to claim 

the full amount of the child tax credit. The child tax 

credit isn't the same as the credit for child and dependent 

care expenses. See Pub. 503 for information on the credit 

for child and dependent care expenses.

Refunds for returns claiming the ACTC can't be issued before mid-February 2024. This delay applies to the entire refund, not just the portion associated with the ACTC. This delay does not apply if the 

return claims the CTC unless the return also claims the 

earned income credit.

Can I claim the child tax credit if I don't have a social 

security number (SSN) or an individual taxpayer 

identification number (ITIN)? If you or your spouse (if 

filing jointly) don’t have an SSN or ITIN issued on or before 

the due date of your 2023 return (including extensions), 

you can't claim the child tax credit on either your original 

or an amended 2023 return, even if you later get an SSN. 

If an ITIN is applied for on or before the due date of a 2023 

return (including extensions) and the IRS issues an ITIN 

as a result of the application, the IRS will consider the ITIN 

as issued on or before the due date of the return.

Is My Child a Qualifying Child?

Your child is a qualifying child for purposes of the child tax 

credit if your child meets all seven of the following conditions.

1. Is your son, daughter, stepchild, foster child, brother, 

sister, stepbrother, stepsister, half brother, or half sister, or a descendant of any of them (for example, your 

grandchild, niece, or nephew).

2. Was under age 17 at the end of 2023.

3. Didn't provide over half of the child’s own support for 

2023.

4. Lived with you for more than half of 2023 (but see Are 

there exceptions to the time lived with you requirement, later).

5. Is claimed as a dependent on your return.

6. Doesn't file a joint return for the year (or files it only to 

claim a refund of income tax withheld or estimated tax 

paid).

7. Was a U.S. citizen, a U.S. national, or a U.S. resident 

alien. If the child was adopted, see Adopted child, 

later.

Are there exceptions to the time lived with you requirement? Temporary absences by you or the other 

person for special circumstances, such as school, vacation, business, medical care, military service, or detention 

in a juvenile facility, count as time the person lived with 

you.

If the person meets all other requirements to be your 

qualifying child but was born or died in 2023, the person is 

considered to have lived with you for more than half of 

CAUTION

!

TIP

18 Publication 3 (2023)
2023 if your home was this person's home for more than 

half the time he or she was alive in 2023.

Any other person is considered to have lived with you 

for all of 2023 if the person was born or died in 2023 and 

your home was this person's home for the entire time he or 

she was alive in 2023.

There are also exceptions for kidnapped children, children lawfully placed with you for legal adoption by you in 

2023, eligible foster children placed with you in 2023, and 

children of divorced or separated parents. For details, see 

Pub. 501.

What if my child is the qualifying child of more than 

one person? A special rule applies if your qualifying 

child is the qualifying child of more than one person as 

only one person can actually treat the child as a qualifying 

child. For details, see Pub. 501.

Adopted child. Your adopted child is always treated as 

your own child. An adopted child includes a child lawfully 

placed with you for legal adoption. If you are a U.S. citizen 

or U.S. national and your adopted child lived with you as a 

member of your household all year, that child meets condition 7.

How Much Can I Claim as a Child Tax 

Credit?

The maximum amount you can claim for the credit is 

$2,000 for each qualifying child under age 17 at the end of 

2023, who has an SSN that is valid for employment and issued before the due date of your 2023 return (including 

extensions). If your child was issued an SSN that wasn't 

valid for employment and became eligible for a card without the legend “Not valid for employment” by the due date 

of your return (including extensions), you may claim the 

CTC on an original or amended return for that tax year 

even if your child’s card wasn't updated by the due date of 

your return.

Modified AGI. For purposes of the CTC and ACTC, 

your modified AGI is the amount on Form 1040 or 

1040-SR, line 11, plus the following amounts that may apply to you.

• Any amount excluded from income because of the exclusion of income from Puerto Rico.

• Any amount on line 45 or line 50 of Form 2555.

• Any amount on line 15 of Form 4563, Exclusion of Income for Bona Fide Residents of American Samoa.

If you don't have any of the above, your modified AGI is 

the same as your AGI.

Claiming the Credit

To claim the CTC and/or ACTC, you must file Form 1040, 

1040-SR, or 1040-NR. For each qualifying child, you must 

check the “child tax credit” box in column (4) of the Dependents section on page 1 of Form 1040, 1040-SR, or 

1040-NR and complete Schedule 8812 (Form 1040). If 

you meet the residency requirements to claim the ACTC, 

you will claim the ACTC on Form 1040, 1040-SR, or 

1040-NR, line 28. Otherwise, you will claim the CTC on 

Form 1040, 1040-SR, or 1040-NR, line 19. For more information on these credits, see the Instructions for Form 

1040, or the Instructions for Form 1040-NR, and the Instructions for Schedule 8812 (Form 1040).

Form 8862, who must file. You must file Form 8862 to 

claim the CTC, ACTC, or ODC if your ACTC or ODC for a 

year after 2015 was denied or reduced for any reason 

other than a math or clerical error. Attach a completed 

Form 8862 to your 2023 return unless an exception applies. See Form 8862, Information To Claim Certain Credits After Disallowance, and its instructions for more information, including whether an exception applies.

If you take the CTC, ACTC, or ODC even though 

you aren't eligible and it is determined that your 

error is due to reckless or intentional disregard of 

the rules for these credits, you won't be allowed to take the 

CTC, ACTC, or ODC for 2 years even if you are otherwise 

eligible to do so. If you fraudulently take the CTC, ACTC, 

or ODC, you won't be allowed to take the CTC, ACTC, or 

ODC for 10 years. See the Instructions for Form 8862 for 

more information. You may also have to pay penalties.

Credit for Other Dependents (ODC)

This credit is a nonrefundable credit of up to $500 for each 

eligible dependent who can't be claimed for the CTC or 

ACTC. The CTC, ACTC, and ODC are figured using 

Schedule 8812 (Form 1040).

To claim the credit, you must file Form 1040, 1040-SR, 

or 1040-NR. For each qualifying child, you must check the 

“Credit for other dependents” box in column (4) of the Dependents section on page 1 of Form 1040, 1040-SR, or 

1040-NR. For more information on the ODC, see the Instructions for Schedule 8812 (Form 1040).

Form 8862, who must file. You must file Form 8862 to 

claim the CTC, ACTC or ODC if your CTC, ACTC, or ODC 

for a year after 2015 was denied or reduced for any reason other than a math or clerical error. Attach a completed 

Form 8862 to your 2023 return to claim the CTC, ACTC or 

ODC unless an exception applies. See Form 8862, Information To Claim Certain Credits After Disallowance, and 

its instructions for more information, including whether an 

exception applies.

If you take the CTC, ACTC or ODC even though 

you aren't eligible and it is determined that your 

error is due to reckless or intentional disregard of 

the rules for these credits, you won't be allowed to take the 

ODC for 2 years even if you are otherwise eligible to do 

so. If you fraudulently take the CTC, ACTC or ODC, you 

won't be allowed to take the CTC, ACTC or ODC for 10 

years. See the Instructions for Form 8862 for more information. You may also have to pay penalties.

CAUTION

!

CAUTION

!

Publication 3 (2023) 19
Additional Child Tax Credit (ACTC)

What is the ACTC? This credit is for certain individuals 

who get less than the full amount of the CTC.

The ODC can’t be used to figure the ACTC. Only 

your CTC can be used to figure your ACTC. If you 

are claiming the ODC but not the CTC, you can’t 

claim the ACTC.

Refunds for returns claiming the ACTC can’t be issued before mid-February 2024. This delay applies to the entire refund, not just the portion associated with the ACTC. This delay does not apply if the 

return claims the CTC unless the return also claims the 

earned income credit.

Form 8862, who must file. You must file Form 8862 to 

claim the ACTC if your CTC, ACTC or ODC for a year after 

2015 was denied or reduced for any reason other than a 

math or clerical error. Attach a completed Form 8862 to 

your 2023 return unless an exception applies. See Form 

8862, Information To Claim Certain Credits After Disallowance, and its instructions for more information, including 

whether an exception applies.

If you take the CTC, ACTC, or ODC even though 

you aren't eligible and it is determined that your 

error is due to reckless or intentional disregard of 

the rules for these credits, you won't be allowed to take the 

CTC, ACTC, or ODC for 2 years even if you are otherwise 

eligible to do so. If you fraudulently take the CTC, ACTC, 

or ODC, you won't be allowed to take the CTC, ACTC, or 

ODC for 10 years. See the Instructions for Form 8862 for 

more information. You may also have to pay penalties.

Earned Income Credit (EIC)

The EIC is a credit for certain persons who work. The 

credit may give you a refund even if you don't owe any tax 

or didn't have any tax withheld.

You must satisfy certain criteria in order to claim the 

EIC. The criteria you must meet depends on whether you 

have a qualifying child. Detailed information is provided in 

Claiming the EIC if I Have a Qualifying Child and Claiming 

the EIC if I Don't Have a Qualifying Child, later.

Form 8862, who must file. You must file Form 8862 to 

claim the EIC if your EIC for a year after 1996 was denied 

or reduced for any reason other than a math or clerical error. Attach a completed Form 8862 to your 2023 return. 

Don't file Form 8862 if you filed Form 8862 for a tax year 

after the denial or reduction if the EIC was allowed for that 

year or if the 10-year period and/or 2-year period in the 

Caution below is over. See Form 8862 and its instructions 

for details.

If you take the EIC even though you aren't eligible 

and it is determined that your error is due to reckless or intentional disregard of the EIC rules, you 

won't be allowed to take the credit for 2 years even if you 

are otherwise eligible to do so. If you fraudulently take the 

TIP TIP

CAUTION

!

CAUTION

!

EIC, you won't be allowed to take the credit for 10 years. 

You may also have to pay penalties. See Form 8862 and 

its instructions for details.

Refunds for returns claiming the EIC can't be issued before mid-February 2024. This delay applies to the entire refund, not just the portion associated with the EIC.

Can I claim the EIC if I don't have an SSN? If you don't 

have an SSN by the due date of your 2023 return (including extensions), you can't claim the EIC on either your 

original or an amended 2023 return, even if you later get 

an SSN.

Claiming the EIC if I Have a Qualifying Child

If you are claiming the EIC with a qualifying child, 

you should follow the eligibility rules that apply to 

filers with a qualifying child or children when determining whether you are eligible to claim the EIC even if 

your qualifying child hasn't been issued a valid SSN on or 

before the due date of your return (including extensions). 

However, when calculating the amount of EIC that you are 

eligible to claim on your return, you should follow the rules 

that apply to taxpayers who do not have a qualifying child.

If you have a qualifying child (defined later), you must 

satisfy all nine of the following rules to claim the EIC.

