Department of the Treasury

Internal Revenue Service

Publication 570

Cat. No. 15118B

Tax Guide

for Individuals

With Income

From U.S.

Territories

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) 

Future Developments

For the latest information about developments related to 

Pub. 570, such as legislation enacted after it was 

published, go to IRS.gov/Pub570.

What's New

U.S. Armed Forces in Puerto Rico and American Samoa. Active duty members of the U.S. Armed Forces 

whose state of legal residence is American Samoa or Puerto Rico are U.S. Government employees. They are required to file both a U.S. income tax return and a territory 

tax return, as applicable. See Active duty member of the 

U.S. Armed Forces under Special Rules for American Samoa and Special Rules for Puerto Rico, later.

U.S. Government employees in American Samoa. 

The reporting requirements for U.S. Government employees who are not bona fide residents of American Samoa 

have been clarified. See U.S. Government employees under Special Rules for American Samoa, later.

Due date of return. File your tax return 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.

Standard deduction amount. For 2023, the standard 

deduction amount has increased for all filers. See Standard deduction amount, later.

Maximum income subject to social security tax. For 

2023, the maximum amount of self-employment income 

subject to social security tax is $160,200. The amount will 

increase to $168,600 for 2024.

Optional methods to figure net earnings. For 2023, 

the maximum income for using the optional methods is 

$6,560. This amount will increase to $6,920 for 2024.

Reminders

Additional child tax credit (ACTC) and bona fide residents of Puerto Rico. Bona fide residents of Puerto 

Rico are no longer required to have three or more qualifying children to be eligible to claim the ACTC. Bona fide 

residents of Puerto Rico may be eligible to claim the 

ACTC if they have one or more qualifying children. See 

Additional child tax credit (ACTC), later.

For more information about the child tax credit 

(CTC). For more information, see the Instructions for 

Form 1040-SS. If you are required to file Form 1040, see 

the Instructions for Form 1040 for more information about 

the CTC.

Filing status name changed to qualifying surviving 

spouse. The filing status qualifying widow(er) is now 

called qualifying surviving spouse. The rules for the filing 

status have not changed. The same rules that applied for 

qualifying widow(er) apply to qualifying surviving spouse.

Mar 6, 2024
Digital assets. You will need to answer the question on 

page 1 of Form 1040-SS about whether you engaged in a 

transaction involving digital assets in 2023. Don't leave 

this field blank. The question must be answered by all taxpayers, not just taxpayers who engaged in a transaction 

involving digital assets.

The COVID-19 related credit for qualified sick and 

family leave wages is limited to leave taken after 

March 31, 2020, and before October 1, 2021. Generally, the credit for qualified sick and family leave wages, as 

enacted under the Families First Coronavirus Response 

Act (FFCRA) and amended and extended by the 

COVID-related Tax Relief Act of 2020, for leave taken after 

March 31, 2020, and before April 1, 2021, and the credit 

for qualified sick and family leave wages under sections 

3131, 3132, and 3133 of the Internal Revenue Code, as 

enacted under the American Rescue Plan Act of 2021 (the 

ARP), for leave taken after March 31, 2021, and before 

October 1, 2021, have expired. However, employers that 

pay qualified sick and family leave wages in 2023 for leave 

taken after March 31, 2020, and before October 1, 2021, 

are eligible to claim a credit for qualified sick and family 

leave wages in 2023. For more information about the 

credit for qualified sick and family leave wages, go to 

IRS.gov/PLC.

Disaster tax relief. To find information on the most recent tax relief provisions for taxpayers affected by disaster 

situations, see IRS.gov/Disaster. See Pub. 547 for discussions on the special rules that apply to federally declared 

disaster areas.

Automatic 60-day extension. Certain taxpayers affected by federally declared disasters may be eligible for an 

automatic 60-day extension for filing returns, paying taxes, 

and performing other tasks required by the IRS. For more 

information, see Pub. 547.

Qualified opportunity zones (QOZs). The Tax Cuts and 

Jobs Act (TCJA) amended the Internal Revenue Code to 

encourage investments in designated economically distressed communities by providing income tax benefits to 

taxpayers who invest new capital in businesses located 

within QOZs. There are QOZs located in the 50 states, the 

District of Columbia, American Samoa, the CNMI, Guam, 

Puerto Rico, and the USVI.

Bona fide residents of the CNMI, Guam, and the USVI 

will generally report qualifying investments on the income 

tax return they file with their territory tax agency, while residents of American Samoa and Puerto Rico will report 

qualifying investments on their U.S. income tax return. For 

additional information, see the QOZ FAQs at IRS.gov/

Newsroom/Opportunity-Zones-Frequently-AskedQuestions. Taxpayers should also consult with their territory tax agency for additional information.