1. You must have earned income (defined later).

2. Your earned income and adjusted gross income (AGI) 

must each be less than:

a. $56,838 ($63,398 for married filing jointly) if you 

have three or more qualifying children,

b. $52,918 ($59,478 for married filing jointly) if you 

have two qualifying children, or

c. $46,560 ($53,120 for married filing jointly) if you 

have one qualifying child.

3. If you are married, you must file a joint return to claim 

the EIC or satisfy certain requirements to be considered unmarried for EIC purposes.

4. You generally can't be a qualifying child of another 

person. If filing a joint return, your spouse also can't 

be a qualifying child of another person.

5. Your qualifying child can't be used by more than one 

person to claim the credit. If your qualifying child is the 

qualifying child of more than one person, you must be 

the person who can treat the child as a qualifying 

child. See the Caution below. If the other person can 

claim the child as a qualifying child, you may be able 

to claim the EIC under the rules for a taxpayer without 

a qualifying child. For details, see Rule 9 in Pub. 596.

6. You can't file Form 2555 to exclude income earned in 

foreign countries, or to deduct or exclude a foreign 

housing amount. See Pub. 54 for more information 

about this form.

TIP

CAUTION

!

20 Publication 3 (2023)
7. You must be a U.S. citizen or resident alien all year 

unless:

a. You are married to a U.S. citizen or a resident 

alien,

b. Your filing status is married filing jointly, and

c. You choose to be treated as a resident alien for 

the entire year. If you need more information about 

making this choice, see Resident Aliens, later.

8. Certain investment income must be $11,000 or less 

during the year. For most people, this investment income is taxable interest and dividends, tax-exempt interest, and capital gain net income. See Worksheet 1 

in Pub. 596 for more information on the investment income includible in the amount that must meet the 

$11,000 limit.

9. You must have a valid SSN for yourself, your spouse 

(if filing a joint return), and any qualifying child.

If you and someone else have the same qualifying 

child but the other person can't claim the EIC because he or she isn't eligible or his or her earned 

income or AGI is too high, you may be able to treat the 

child as a qualifying child. But you can't treat the child as a 

qualifying child to claim the EIC if the other person uses 

the child to claim any of the tax benefits listed below.

1. The child tax credit, ACTC, and ODC.

2. Head of household filing status.

3. The credit for child and dependent care expenses.

4. The exclusion for dependent care benefits.

How to report. If you satisfy all these rules, fill out 

Schedule EIC (Form 1040), Earned Income Credit, and attach it to Form 1040 or 1040-SR. You will claim the EIC on 

Form 1040, 1040-SR, or 1040-NR, line 27.

Qualifying child. Your child is a qualifying child if your 

child passes four tests and has an SSN, as required in Social security number (SSN) of child, later. The four tests 

are:

1. Relationship,

2. Age,

3. Residency, and

4. Joint return.

Each test, and the SSN requirement, are discussed below.

Relationship test. In order to be classified as a qualifying child, your child must pass the relationship test. Your 

child passes this test if the child is your:

• Son, daughter, stepchild, or foster child, or a descendant of any of them (for example, your grandchild); or

• Brother, sister, half brother, half sister, stepbrother, or 

stepsister, or a descendant of any of them (for example, your niece or nephew).

CAUTION

!

An adopted child is always treated as your own child. 

The term “adopted child” includes a child who was lawfully 

placed with you for legal adoption.

Your foster child, for the relationship test, is a child 

placed with you by an authorized placement agency or by 

judgment, decree, or other order of any court of competent jurisdiction. An authorized placement agency includes 

a state or local government agency. It also includes a 

tax-exempt organization licensed by a state. In addition, it 

includes an Indian tribal government or an organization 

authorized by an Indian tribal government to place Indian 

children.

Age test. In order to be classified as a qualifying child, 

your child must pass the age test. A child passes the age 

test if he or she is in at least one of the following categories.

1. Category 1. Under age 19 at the end of 2023 and 

younger than you (or your spouse, if filing jointly).

2. Category 2. Under age 24 at the end of 2023, a student, and younger than you (or your spouse, if filing 

jointly).

3. Category 3. Permanently and totally disabled at any 

time during 2023, regardless of age.

Student defined. To qualify as a student, your child 

must be, during some part of each of any 5 calendar 

months of 2023:

1. A full-time student at a school that has a regular 

teaching staff, course of study, and regular student 

body at the school; or

2. A student taking a full-time, on-farm training course 

given by a school described in (1), or a state, county, 

or local government.

The 5 calendar months need not be consecutive.

A school can be an elementary school, junior or senior 

high school, college, university, or technical, trade, or mechanical school. However, on-the-job training courses, 

correspondence schools, and schools offering courses 

only through the Internet don't count as schools for the 

EIC.

Students who work in co-op jobs in private industry as 

a part of a school's regular course of classroom and practical training are considered full-time students.

Permanently and totally disabled. Your child is permanently and totally disabled if, at any time in 2023, both 

of the following apply.

1. Your child couldn't engage in any substantial gainful 

activity because of a physical or mental condition.

2. A doctor determined the condition has lasted or can 

be expected to last continuously for at least a year or 

can lead to death.

Residency test. In order to be classified as a qualifying child, your child must pass the residency test. A child 

passes the residency test if he or she has lived with you in 

the United States for more than half of 2023.

Publication 3 (2023) 21
The IRS may ask you for documents to show you lived 

with each qualifying child. Documents you might want to 

keep for this purpose include school and childcare records 

and other records that show your child's address.

You can't take the credit for a child who didn't live 

with you for more than half the year even if you 

paid most of the child's living expenses. But see 

below for allowable absences.

The United States includes the 50 states and the District of Columbia. It doesn't include U.S. territories such as 

Guam or Puerto Rico.

U.S. Armed Forces personnel stationed outside the 

United States on extended active duty are considered to 

live in the United States during that duty period for purposes of the EIC. Extended active duty means you are called 

or ordered to active duty for an indefinite period or for a 

period of more than 90 days. Once you begin serving your 

extended active duty, you are still considered to have been 

on extended active duty even if you don't serve more than 

90 days.

A child who was born or died in 2023 is treated as having lived with you for more than half of 2023 if your home 

was the child's home for more than half of the time he or 

she was alive in 2023.

Count time that you or your child is away from home on 

a temporary absence due to a special circumstance as 

time the child lived with you. Examples of a special circumstance include illness, school attendance, business, 

vacation, military service, and detention in a juvenile facility.

An adopted child in 2023, and that child was lawfully 

placed with you for legal adoption by you in 2023, or the 

child was an eligible foster child placed with you during 

2023, the child is considered to have lived with you for 

more than half of 2023 if your main home was this child's 

main home for more than half the time he or she was 

adopted or placed with you in 2023.

A kidnapped child is treated as living with you for more 

than half of the year if the child lived with you for more 

than half the part of the year before the date of the kidnapping or following the date of the child's return. The child 

must be presumed by law enforcement authorities to have 

been kidnapped by someone who isn't a member of your 

family or your child's family. This treatment applies for all 

years until the child is returned. However, the last year this 

treatment can apply is the earlier of:

1. The year there is a determination that the child is 

dead, or

2. The year the child would have reached age 18.

If your qualifying child has been kidnapped and meets 

these requirements, enter “KC,” instead of a number, on 

line 6 of Schedule EIC.

Joint return test. In order to be classified as a qualifying child, your child must satisfy the joint return test. 

There are two parts to this test.

First, the child can't file a joint return for the year (unless 

the joint return is filed only as a claim for refund of income 

tax withheld or estimated tax paid).

CAUTION

!

Second, even if your child doesn't file a joint return, if 

your child was married at the end of the year, he or she 

can't be your qualifying child unless:

1. You can claim the child as a dependent, or

2. The reason you can't claim the child as a dependent 

is that you let the child's other parent claim the child 

as a dependent under the special rule for divorced or 

separated parents (or parents who live apart) described in Pub. 596 and the Instructions for Form 1040.

Social security number (SSN) of child. In order to 

be classified as a qualifying child, your child must have a 

valid SSN unless the child was born and died in 2023. If a 

child didn't have an SSN on or before the due date of your 

return (including extensions), you can't count that child as 

a qualifying child in figuring the EIC on either your original 

or an amended 2023 return, even if that child later gets an 

SSN. You can't claim a higher EIC credit amount on the 

basis of a qualifying child if:

1. Your qualifying child's SSN is missing from your tax 

return or is incorrect;

2. Your qualifying child's social security card says “Not 

valid for employment” and was issued for use in getting a federally funded benefit; or

3. Instead of an SSN, your qualifying child has:

a. An ITIN which is issued to a noncitizen who can't 

get an SSN; or

b. An adoption taxpayer identification number 

(ATIN), which is issued to adopting parents who 

can't get an SSN for the child being adopted until 

the adoption is final.

If you have more than one qualifying child and only one 

has a valid SSN, you can claim a higher EIC credit amount 

only for that one child.

More information. For more information on the EIC, see 

Pub. 596.

Claiming the EIC if I Don't Have a Qualifying 

Child

If you don't have a qualifying child, you can take the credit 

if you satisfy all 11 of the following rules.

1. You must have earned income (defined later).

2. Your earned income and adjusted gross income must 

each be less than $17,640 ($24,240 for married filing 

jointly).

3. If you are married, see Pub. 596 for more details.

4. You can't be a qualifying child of another person. You 

automatically meet this requirement if you are claiming the EIC on a joint return.

5. You must be at least age 25 but under age 65 at the 

end of 2023. If you are married filing a joint return, either you or your spouse must be at least age 25 but 

under age 65 at the end of 2023. It doesn't matter 

22 Publication 3 (2023)
which spouse meets the age test, as long as one of 

the spouses does. See Pub. 596 for more details.

You meet the age test if you were born after December 31, 1958, and before January 2, 1999. If you 

are married filing a joint return, you meet the age test 

if either you or your spouse was born after December 

31, 1958, and before January 2, 1999.

If neither you nor your spouse meets the ages test, 

you can't claim the EIC. Enter “No” on the dotted line 

next to line 27 (Form 1040 or 1040-SR).

6. You can't be claimed as a dependent by anyone else 

on that person's return. You automatically meet this 

requirement if you are claiming the EIC on a joint return.

7. Your main home (and your spouse's, if filing a joint return) must be in the United States for more than half 

the year. Your home can be any location where you 

regularly live. You don't need a traditional home. (U.S. 

military personnel stationed outside the United States 

on extended active duty, discussed earlier, are considered to be living in the United States.)

8. You can't file Form 2555.

9. You must be a U.S. citizen or resident alien all year 

unless:

a. You are married to a U.S. citizen or a resident 

alien,

b. Your filing status is married filing jointly, and

c. You choose to be treated as a resident alien for 

the entire year.

10. Certain investment income must be $11,000 or less 

during the year. For most people, this investment income is taxable interest and dividends, tax-exempt interest, and capital gain net income. See Worksheet 1 

in Pub. 596 for more information on the investment income includible in the amount that must meet the 

$11,000 limit.

11. You (and your spouse, if filing a joint return) must have 

a valid SSN.

How to report. If you satisfy all 11 of these rules, fill out 

the EIC Worksheet in your tax form instructions to figure 

the amount of your credit.

More information. For more information, see Pub. 596.

How Do I Figure My Earned Income?

When figuring your earned income for the EIC, you must 

know what counts as earned income as well as what 

doesn't count as earned income. Both categories of income are described below.

What is included in my earned income for the EIC? 

For purposes of the EIC, earned income generally includes the following.

• Wages, salaries, tips, and other taxable employee pay.

• Net earnings from self-employment.

• Gross income received as a statutory employee.

• Nontaxable combat zone pay if you elect to include it 

in earned income. See Can I treat my nontaxable combat zone pay as earned income? next.

Can I treat my nontaxable combat zone pay as 

earned income? You can elect to include your nontaxable combat zone pay in earned income for the EIC. If you 

make the election, you must include in earned income all 

nontaxable combat zone pay you received. If you are filing 

a joint return and both you and your spouse received nontaxable combat zone pay, you can each make your own 

election. In other words, if one of you makes the election, 

the other one can also make it but doesn't have to.

The amount of your nontaxable combat zone pay 

should be shown on your Form W-2 in box 12 with code 

Q. Electing to include nontaxable combat zone pay in 

earned income may increase or decrease your EIC.

Figure the credit with and without your nontaxable combat zone pay before making the election. Whether the 

election increases or decreases your EIC depends on 

your total earned income, filing status, and number of 

qualifying children. If your earned income without your 

combat zone pay is less than the amount shown below for 

your number of children, you may benefit from electing to 

include your nontaxable combat zone pay in earned income and you should figure the credit both ways. If your 

earned income without your combat zone pay is equal to 

or more than these amounts, you won't benefit from including your combat zone pay in your earned income.

• $7,840 if you have no qualifying children.

• $11,750 if you have one qualifying child.

• $16,510 if you have two or more qualifying children.

The following examples illustrate the effect of including 

nontaxable combat zone pay in earned income for the 

EIC.

Example 1—Election increases the EIC. Gray and 

Jaidyn are married, were born in 1988, and will file a joint 

return. They have one qualifying child. Gray was in the 

Army and earned $15,000 ($5,000 taxable wages + 

$10,000 nontaxable combat zone pay). Jaidyn worked 

part of the year and earned $2,000. Their taxable earned 

income and AGI are both $7,000. Gray and Jaidyn qualify 

for the EIC and fill out the EIC Worksheet in the Form 1040 

instructions and Schedule EIC.

When they complete the EIC Worksheet without adding 

the nontaxable combat zone pay to their earned income, 

they find their credit to be $2,389. When they complete 

the EIC Worksheet with the nontaxable combat zone pay 

added to their earned income, they find their credit to be 

$3,584. Because making the election will increase their 

EIC, they elect to add the nontaxable combat zone pay to 

their earned income for the EIC. They enter $3,584 on 

line 27 and they enter $10,000 on line 1i of their Form 

1040. They also enter the amount of their nontaxable pay 

and enter “NCP” in the space to the left of line 27 on Form 

1040.

Publication 3 (2023) 23
Example 2—Election doesn't increase the EIC. The 

facts are the same as in Example 1, except Gray had nontaxable combat pay of $30,000. When Gray and Jaidyn 

add their nontaxable combat pay to their earned income, 

they find their credit to be $1,771. Because the credit they 

can get if they don't add the nontaxable combat pay to 

their earned income is $2,389, they decide not to make 

the election. They enter $2,389 on line 27 of their Form 

1040.

What isn't earned income for the EIC? When figuring 

your earned income for purposes of the EIC, don't include 

any of these amounts.

• Basic pay or special, bonus, or other incentive pay 

that is subject to the combat zone exclusion (unless 

you make the election described earlier under Can I 

treat my nontaxable combat zone pay as earned income).

• Basic Allowance for Housing (BAH).

• Basic Allowance for Subsistence (BAS).

• Any other nontaxable employee compensation.

• Interest and dividends.

• Social security and railroad retirement benefits.

• Certain workfare payments.

• Pensions or annuities.

• Veterans' benefits (including VA rehabilitation payments).

• Workers' compensation.

• Unemployment compensation.

• Alimony and child support.

The IRS Can Figure Your Credit for You

There are certain instructions you must follow before the 

IRS can figure the credit for you. See IRS Will Figure the 

EIC for You in Pub. 596.

Credit for Excess Social Security Tax 

Withheld

Most employers must withhold social security tax from 

your wages. If you worked for two or more employers in 

2023 and you earned more than $160,200, you may be 

able to take the credit for excess social security tax withheld. The maximum amount of social security tax that 

should have been withheld for 2023 is $9,932.40. You are 

eligible for the credit for excess social security tax withheld 

only if you had more than one employer. You should use 

the Credit for Excess Social Security Tax Withheld Worksheet to figure your credit.

All wages are subject to Medicare tax withholding.

What if one of my employers withheld more than 

$9,932.40? If any one employer withheld more than 

$9,932.40 in social security taxes in 2023, you can't take a 

credit for the excess social security tax withheld over 

$9,932.40 by that employer. The employer should adjust 

the tax for you. If the employer doesn't adjust the overcollection, you can file a claim for refund using Form 843, 

Claim for Refund and Request for Abatement.

Joint return. If you are filing a joint return, you can't add 

the social security tax withheld from your spouse's wages 

to the amount withheld from your wages in determining 

whether you or your spouse had excess social security tax 

withheld. You must figure the withholding separately for 

you and your spouse to determine if either of you has excess withholding.

Credit for Excess Social Security Tax Withheld Worksheet. You can use the Credit for Excess Social Security 

Tax Withheld Worksheet to figure your credit for excess 

social security tax withheld on wages in 2023 only if you 

had no wages in 2023 from employers that were railroads. 

If you worked for a railroad employer in 2023, see Do I figure my credit differently if I am a railroad employee? next.

Do I figure my credit differently if I am a railroad 

employee? If you work for a railroad employer, the discussion in this section doesn't apply to you. Your railroad 

CAUTION

!

Credit for Excess Social Security Tax Withheld Worksheet

 If you received wages from a railroad employer, you can't use this worksheet. See Do I figure my credit differently if I am a railroad 

employee. 

 If you had only one employer, don't use this worksheet. Instead, see What if one of my employers withheld more than $9,932.40?.

1. Add all social security tax withheld (but not more than $9,932.40 for each employer). Enter 

the total here ................................................................. 1.

2. Enter any uncollected social security tax on wages, tips, or group-term life insurance 

included in the total on Schedule 2 (Form 1040), line 6 .............................. 2.

3. Add lines 1 and 2. If $9,932.40 or less, stop here. You can't take the credit .............. 3.

4. Social security tax limit ........................................................ 4. 9,932.40

5. Subtract line 4 from line 3. This is your excess social security tax withheld credit. Enter the 

result here and on Schedule 3 (Form 1040), line 11 ................................. 5.

24 Publication 3 (2023)
employer must withhold tier 1 railroad retirement (RRTA) 

tax and tier 2 RRTA tax. See chapter 2 of Pub. 505 for 

more information.

How to take the credit. Enter the credit on Schedule 3 

(Form 1040), line 11.

First-Time Homebuyer Credit 

Repayment

If you claimed a first-time homebuyer tax credit for a home 

purchased after April 9, 2008, and before May 1, 2010, 

you must generally repay the first-time homebuyer credit 

over a 15-year period in 15 equal installments. For your 

2023 (and later) tax returns, the repayment requirement 

will only apply to a home you bought during that time period.

For more information, see Form 5405, Repayment of 

the First-Time Homebuyer Credit, and its instructions.

Forgiveness of Decedent's Tax 

Liability

Tax liability can be forgiven if a member of the U.S. Armed 

Forces dies:

• While in active service in a combat zone (see Combat 

Zone Related Forgiveness, later);

• From wounds, disease, or injury received in a combat 

zone (see Combat Zone Related Forgiveness, later); 

or

• From wounds or injury incurred in a terrorist or military 

action (see Terrorist or Military Action Related Forgiveness, later).

What does tax forgiveness mean? When there is tax 

forgiveness, the following occurs.

• If the tax being forgiven hasn't yet been paid, it may 

not have to be paid.

• If the tax being forgiven has been paid, the payment 

may be refunded.

How Do I Make a Claim for Tax Forgiveness, later, provides details.

Combat Zone Related Forgiveness

Combat zone related forgiveness occurs when an individual meets both of the following criteria.

1. Is a member of the U.S. Armed Forces at death.

2. Dies while in active service in a combat zone, or at 

any place from wounds, disease, or injury incurred 

while in active service in a combat zone.

Except as limited in Deadline for Filing a Claim for Tax 

Forgiveness, later, forgiveness applies to:

• The tax year death occurred, and

• Any earlier tax year ending on or after the first day the 

member served in the combat zone in active service.

In addition, any unpaid taxes for years ending before 

the member began service in a combat zone will be forgiven and any of those taxes that are paid after the date of 

death will be refunded.

The beneficiary or trustee of the estate of a deceased 

servicemember doesn't have to pay tax on any amount received that would have been included (had the servicemember not died) in the deceased member's gross income for the year of death.

Service outside combat zone. These rules also apply 

to a member of the Armed Forces serving outside the 

combat zone if the service:

• Was in direct support of military operations in the 

zone, and

• Qualified the member for special military pay for duty 

subject to hostile fire or imminent danger.

For a description of combat zone, see Combat Zone Defined, earlier, under Combat Zone Exclusion.

Missing status. The date of death for a member of the 

Armed Forces who was in a missing status (missing in action or prisoner of war) is the date his or her name is removed from missing status for military pay purposes. This 

is true even if death actually occurred earlier.

Terrorist or Military Action

Related Forgiveness

Terrorist or military action related forgiveness occurs when 

an individual meets both of the following criteria.

• Is a member of the U.S. Armed Forces at death.

• Dies from wounds or injury incurred while a member of 

the U.S. Armed Forces in a terrorist or military action.

Except as limited in Deadline for Filing a Claim for Tax 

Forgiveness, later, forgiveness applies to:

• The tax year death occurred, and

• Any earlier tax year in the period beginning with the 

year before the year in which the wounds or injury occurred.

A terrorist or military action is any terrorist activity primarily 

directed against the United States or its allies or any military action involving the U.S. Armed Forces and resulting 

from violence or aggression against the United States or 

its allies (or threat thereof).

Any multinational force in which the United States participates is considered an ally of the United States.

The beneficiary or trustee of the estate of a deceased 

servicemember doesn't have to pay tax on any amount 

Publication 3 (2023) 25
received that would have been included (had the servicemember not died) in the deceased member's gross income for the year of death.

Example. Army Private John Kane died in 2023 of 

wounds incurred in a terrorist attack in 2022. His income 

tax liability is forgiven for all tax years from 2021 through 

2023.

How Do I Make a Claim for Tax 

Forgiveness?

How Is Tax Forgiveness Claimed?

If the decedent's tax liability is forgiven, the personal representative should take the following steps.

Step 1: File the proper form. The form filed to claim the 

tax forgiveness depends on whether a return has already 

been filed for the tax year.

• File a paper Form 1040 or 1040-SR if a tax return 

hasn't been filed for the tax year. Form W-2 must accompany the return.

• File a paper Form 1040-X if a tax return has been filed. 

A separate paper Form 1040-X must be filed for each 

year in question.

Step 2: Properly identify the return. Properly identify 

the return by providing the conflict or action on which the 

claim for tax forgiveness is based.

• All returns and claims must be identified by writing 

“Iraqi Freedom—KIA,” “Enduring Freedom—KIA,” “Kosovo Operation—KIA,” “Desert Storm—KIA,” or “Former Yugoslavia—KIA” in bold letters on the top of 

page 1 of the return or claim.

• On Forms 1040, 1040-SR, and 1040-X, the phrase 

“Iraqi Freedom—KIA,” “Enduring Freedom—KIA,” 

“Kosovo Operation—KIA,” “Desert Storm—KIA,” or 

“Former Yugoslavia—KIA” must be written on the line 

for total tax.

• If the individual was killed in a terrorist action, write 

“KITA” on the front of the return and on the line for total 

tax.

Step 3: Include a before and after tax forgiveness 

computation. Include an attachment with a computation 

of the decedent's tax liability before any amount is forgiven 

and the amount that is to be forgiven. For computations 

when the decedent has filed joint returns or the spouse 

has filed as married filing separately, see below.

Computation when the decedent filed joint returns. Only the decedent's part of the joint income tax liability is eligible for the refund or tax forgiveness. To determine the decedent's part, the person filing the claim must:

1. Figure the income tax for which the decedent would 

have been liable if a separate return had been filed,

2. Figure the income tax for which the spouse would 

have been liable if a separate return had been filed, 

and

3. Multiply the joint tax liability by a fraction. The top 

number of the fraction is the amount in (1) above. The 

bottom number of the fraction is the total of (1) and (2) 

above.

The amount in (3) is the decedent's tax liability that is eligible for the refund or tax forgiveness. If you are unable to 

complete this process, you should attach a statement of 

all income and deductions, indicating the part that belongs 

to each spouse. The IRS will determine the amount eligible for forgiveness.

Computation when in a community property state. 

If the decedent's legal residence was in a community 

property state and the spouse reported half the military 

pay on a separate return, the spouse can get a refund of 

taxes paid on his or her share of the pay for the years involved. The forgiveness of unpaid tax on the military pay 

would also apply to the half owed by the spouse for the 

years involved. See Community Property, earlier, for a discussion of community property.

Step 4: Provide Form 1310, if required. Form 1310 

must accompany the return unless the person filing the return is:

• A surviving spouse filing an original or amended joint 

return, or

• A personal representative filing an original Form 1040 

or 1040-SR for the decedent and a court certificate 

showing the appointment as personal representative 

is attached to the return.

Step 5: Provide the death certification. The death certification must come from the proper agency.

For military and civilian employees of the DoD, certification must be made by the Department on DD Form 1300, 

Report of Casualty.

For civilian employees of all other agencies who are killed overseas, certification must be a letter signed by the 

Director General of the Foreign Service, Department of 

State, or his or her delegate. The certification must include 

the deceased individual's name and SSN, the date of injury, the date of death, and a statement that the individual 

died as the result of a terrorist or military action. If the individual died as a result of a terrorist or military action outside the United States, the statement must also include 

the fact that the individual was a U.S. employee on the 

date of injury and on the date of death.

Can I get more time to file if I don't have enough tax 

information by the deadline? If the death certification 

required in Step 5 has been received but there isn't 

enough tax information to file a timely claim for refund, file 

Form 1040-X with Form 1310 by the deadline. Include a 

statement saying that an amended claim will be filed as 

soon as the necessary tax information is available. File the 

amended Form 1040-X as soon as you get the needed tax 

information.

26 Publication 3 (2023)
Who Can File a Claim for Tax Forgiveness?

If a member of the Armed Forces dies, a surviving spouse 

or personal representative handles duties such as filing 

any tax returns and claims for refund involving tax forgiveness. A personal representative can be an executor, an 

administrator, or anyone who is in charge of the decedent's assets.

Deadline for Filing a Claim for Tax 

Forgiveness

Whether a credit or refund is requested, generally, the period for filing the claim is 3 years from the time the return 

was filed or 2 years from the time the tax was paid, whichever expires later. If the decedent's return was filed before 

it was due, it will be considered filed on the regular due 

date, usually April 15.

Extension of deadline when the death is combat 

zone related. If the death occurred in a combat zone or 

from wounds, disease, or injury incurred in a combat zone, 

the deadline for filing a claim for credit or refund is extended using the rules discussed later under Are There Filing, Tax Payment, and Other Extensions Specifically for 

Those in a Combat Zone or a Contingency Operation.

Where To File a Return Requesting Tax 

Forgiveness

A return requesting tax forgiveness must be filed at the following address.

Internal Revenue Service

333 W. Pershing Street, Stop 6503, P5

Kansas City, MO 64108

Filing Returns

This section discusses the procedures members of the 

Armed Forces should follow when filing their federal income tax returns. These same rules apply when the return 

is filed on behalf of a member of the Armed Forces, for example, by a tax preparer or by a surviving spouse or personal representative. Special rules apply when filing returns for those involved in a combat zone or a contingency 

operation. See Are There Filing, Tax Payment, and Other 

Extensions Specifically for Those in a Combat Zone or a 

Contingency Operation, later.

What is my filing status if I am in a same-sex marriage? For federal tax purposes, marriages of couples of 

the same sex are treated the same as marriages of couples of the opposite sex. The term “spouse” includes an 

individual married to a person of the same sex. You must 

select married, or married filing separately, as your filing 

status.

What is my filing status if I am in a registered domestic partnership, civil union, or other similar relationship? If you have entered into a registered domestic partnership, a civil union, or other similar relationship that isn't 

considered a marriage under state (or foreign) law, you 

aren't considered married for federal tax purposes. You 

must select single (or head of household, if eligible) as 

your filing status. For more details, see Pub. 501.

Where To File My Return

Electronic filing (e-filing) of your tax return. You are 

encouraged to e-file your return. Eight in 10 taxpayers get 

their refunds faster by using direct deposit and e-file. You 

may be eligible to e-file your 2023 federal income tax return free through Free File. Go to IRS.gov/Efile for more information on e-filing and Free File.

If you e-file your return, there is no need to mail it.

Paper returns. A tax return for forgiveness of decedent's 

tax liability, discussed earlier, must be filed on paper. For 

the address where those returns should be filed, see 

Where To File a Return Requesting Tax Forgiveness under 

Forgiveness of Decedent's Tax Liability, earlier.

If you choose to file a federal income tax return on paper and you aren't claiming tax forgiveness on the return, 

send your federal tax return to the Internal Revenue Service Center for the place where you live. The Instructions 

for Form 1040 give the address for the Service Centers. If 

you are overseas and have an APO or FPO address, file 

your return with the Internal Revenue Service Center listed 

for an APO or FPO address.

Example. Sgt. Kane, who is stationed in Maine but 

whose permanent home address is in California, should 

send her federal return to the Service Center for Maine.

When To File My Return

Most individuals must file their tax returns by the regular 

due date. You may be eligible for an extension. Some extensions are automatic, some aren't. See Extensions of 

Deadlines To File Your Tax Return, To Pay Your Taxes, and 

for Other Actions, later.

What Is the Regular Due Date of My Return?

For calendar-year taxpayers, the regular due date is April 

15 of the following year. If April 15 falls on a Saturday, 

Sunday, or legal holiday, your tax return is considered 

timely filed if it is filed by the next business day that isn't a 

Saturday, Sunday, or legal holiday. For 2023 tax returns, 

the regular due date is April 15, 2024.

When Is the Latest I Can Pay 

My Tax?

You should always pay your tax by the regular due date for 

filing your return. An extension of time to file doesn't mean 

you have an extension of time to pay any tax due. You 

Publication 3 (2023) 27
must estimate your tax due and pay it by the regular due 

date for the return unless you qualify for one of the extensions described in Can I delay my payment of income 

taxes? next. You don't have to send in any payment of tax 

due when you file Form 4868. However, if you pay the tax 

after the regular due date, you will be charged interest 

from the regular due date to the date the tax is paid. You 

may also be charged a penalty for paying the tax late unless you have an explanation meeting reasonable-cause 

criteria for not paying your tax when due. (If you have an 

explanation meeting the criteria for reasonable-cause, include it with your return.)

You can pay your taxes by authorizing an electronic 

funds withdrawal from your checking or savings account. 

For the various ways to electronically pay your taxes, see 

your tax return instructions or go to IRS.gov/Payments. Or 

you can mail a Form 1040-V with the payment. See Form 

1040-V and its instructions at IRS.gov/Form1040V.

Can I delay my payment of income taxes? If you 

are a member of the Armed Forces, you may qualify for an 

extension of time to pay income tax that becomes due before or during your military service.

If you serve in a combat zone, have qualifying service 

outside a combat zone, or are outside the United States in 

a contingency operation, you may be eligible for the extension discussed in Are There Filing, Tax Payment, and 

Other Extensions Specifically for Those in a Combat Zone 

or a Contingency Operation, later.

If you don't meet the criteria detailed in Are There Filing, Tax Payment, and Other Extensions Specifically for 

Those in a Combat Zone or a Contingency Operation, you 

may still be able to extend the time to pay your tax. See 

Can I Get an Extension To Pay My Tax if I Am Not in a 

Combat Zone or a Contingency Operation, later.

If you are unable to pay the tax owed by the end of 

the extension period, you may want to ask the IRS 

for an installment payment agreement that reflects 

your ability to pay the tax owed. To do that, go online to 

IRS.gov/OPA to apply for an online payment agreement. 

Or download and file Form 9465, which is available at 

IRS.gov/Form9465.

Extensions of Deadlines To File 

Your Tax Return, To Pay Your 

Taxes, and for Other Actions

In this section, we discuss extensions of the deadlines for 

tax return filing, tax payments, and other actions. We discuss extensions related to combat zone service and contingency operations, and those not related to combat zone 

service and contingency operations.

• Can I Get an Extension To File My Return if I Am Not 

in a Combat Zone or a Contingency Operation?

• Are There Filing, Tax Payment, and Other Extensions 

Specifically for Those in a Combat Zone or a 

Contingency Operation?

TIP

• Can I Get an Extension To Pay My Tax if I Am Not in a 

Combat Zone or a Contingency Operation?

Can I Get an Extension To File My 

Return if I Am Not in a Combat Zone 

or a Contingency Operation?

If you aren't in a combat zone or a contingency operation, 

you may still be eligible for an extension of time to file your 

return. Different rules apply depending on whether you live 

inside or outside the United States.

Getting an Extension if I Am Inside the 

United States

If you are inside the United States, you can receive an automatic 6-month extension to file your return by the regular 

due date of your return, you either file Form 4868 or pay 

any part of your expected tax due by credit or debit card. 

You can file Form 4868 electronically or on paper. See 

Form 4868 for details.

This extension of time to file is automatic, and you won't 

receive any notice of approval. However, your request for 

an extension will be denied if it isn't made timely. The IRS 

will inform you of the denial.

You can't use the automatic extension if you 

choose to have the IRS figure the tax or you are 

under a court order to file your return by the regular due date.

Where on my return do I enter the amount paid with 

my request for an extension? Enter the amount you 

paid with your request for the extension on Schedule 3 

(Form 1040), line 10.

Getting an Extension if I Am Outside the 

United States and Puerto Rico

If you are outside the United States and Puerto Rico, there 

are two automatic extensions that apply to you and a third 

extension that is discretionary.

The automatic 2-month extension. If you are a U.S. 

citizen or resident alien, you qualify for an automatic 

2-month extension of time without filing Form 4868 if either of the following situations applies to you.

Situation 1. You live outside the United States and 

Puerto Rico and your main place of business or post of 

duty is outside the United States and Puerto Rico.

Situation 2. You are in military or naval service on an 

assigned tour of duty outside the United States and 

Puerto Rico for a period that includes the entire due 

date of the return.

You will be charged interest on any amount not paid by the 

regular due date until the date the tax is paid.

If you use this automatic extension, you must attach a 

statement to the return showing that you are described in 

Situation 1 or 2 above.

CAUTION

!

28 Publication 3 (2023)
What if I'm filing a joint return? A married couple filing a joint return is given the automatic 2-month extension 

if one of the spouses met the requirement under Situation 

1 or Situation 2 above.

What if I'm filing as married filing separately? For 

married persons filing separate returns, only the spouse 

who satisfies the criteria in Situation 1 or Situation 2 qualifies for the automatic 2-month extension.

The additional automatic 4-month extension (Form 

4868). You can request an additional 4-month extension 

by filing Form 4868 by June 15, 2024, for a 2023 calendar-year tax return. Check the box on line 8. This will extend your due date to October 15, 2024, if you are a calendar-year taxpayer.

The additional discretionary 2-month extension. In 

addition to the 6-month extension (automatic 2-month and 

additional automatic 4-month extensions), you can request a discretionary 2-month additional extension of time 

to file your return to December 15, 2024, if you are a calendar-year taxpayer.

To request this extension, you must send the IRS a letter explaining the reasons why you need the additional 2 

months. Send the letter by the extended due date (October 15, 2024, if you are a calendar-year taxpayer) to the 

following address.

Department of the Treasury

Internal Revenue Service Center

Austin, TX 73301-0045

You won’t receive any notification from the IRS unless 

your request is denied.

Are There Filing, Tax Payment, and 

Other Extensions Specifically for 

Those in a Combat Zone or a 

Contingency Operation?

The postponements for filing, tax payment, and the other 

actions listed in For Which Actions Are My Deadlines Extended, later, such as collection and examination actions, 

are specifically for persons in the Armed Forces in combat 

zones or contingency operations. As noted in some of our 

earlier discussions, these postponements are referred to 

as “extensions of deadlines.”

What Type of Service Will Qualify Me for 

These Extensions?

You will qualify for these extensions if either of the following statements is true.

• You serve in the Armed Forces in a combat zone or 

you have qualifying service outside of a combat zone.

• You serve in the Armed Forces on deployment outside 

the United States away from your permanent duty station while participating in a contingency operation. A 

contingency operation is a military operation that is 

designated by the Secretary of Defense or results in 

calling members of the uniformed services to active 

duty (or retains them on active duty) during a war or a 

national emergency declared by the President or Congress.

See Combat Zone Defined, earlier, under Combat Zone 

Exclusion, for the beginning dates for the Afghanistan 

area combat zone, the Kosovo area combat zone, the Arabian Peninsula combat zone, and the Sinai Peninsula, and 

the beginning and ending dates for the former Yugoslavia.

Do the extensions apply to those in missing status? 

Time in a missing status (missing in action or prisoner of 

war) counts as time in a combat zone or a contingency operation.

Do the extensions apply to support personnel? 

Deadlines are also extended if you are serving in a combat zone or a contingency operation in support of the 

Armed Forces. This applies to Red Cross personnel, accredited correspondents, and civilian personnel acting under the direction of the Armed Forces in support of those 

forces.

Do the extensions apply to spouses? Spouses of individuals who served in a combat zone or contingency operation are entitled to the same deadline extensions with two 

exceptions.

• The extension doesn't apply to a spouse for any tax 

year beginning more than 2 years after the date the 

area ceases to be a combat zone or the operation 

ceases to be a contingency operation.

• The extension doesn't apply to a spouse for any period the qualifying individual is hospitalized in the United States for injuries incurred in a combat zone or 

contingency operation.

How Much Extra Time Do These Extensions 

Give Me?

Your deadline for filing your return, paying your tax, claiming a refund, and taking other actions with the IRS is extended in two steps.

First, your deadline is extended for 180 days after the 

later of the following.

1. The last day you are in a combat zone, have qualifying 

service outside of the combat zone, or serve in a contingency operation (or the last day the area qualifies 

as a combat zone or the operation qualifies as a contingency operation).

2. The last day of any continuous qualified hospitalization (defined later) for injury from service in the combat zone or contingency operation or while performing 

qualifying service outside of the combat zone.

Second, in addition to the 180 days, your deadline is 

extended by the number of days that were left for you to 

take the action with the IRS when you entered a combat 

zone (or began performing qualifying service outside the 

Publication 3 (2023) 29
combat zone) or began serving in a contingency operation. If you entered the combat zone or began serving in 

the contingency operation before the period of time to take 

the action began, your deadline is extended by the entire 

period of time you have to take the action. For example, 

you had 31/2 months (January 1–April 15, 2023) to file your 

2022 tax return. Any days of this 31/2-month period that 

were left when you entered the combat zone (or the entire 

31/2 months if you entered the combat zone by January 1, 

2023) are added to the 180 days when determining the 

last day allowed for filing your 2022 tax return.

Example 1. Captain Margaret Jones, a resident of 

Maryland, entered Saudi Arabia on December 1, 2021. 

She remained there through March 31, 2023, when she 

departed for the United States. She wasn't injured and 

didn't return to the combat zone. The deadlines for filing 

Captain Jones' 2021, 2022, and 2023 returns are figured 

as follows.

The 2021 tax return. The deadline is January 15, 

2024. This deadline is 288 days (180 plus 108) after 

Captain Jones' last day in the combat zone (March 31, 

2023). The 108 additional days are the number of days 

in the 31/2-month filing period that were left when she 

entered the combat zone (January 1–April 18, 2022).

The 2022 tax return. The deadline is January 15, 

2024. The deadline is 288 days (180 plus 108) after 

Captain Jones' last day in the combat zone (March 31, 

2023). The 108 additional days are the number of days 

in the 31/2-month filing period that were left when she 

entered the combat zone (January 1–April 18, 2023).

The 2023 tax return. The deadline isn't extended because the 180-day extension period after March 31, 

2023, plus the number of days left in the filing period 

when she entered the combat zone (108) ends on 

January 11, 2024, which is before the due date for her 

2023 return (April 15, 2024).

When the due date for doing any act for tax purposes—filing a return, paying taxes, etc.—falls on 

a Saturday, Sunday, or legal holiday, the due date 

is delayed until the next business day.

Example 2. You generally have 3 years from April 18, 

2023, to file a claim for refund against your timely filed 

2022 tax return. This means that your claim must normally 

be filed by April 20, 2026. However, if you serve in a combat zone from November 3, 2025, through March 23, 

2026, and aren't injured, your deadline for filing that claim 

is extended 349 days (180 plus 169) after you leave the 

combat zone. This extends your deadline to April 5, 2027. 

The 169 additional days are the number of days in the 

3-year period for filing the refund claim that were left when 

you entered the combat zone on November 3 (November 

3, 2025–April 20, 2026).

Qualified hospitalization. The hospitalization must be 

the result of an injury received while serving in a combat 

TIP

zone or a contingency operation. Qualified hospitalization 

means:

• Any hospitalization outside the United States, and

• Up to 5 years of hospitalization in the United States.

Example. Petty Officer Leonard Brown's ship entered 

the Persian Gulf on January 5, 2022. On February 15, 

2022, Petty Officer Brown, a resident of Maryland, was injured and was flown to a U.S. hospital. He remained in the 

hospital through April 21, 2023. The deadlines for filing 

Petty Officer Brown's 2021, 2022, and 2023 returns are 

figured as follows.

The 2021 tax return. The deadline is February 27, 

2024. Petty Officer Brown has 312 days (180 plus 132) 

after his last day in the hospital (April 21, 2023) to file 

his 2021 return. The 132 additional days are the number of days in the 31/2-month filing period that were left 

when he entered the combat zone (January 5–May 17, 

2021).

The 2022 tax return. The deadline is February 3, 

2024. Petty Officer Brown has 288 days (180 plus 

108 ) after April 21, 2022, to file his 2022 tax return. 

The additional days are the number of days in the 

2022 filing period that were left when he entered the 

combat zone (January 1–April 18, 2022).

The 2023 tax return. The deadline isn't extended because the 180-day extension period after April 21, 

2023, plus the number of days left in the filing period 

when he entered the combat zone (108) ends on February 1, 2024, which is before the due date for his 

2023 return (April 15, 2024).

For Which Actions Are My Deadlines 

Extended?

The actions to which this deadline extension provision applies include:

• Filing any return of income, estate, gift, employment, 

or excise tax;

• Paying any income, estate, gift, employment, or excise 

tax;

• Filing a petition with the Tax Court for redetermination 

of a deficiency, or for review of a Tax Court decision;

• Filing a claim for credit or refund of any tax;

• Bringing suit for any claim for credit or refund;

• Making a qualified retirement contribution to an IRA;

• Allowing a credit or refund of any tax by the IRS;

• Assessment of any tax by the IRS;

• Giving or making any notice or demand by the IRS for 

the payment of any tax, or for any liability for any tax;

• Collection by the IRS of any tax due (Note. As a result 

of section 309 of Public Law 114-113, item 2 under 

How Much Extra Time Do These Extensions Give Me, 

earlier, discussing continuous qualified hospitalization 

doesn't apply when figuring the period for the IRS to 

30 Publication 3 (2023)
take collection actions for taxes, even those assessed 

before the law was enacted); and

• Bringing suit by the United States for any tax due.

If the IRS takes any actions covered by these provisions or sends you a notice of examination before learning 

that you are entitled to an extension of the deadline, contact your legal assistance office. No penalties or interest 

will be imposed for failure to file a return or pay taxes during the extension period.

Other actions to which the deadline extension provision 

applies are listed in Revenue Procedure 2018-58, available at IRS.gov/irb/2018-50_IRB#RP-2018-58.

Even though the deadline is extended, you may 

want to file a return earlier to receive any refund 

due. See Filing Returns, earlier.

Can I Get an Extension To Pay My Tax 

if I Am Not in a Combat Zone or a 

Contingency Operation?

If you are a member of the Armed Forces or a commissioned officer of the Public Health Service or the National 

Oceanic and Atmospheric Administration, you may qualify 

for an extension to pay (that is, defer or delay payment of) 

income tax that becomes due before or during your military service. To qualify, you must:

• Be performing military service, and

• Notify the IRS that your ability to pay the income tax 

has been materially affected by your military service 

(defined later).

You will then be allowed up to 180 days after termination or release from military service to pay the tax. If you 

pay the tax in full by the end of the extension period, you 

won't be charged interest or penalties for that period.

This exception doesn't apply to the employee's share of 

social security and Medicare taxes.

If a deferment is granted, the statutory collection period 

is suspended during your military service, plus an additional 270 days after the day following military service.

Military service. The term “military service” means the 

period beginning on the date on which you enter military 

service and ending on the date on which you are released 

from military service or die while in military service. If you 

are a member of the National Guard, your military service 

will include service meeting all three of the following criteria.

• Under a call to active service authorized by the President or the Secretary of Defense.

• For a period of more than 30 consecutive days under 

section 502(f) of title 32, United States Code.

• For purposes of responding to a national emergency 

declared by the President and supported by federal 

funds.

TIP

How do I request an extension of time to pay my tax? 

If you have a current payment agreement (such as an installment agreement), you must make a written request for 

an extension of time to pay the tax to the IRS office where 

you have the agreement.

If you don't have a current payment agreement, you 

must wait until you receive a notice asking for payment before you request an extension of time to pay the tax. Once 

you have received a notice, you must make a written request for an extension of time to pay the tax to the IRS office that issued the notice.

In either case, your request must include:

• Your name,

• Social security number,

• Monthly income and source of income before military 

service,

• Description and amount of expenses incurred because of military service if current monthly income is 

greater than monthly income before military service,

• Current monthly income,

• Military rank,

• Date you entered military service, and

• Date you are eligible for discharge.

If possible, enclosing a copy of your orders would be helpful.

How will I know if my request for an extension of time 

to pay the tax has been granted? The IRS will review 

your request and advise you in writing of its decision. 

Should you need further assistance, go to IRS.gov/UAC/

Tax-Law-Questions for a wide selection of resources.

Maximum Rate of Interest 

When There Is Hardship

If the deferment is denied, no more than 6% interest (unless the applicable interest rate is below 6%) per year will 

be charged while you are in active military service. The reduced rate applies regardless of whether the military service materially affects your ability to pay. To substantiate 

the claim for reduced interest rate, you must provide the 

IRS a copy of your orders or reporting instructions detailing the call to military service. You must do so no later 

than 180 days after the date of your termination or release 

from military service.

Tax Returns of Aliens

For tax purposes, an alien is an individual who isn't a U.S. 

citizen. An alien is in one of the three categories discussed below: resident, nonresident, or dual-status. 

Placement in the correct category is crucial in determining 

what income to report and what forms to file.

Publication 3 (2023) 31
If you are an alien and in the Armed Forces. Most 

members of the Armed Forces are U.S. citizens or resident aliens. Under peacetime enlistment rules, you generally can't enlist in the Armed Forces unless you are a citizen or have been legally admitted to the United States for 

permanent residence. If you are an alien enlistee in the 

Armed Forces, you are probably a resident alien. If, under 

an income tax treaty, you are considered a resident of a 

foreign country, see your base legal officer. Other aliens 

who are in the United States only because of military assignments and who have a home outside the United 

States are nonresident aliens. The U.S. territories have 

separate taxing rules. Residents of the U.S. territories 

should contact the applicable territory taxing authority with 

their questions.

If you have questions about your alien status or the 

alien status of your dependents or spouse, you should 

read the information in the following paragraphs and see 

Pub. 519.

Resident Aliens

What are the tax consequences of being a resident 

alien? Generally, resident aliens are taxed on their worldwide income and file the same tax forms as U.S. citizens.

Am I a resident alien? You are considered a resident 

alien of the United States for tax purposes if you meet either the “green card test” or the “substantial presence test” 

for the calendar year (January 1–December 31).

First-year choice. If you do not meet either the green 

card test or the substantial presence test for the calendar 

year 2023, you may be able to choose to be treated as a 

U.S. resident for part of 2023 if you:

• Did not meet either the green card test or the substantial presence test in 2022,

• Did not choose to be treated as a resident for part of 

2022, and

• Meet the substantial presence test for 2024.

See First-Year Choice in Pub. 519. These tests are explained in Pub. 519.

Treating nonresident alien spouse as resident alien. 

A nonresident alien spouse can be treated as a resident 

alien if all the following conditions are met.

• One spouse is a U.S. citizen or resident alien at the 

end of the tax year.

• That spouse is married to the nonresident alien at the 

end of the tax year.

• You both choose to treat the nonresident alien spouse 

as a resident alien.

Making the choice. Both you and your spouse must 

sign a statement and attach it to your joint return for the 

first tax year for which the choice applies. Include in the 

statement:

• A declaration that one spouse was a nonresident alien 

and the other was a U.S. citizen or resident alien on 

the last day of the year;

• A declaration that both spouses choose to be treated 

as U.S. residents for the entire tax year; and

• The name, address, and taxpayer identification number (SSN or ITIN) of each spouse. If the nonresident 

alien spouse isn't eligible to get an SSN, he or she 

should file Form W-7, Application for IRS Individual 

Taxpayer Identification Number. For more details regarding this statement and on making this election, 

see Nonresident Spouse Treated as a Resident in 

chapter 1 of Pub. 519.

Once you make this choice, the nonresident alien 

spouse's worldwide income is subject to U.S. tax. 

If the nonresident alien spouse has substantial 

foreign income, there may be no advantage to making this 

choice. Also, if you make this election, you may forfeit the 

right to claim benefits otherwise available under a U.S. tax 

treaty.

Ending the choice. Once you make this choice, it applies to all later years unless one of the following situations 

occurs.

• You or your spouse revokes the choice.

• You or your spouse dies.

• You and your spouse become legally separated under 

a decree of divorce or separate maintenance.

• The IRS ends the choice because you or your spouse 

kept inadequate records.

For specific details on these situations, see Pub. 519.

If the choice is ended for any of these reasons, neither 

spouse can make the choice for any later year.

Choice not made. If you and your nonresident alien 

spouse don't make this choice, the following restrictions 

apply.

• You can't file a joint return. You can file as married filing separately, or head of household if you qualify.

• The nonresident alien spouse generally doesn't have 

to file a federal income tax return if he or she had no 

income from sources in the United States. If the 

spouse has to file a return, see Nonresident Aliens below. The nonresident alien spouse isn't eligible for the 

EIC, the credit for the elderly or disabled, or any education credit if he or she has to file a return.

Treating a dual-status alien spouse as a resident 

alien. A similar choice is available if you are married at 

the end of the tax year and all of the following conditions 

are met.

• One spouse is a U.S. citizen or resident alien at the 

end of the tax year.

• The other spouse was a nonresident alien at the beginning of the tax year and is a resident alien at the 

TIP

32 Publication 3 (2023)
end of the tax year (is a dual-status alien for the tax 

year).

• You both choose to treat the other (dual-status) 

spouse as a resident alien.

If this choice is made, the dual-status alien spouse will 

be treated as a resident alien for the entire year. This 

choice applies only to the election year. See Nonresident 

Spouse Treated as a Resident in Pub. 519.

Choice not made. See What are the tax consequences of being a dual-status alien? below, and the Instructions for Form 1040-NR for more information.

Nonresident Aliens

Am I a nonresident alien? You are a nonresident alien if 

you are an alien who doesn't meet the requirements discussed earlier for being classified as a resident alien.

What are the tax consequences of being a nonresident alien? If you are required to file a federal tax return, 

you must file Form 1040-NR, U.S. Nonresident Alien Income Tax Return. See the Instructions for Form 1040-NR 

for information on who must file and filing status.

If you are a nonresident alien, you must generally pay 

tax on income from conducting a trade or business in the 

United States or other income from sources in the United 

States. Your income from conducting a trade or business 

in the United States is taxed at graduated U.S. tax rates. 

Other income from U.S. sources is taxed at a flat 30% (or 

lower treaty) rate. For example, dividends from a U.S. corporation paid to a nonresident alien are generally subject 

to a 30% (or lower treaty) rate.

Dual-Status Aliens

Am I a dual-status alien? You are a dual-status alien if 

you are both a nonresident and resident alien during the 

same tax year. This usually occurs in the year you arrive in 

or depart from the United States.

What are the tax consequences of being a dual-status alien? If you are a dual-status alien, you are taxed on 

income from all sources for the part of the year you are a 

resident alien. Generally, for the part of the year you are a 

nonresident alien, you are taxed only on income from 

sources in the United States. See the Instructions for Form 

1040-NR for more information.

Signing Returns

Generally, you must sign your return. If you e-file your tax 

return, you must sign the return electronically using a personal identification number (PIN). If you are filing online 

using software, you must use a Self-Select PIN. If you are 

filing electronically using a tax practitioner, you can use a 

Self-Select PIN or a Practitioner PIN. See Electronic Return Signatures in your tax return instructions.

If you are overseas or incapacitated, you can grant a 

power of attorney to an agent to file and sign your return.

If you are acting on behalf of your spouse, see Do both 

my spouse and I have to sign our joint return, later.

Form 2848, Power of Attorney and Declaration of 

Representative. A power of attorney can be granted by 

filing Form 2848. These forms are available at IRS.gov/

Form2848 or at your nearest legal assistance office. While 

other power of attorney forms can be used, they must contain the information required by Form 2848.

In Part I of the form, you must indicate that you are 

granting the power to sign the return, the tax form number, 

and the tax year(s) for which the form is being filed. Attach 

the power of attorney to the tax return. Follow the Instructions for Form 2848 for properly completing the form.

Do both my spouse and I have to sign our joint return? Generally, joint returns must be signed by both 

spouses. However, when a spouse is overseas, in a combat zone, in a missing status, incapacitated, or deceased, 

one spouse may sign for the other when the conditions 

described below are met. Otherwise, a power of attorney 

may be needed.

Spouse overseas. If one spouse is overseas on military duty, there are two options when filing a joint return.

• One spouse can prepare the return, sign it, and send it 

to the other spouse to sign early enough so that it can 

be filed by the due date.

• The spouse who expects to be overseas on the due 

date of the return can file Form 2848 specifically designating that the spouse who remains in the United 

States can sign the return for the absent spouse.

Spouse in combat zone. If your spouse is unable to 

sign the return because he or she is serving in a combat 

zone or is performing qualifying service outside of a combat zone, and you don't have a power of attorney or other 

statement, you can sign for your spouse. Attach a signed 

statement to your return that explains that your spouse is 

serving in a combat zone.

Spouse in missing status. The spouse of a member 

of the Armed Forces who is in a missing status in a combat zone can still file a joint return. A joint return can be 

filed for any year beginning not more than 2 years after the 

end of the combat zone activities. A joint return filed under 

these conditions is valid even if it is later determined that 

the missing spouse died before the year covered by the 

return.

Spouse incapacitated. If your spouse can't sign because of disease or injury and he or she tells you to sign, 

you can sign your spouse's name in the proper space on 

the return, followed by the words “by [your name], Husband (or Wife).” Be sure to sign your name in the space 

provided for your signature. Attach a dated statement, 

signed by you, to your return. The statement should include the form number of the return you are filing, the tax 

year, the reason your spouse couldn't sign, and that your 

spouse has agreed to your signing for him or her.

Publication 3 (2023) 33
Spouse died during the year. If one spouse died 

during the year and the surviving spouse didn't remarry 

before the end of the year, the surviving spouse can file a 

joint return for that year, writing in the signature area “Filing as surviving spouse.” If an executor or administrator 

has been appointed, both he or she and the surviving 

spouse must sign the return filed for the decedent.

How To Get Tax Help

If you have questions about a tax issue; need help preparing your tax return; or want to download free publications, 

forms, or instructions, go to IRS.gov to find resources that 

can help you right away.

Preparing and filing your tax return. After receiving all 

your wage and earnings statements (Forms W-2, W-2G, 

1099-R, 1099-MISC, 1099-NEC, etc.); unemployment 

compensation statements (by mail or in a digital format) or 

other government payment statements (Form 1099-G); 

and interest, dividend, and retirement statements from 

banks and investment firms (Forms 1099), you have several options to choose from to prepare and file your tax return. You can prepare the tax return yourself, see if you 

qualify for free tax preparation, or hire a tax professional to 

prepare your return.

Free options for tax preparation. Your options for preparing and filing your return online or in your local community, if you qualify, include the following.

• Free File. This program lets you prepare and file your 

federal individual income tax return for free using software or Free File Fillable Forms. However, state tax 

preparation may not be available through Free File. Go 

to IRS.gov/FreeFile to see if you qualify for free online 

federal tax preparation, e-filing, and direct deposit or 

payment options.

• VITA. The Volunteer Income Tax Assistance (VITA) 

program offers free tax help to people with 

low-to-moderate incomes, persons with disabilities, 

and limited-English-speaking taxpayers who need 

help preparing their own tax returns. Go to IRS.gov/

VITA, download the free IRS2Go app, or call 

800-906-9887 for information on free tax return preparation.

• TCE. The Tax Counseling for the Elderly (TCE) program offers free tax help for all taxpayers, particularly 

those who are 60 years of age and older. TCE volunteers specialize in answering questions about pensions and retirement-related issues unique to seniors. 

Go to IRS.gov/TCE or download the free IRS2Go app 

for information on free tax return preparation.

• MilTax. Members of the U.S. Armed Forces and qualified veterans may use MilTax, a free tax service offered by the Department of Defense through Military 

OneSource. For more information, go to 

MilitaryOneSource (MilitaryOneSource.mil/MilTax).

Also, the IRS offers Free Fillable Forms, which can 

be completed online and then e-filed regardless of income.

Using online tools to help prepare your return. Go to 

IRS.gov/Tools for the following.

• The Earned Income Tax Credit Assistant (IRS.gov/

EITCAssistant) determines if you’re eligible for the 

earned income credit (EIC).

• The Online EIN Application (IRS.gov/EIN) helps you 

get an employer identification number (EIN) at no 

cost.

• The Tax Withholding Estimator (IRS.gov/W4App) 

makes it easier for you to estimate the federal income 

tax you want your employer to withhold from your paycheck. This is tax withholding. See how your withholding affects your refund, take-home pay, or tax due.

• The First-Time Homebuyer Credit Account Look-up 

(IRS.gov/HomeBuyer) tool provides information on 

your repayments and account balance.

• The Sales Tax Deduction Calculator (IRS.gov/

SalesTax) figures the amount you can claim if you 

itemize deductions on Schedule A (Form 1040).

Getting answers to your tax questions. On 

IRS.gov, you can get up-to-date information on 

current events and changes in tax law.

• IRS.gov/Help: A variety of tools to help you get answers to some of the most common tax questions.

• IRS.gov/ITA: The Interactive Tax Assistant, a tool that 

will ask you questions and, based on your input, provide answers on a number of tax topics.

• IRS.gov/Forms: Find forms, instructions, and publications. You will find details on the most recent tax 

changes and interactive links to help you find answers 

to your questions.

• You may also be able to access tax information in your 

e-filing software.

Need someone to prepare your tax return? There are 

various types of tax return preparers, including enrolled 

agents, certified public accountants (CPAs), accountants, 

and many others who don’t have professional credentials. 

If you choose to have someone prepare your tax return, 

choose that preparer wisely. A paid tax preparer is:

• Primarily responsible for the overall substantive accuracy of your return,

• Required to sign the return, and

• Required to include their preparer tax identification 

number (PTIN).

Although the tax preparer always signs the return, 

you're ultimately responsible for providing all the 

information required for the preparer to accurately 

prepare your return and for the accuracy of every item reported on the return. Anyone paid to prepare tax returns 

for others should have a thorough understanding of tax 

CAUTION

!

34 Publication 3 (2023)
matters. For more information on how to choose a tax preparer, go to Tips for Choosing a Tax Preparer on IRS.gov.

Employers can register to use Business Services Online. The Social Security Administration (SSA) offers online service at SSA.gov/employer for fast, free, and secure 

W-2 filing options to CPAs, accountants, enrolled agents, 

and individuals who process Form W-2, Wage and Tax 

Statement, and Form W-2c, Corrected Wage and Tax 

Statement.

IRS social media. Go to IRS.gov/SocialMedia to see the 

various social media tools the IRS uses to share the latest 

information on tax changes, scam alerts, initiatives, products, and services. At the IRS, privacy and security are our 

highest priority. We use these tools to share public information with you. Don’t post your social security number 

(SSN) or other confidential information on social media 

sites. Always protect your identity when using any social 

networking site.

The following IRS YouTube channels provide short, informative videos on various tax-related topics in English, 

Spanish, and ASL.

• Youtube.com/irsvideos.

• Youtube.com/irsvideosmultilingua.

• Youtube.com/irsvideosASL.

Watching IRS videos. The IRS Video portal 

(IRSVideos.gov) contains video and audio presentations 

for individuals, small businesses, and tax professionals.

Online tax information in other languages. You can 

find information on IRS.gov/MyLanguage if English isn’t 

your native language.

Free Over-the-Phone Interpreter (OPI) Service. The 

IRS is committed to serving taxpayers with limited-English 

proficiency (LEP) by offering OPI services. The OPI Service is a federally funded program and is available at Taxpayer Assistance Centers (TACs), most IRS offices, and 

every VITA/TCE tax return site. The OPI Service is accessible in more than 350 languages.

Accessibility Helpline available for taxpayers with 

disabilities. Taxpayers who need information about accessibility services can call 833-690-0598. The Accessibility Helpline can answer questions related to current and 

future accessibility products and services available in alternative media formats (for example, braille, large print, 

audio, etc.). The Accessibility Helpline does not have access to your IRS account. For help with tax law, refunds, or 

account-related issues, go to IRS.gov/LetUsHelp.

Note. Form 9000, Alternative Media Preference, or 

Form 9000(SP) allows you to elect to receive certain types 

of written correspondence in the following formats.

• Standard Print.

• Large Print.

• Braille.

• Audio (MP3).

• Plain Text File (TXT).

• Braille Ready File (BRF).

Disasters. Go to IRS.gov/DisasterRelief to review the 

available disaster tax relief.

Getting tax forms and publications. Go to IRS.gov/

Forms to view, download, or print all the forms, instructions, and publications you may need. Or, you can go to 

IRS.gov/OrderForms to place an order.

Getting tax publications and instructions in eBook 

format. Download and view most tax publications and instructions (including the Instructions for Form 1040) on 

mobile devices as eBooks at IRS.gov/eBooks.

IRS eBooks have been tested using Apple's iBooks for 

iPad. Our eBooks haven’t been tested on other dedicated 

eBook readers, and eBook functionality may not operate 

as intended.

Access your online account (individual taxpayers 

only). Go to IRS.gov/Account to securely access information about your federal tax account.

• View the amount you owe and a breakdown by tax 

year.

• See payment plan details or apply for a new payment 

plan.

• Make a payment or view 5 years of payment history 

and any pending or scheduled payments.

• Access your tax records, including key data from your 

most recent tax return, and transcripts.

• View digital copies of select notices from the IRS.

• Approve or reject authorization requests from tax professionals.

• View your address on file or manage your communication preferences.

Get a transcript of your return. With an online account, 

you can access a variety of information to help you during 

the filing season. You can get a transcript, review your 

most recently filed tax return, and get your adjusted gross 

income. Create or access your online account at IRS.gov/

Account.

Tax Pro Account. This tool lets your tax professional 

submit an authorization request to access your individual 

taxpayer IRS online account. For more information, go to 

IRS.gov/TaxProAccount.

Using direct deposit. The safest and easiest way to receive a tax refund is to e-file and choose direct deposit, 

Publication 3 (2023) 35
which securely and electronically transfers your refund directly into your financial account. Direct deposit also 

avoids the possibility that your check could be lost, stolen, 

destroyed, or returned undeliverable to the IRS. Eight in 

10 taxpayers use direct deposit to receive their refunds. If 

you don’t have a bank account, go to IRS.gov/

DirectDeposit for more information on where to find a bank 

or credit union that can open an account online.

Reporting and resolving your tax-related identity 

theft issues. 

• Tax-related identity theft happens when someone 

steals your personal information to commit tax fraud. 

Your taxes can be affected if your SSN is used to file a 

fraudulent return or to claim a refund or credit.

• The IRS doesn’t initiate contact with taxpayers by 

email, text messages (including shortened links), telephone calls, or social media channels to request or 

verify personal or financial information. This includes 

requests for personal identification numbers (PINs), 

passwords, or similar information for credit cards, 

banks, or other financial accounts.

• Go to IRS.gov/IdentityTheft, the IRS Identity Theft 

Central webpage, for information on identity theft and 

data security protection for taxpayers, tax professionals, and businesses. If your SSN has been lost or 

stolen or you suspect you’re a victim of tax-related 

identity theft, you can learn what steps you should 

take.

• Get an Identity Protection PIN (IP PIN). IP PINs are 

six-digit numbers assigned to taxpayers to help prevent the misuse of their SSNs on fraudulent federal income tax returns. When you have an IP PIN, it prevents someone else from filing a tax return with your 

SSN. To learn more, go to IRS.gov/IPPIN.

Ways to check on the status of your refund. 

• Go to IRS.gov/Refunds.

• Download the official IRS2Go app to your mobile device to check your refund status.

• Call the automated refund hotline at 800-829-1954.

The IRS can’t issue refunds before mid-February 

for returns that claimed the EIC or the additional 

child tax credit (ACTC). This applies to the entire 

refund, not just the portion associated with these credits.

Making a tax payment. Payments of U.S. tax must be 

remitted to the IRS in U.S. dollars. Digital assets are not 

accepted. Go to IRS.gov/Payments for information on how 

to make a payment using any of the following options.

• IRS Direct Pay: Pay your individual tax bill or estimated 

tax payment directly from your checking or savings account at no cost to you.

• Debit Card, Credit Card, or Digital Wallet: Choose an 

approved payment processor to pay online or by 

phone.

CAUTION

!

• Electronic Funds Withdrawal: Schedule a payment 

when filing your federal taxes using tax return preparation software or through a tax professional.

• Electronic Federal Tax Payment System: Best option 

for businesses. Enrollment is required.

• Check or Money Order: Mail your payment to the address listed on the notice or instructions.

• Cash: You may be able to pay your taxes with cash at 

a participating retail store.

• Same-Day Wire: You may be able to do same-day 

wire from your financial institution. Contact your financial institution for availability, cost, and time frames.

Note. The IRS uses the latest encryption technology to 

ensure that the electronic payments you make online, by 

phone, or from a mobile device using the IRS2Go app are 

safe and secure. Paying electronically is quick, easy, and 

faster than mailing in a check or money order.

What if I can’t pay now? Go to IRS.gov/Payments for 

more information about your options.

• Apply for an online payment agreement (IRS.gov/

OPA) to meet your tax obligation in monthly installments if you can’t pay your taxes in full today. Once 

you complete the online process, you will receive immediate notification of whether your agreement has 

been approved.

• Use the Offer in Compromise Pre-Qualifier to see if 

you can settle your tax debt for less than the full 

amount you owe. For more information on the Offer in 

Compromise program, go to IRS.gov/OIC.

Filing an amended return. Go to IRS.gov/Form1040X 

for information and updates.

Checking the status of your amended return. Go to 

IRS.gov/WMAR to track the status of Form 1040-X amended returns.

It can take up to 3 weeks from the date you filed 

your amended return for it to show up in our system, and processing it can take up to 16 weeks.

Understanding an IRS notice or letter you’ve received. Go to IRS.gov/Notices to find additional information about responding to an IRS notice or letter.

Responding to an IRS notice or letter. You can now 

upload responses to all notices and letters using the 

Document Upload Tool. For notices that require additional 

action, taxpayers will be redirected appropriately on 

IRS.gov to take further action. To learn more about the 

tool, go to IRS.gov/Upload.

Note. You can use Schedule LEP (Form 1040), Request for Change in Language Preference, to state a preference to receive notices, letters, or other written communications from the IRS in an alternative language. You may 

not immediately receive written communications in the requested language. The IRS’s commitment to LEP 

CAUTION

!

36 Publication 3 (2023)
taxpayers is part of a multi-year timeline that began providing translations in 2023. You will continue to receive 

communications, including notices and letters, in English 

until they are translated to your preferred language.

Contacting your local TAC. Keep in mind, many questions can be answered on IRS.gov without visiting a TAC. 

Go to IRS.gov/LetUsHelp for the topics people ask about 

most. If you still need help, TACs provide tax help when a 

tax issue can’t be handled online or by phone. All TACs 

now provide service by appointment, so you’ll know in advance that you can get the service you need without long 

wait times. Before you visit, go to IRS.gov/TACLocator to 

find the nearest TAC and to check hours, available services, and appointment options. Or, on the IRS2Go app, 

under the Stay Connected tab, choose the Contact Us option and click on “Local Offices.”

The Taxpayer Advocate Service (TAS) 

Is Here To Help You

What Is TAS?

TAS is an independent organization within the IRS that 

helps taxpayers and protects taxpayer rights. TAS strives 

to ensure that every taxpayer is treated fairly and that you 

know and understand your rights under the Taxpayer Bill 

of Rights.

How Can You Learn About Your Taxpayer 

Rights?

The Taxpayer Bill of Rights describes 10 basic rights that 

all taxpayers have when dealing with the IRS. Go to 

TaxpayerAdvocate.IRS.gov to help you understand what 

these rights mean to you and how they apply. These are 

your rights. Know them. Use them.

What Can TAS Do for You?

TAS can help you resolve problems that you can’t resolve 

with the IRS. And their service is free. If you qualify for 

their assistance, you will be assigned to one advocate 

who will work with you throughout the process and will do 

everything possible to resolve your issue. TAS can help 

you if:

• Your problem is causing financial difficulty for you, 

your family, or your business;

• You face (or your business is facing) an immediate 

threat of adverse action; or

• You’ve tried repeatedly to contact the IRS but no one 

has responded, or the IRS hasn’t responded by the 

date promised.

How Can You Reach TAS?

TAS has offices in every state, the District of Columbia, 

and Puerto Rico. To find your advocate’s number:

• Go to TaxpayerAdvocate.IRS.gov/Contact-Us;

• Download Pub. 1546, The Taxpayer Advocate Service 

Is Your Voice at the IRS, available at IRS.gov/pub/irspdf/p1546.pdf;

• Call the IRS toll free at 800-TAX-FORM 

(800-829-3676) to order a copy of Pub. 1546;

• Check your local directory; or

• Call TAS toll free at 877-777-4778.

How Else Does TAS Help Taxpayers?

TAS works to resolve large-scale problems that affect 

many taxpayers. If you know of one of these broad issues, 

report it to TAS at IRS.gov/SAMS. Be sure to not include 

any personal taxpayer information.

Low Income Taxpayer Clinics (LITCs)

LITCs are independent from the IRS and TAS. LITCs represent individuals whose income is below a certain level 

and who need to resolve tax problems with the IRS. LITCs 

can represent taxpayers in audits, appeals, and tax collection disputes before the IRS and in court. In addition, 

LITCs can provide information about taxpayer rights and 

responsibilities in different languages for individuals who 

speak English as a second language. Services are offered 

for free or a small fee. For more information or to find an 

LITC near you, go to the LITC page at 

TaxpayerAdvocate.IRS.gov/LITC or see IRS Pub. 4134, 

Low Income Taxpayer Clinic List, at IRS.gov/pub/irs-pdf/

p4134.pdf.

Publication 3 (2023) 37
To help us develop a more useful index, please let us know if you have ideas for index entries.

Index See “Comments and Suggestions” in the “Introduction” for the ways you can reach us.

A

Additional child tax credit 20

Adoption:

Child tax credit 19

Afghanistan 15

Aliens 31

Arabian Peninsula 15

Assistance (See Tax help)

C

Child tax credit:

Limits:

Modified adjusted gross 

income 19

Qualifying child 18

Child tax credit and credit for other 

dependents 18

Child, qualifying 21

Claims for tax forgiveness 26

Codes, W-2 10

Combat zone:

Election to include pay for earned 

income credit 23

Exclusion 14

Extension of deadlines 29

Related forgiveness 25

Community property 9, 26

Contingency operation 29

Credits:

Additional child tax 20

Child tax and credit for other 

dependents 18

Earned income 20

Excess social security tax 

withheld 24

D

Decedents 25

Disability Severance Payments to 

Veterans 8

Dual-status aliens 33

E

Earned income credit 20

Social security card 22

Social security number 22

Excess social security tax withheld 

credit 24

Expenses:

Moving 12

Extensions:

Generally 28

Extensions of:

Deadlines 28

Time to file 28, 29

Time to pay 28, 29, 31

Extensions while in:

Combat zone 29

Contingency operation 29

F

Family 19

(See also Child tax credit)

Filing returns 27

First-time homebuyer credit 

repayment 25

Foreclosures:

Mortgage settlement payouts 17

Foreign income 9

Foreign moves 13

Forms:

1040 13, 27

1040-NR 33

2848 33

3903 12

4868 29

W-2 10, 23

Foster care:

Child tax credit 18

G

Gross income 5

H

Home:

Sale of 16

Homebuyer credit 25

Hospitalization 16, 30

I

Income:

Foreign source 9

Gross 5

Individual retirement 

arrangements 11

Installment agreement:

Payment deferment 31

Interest rate (maximum) 31

Iraq 15

J

Joint returns 26, 29, 33

K

Kosovo 15

M

Military action related 

forgiveness 25

Missing status 25, 29, 33

Modified adjusted gross income 

(MAGI):

Child tax credit limits 19

Moving expenses 12

N

Nonresident aliens 33

P

Personal representative 25

Power of attorney 33

Publications (See Tax help)

Q

Qualifying child 21

R

Reimbursements:

Moving and storage 12

Reservists:

Travel 11

Resident aliens 32

Returns:

Filing 27

Signing 33

S

Sale of home 16

Same-sex marriage 27

SCRA violation payouts 17

Separate returns 29

Servicemembers Civil Relief Act 31

Serving in a combat zone 16

Sinai Peninsula 15

Social security numbers (SSNs):

Earned income credit 22

Spouse:

Deadline extension 29

Died 34

Incapacitated 33

Missing 33

Nonresident alien 32

Overseas 33

State bonus payments 8

T

Tax forgiven 25

Tax help 33, 34

Terrorist related forgiveness 25

W

When to file 27

Where to file 27

Y

Yugoslavia 15

38 Publication 3 (2023)