Taxpayer Advocate Service (TAS). TAS is an independent organization within the IRS that helps taxpayers and 

protects taxpayer rights. The phone numbers for the local 

advocate for the territories are:

• American Samoa, the CNMI, and Guam: 

808-466-6375 (in Hawaii);

• Puerto Rico and the USVI: 787-522-8600 for Spanish, 

and 787-522-8601 for English (in Puerto Rico).

For more information, see chapter 5.

Self-employment tax. Bona fide residents of a U.S. territory who have self-employment income must generally 

pay self-employment tax to the United States. Self-employment tax includes both social security and Medicare. 

Bona fide residents may be subject to U.S. self-employment tax even if they have no income tax filing obligation 

with the United States. See Self-Employment Tax in chapter 4 for more information.

Additional Medicare Tax. You may be required to pay 

Additional Medicare Tax. Also, you may need to report Additional Medicare Tax withheld by your employer. For more 

information, see Additional Medicare Tax under Special 

Rules for Completing Your U.S. Tax Return in chapter 4.

Net Investment Income Tax (NIIT). The NIIT imposes a 

3.8% tax on the lesser of an individual's net investment income or the excess of the individual's modified adjusted 

gross income over a specified threshold amount. Bona 

fide residents of Puerto Rico and American Samoa who 

have a federal income tax return filing obligation may be liable for the NIIT if the taxpayer's modified adjusted gross 

income from non-territory sources exceeds a specified 

threshold amount. Also, bona fide residents must take into 

account any additional tax liability associated with the NIIT 

when calculating their estimated tax payments.

The NIIT does not apply to any individual who is a nonresident alien with respect to the United States. For more 

information, see Net Investment Income Tax under Bona 

Fide Resident of American Samoa and Bona Fide Resident of Puerto Rico in chapter 3.

Because bona fide residents of the CNMI, Guam, and 

the U.S. Virgin Islands generally do not have a federal income tax return filing obligation, the NIIT generally does 

not directly apply to them. These residents should contact 

their local territorial tax department for guidance on the 

possible mirrored application of the NIIT in these jurisdictions.

Individual taxpayer identification numbers (ITINs) for 

aliens. If you are a nonresident or resident alien and you 

do not have and are not eligible to get a social security 

number (SSN), you must apply for an ITIN. For details on 

how to do so, see Form W-7 and the Instructions for Form 

W-7. Allow 7 weeks for the IRS to notify you of your ITIN 

application status (9 to 11 weeks if submitted during peak 

processing periods (January 15 through April 30) or if you 

are filing from overseas). If you already have an ITIN, enter 

it wherever your SSN is requested on your tax return.

For more information, go to IRS.gov/ITIN.

An ITIN is for tax use only. It does not entitle you 

to social security benefits or change your employment or immigration status under U.S. law.

Expired ITIN. If your ITIN wasn't included on at least one 

federal tax return for the last 3 consecutive tax years, it will 

expire on December 31 of the third consecutive year and 

must be renewed before being used again on a federal tax 

return. Affected taxpayers who expect to file a tax return in 

2024 must submit a renewal application. For more information on how to renew an ITIN, go to IRS.gov/ITIN.

CAUTION

!

2 Publication 570 (2023)
Electronic filing. You can e-file Form 1040-SS. For general information about electronic filing, visit IRS.gov/Efile.

Earned income credit (EIC). Generally, if you are a 

bona fide resident of a U.S. territory, you cannot claim the 

EIC on your U.S. tax return. However, certain U.S. territories may allow bona fide residents to claim the EIC on 

their territory tax return.

To claim the EIC on your U.S. tax return, your home 

(and your spouse's if filing a joint return) must have been 

in the United States for more than half the year. If you have 

a child, the child must have lived with you in the United 

States for more than half the year. For this purpose, the 

United States includes only the 50 states and the District 

of Columbia. Special rules apply to military personnel stationed outside the United States. For more information on 

this credit, see Pub. 596.

If you claim the earned income tax credit (EITC) 

on your tax return, the IRS must hold your refund 

until at least mid-February—including the portion 

not associated with the EITC. To track your refund, go to 

IRS.gov/Refunds, or download the IRS2Go mobile app.

Form 8938, Statement of Specified Foreign Financial 

Assets. If you have specified foreign financial assets in 

foreign jurisdictions valued above certain threshold dollar 

amounts, you may have to file Form 8938 when you file 

your U.S. income tax return with the IRS.

Even if you are required to file Form 8938, you may not 

have to report certain specified foreign financial assets on 

Form 8938. See Bona Fide Resident of a U.S. Possession 

in the Instructions for Form 8938 for more details.

Because bona fide residents of the CNMI, Guam, 

and the USVI generally do not have a U.S. federal 

income tax return filing obligation, they generally 

are not required to file Form 8938 with the IRS. These residents should contact their local territorial tax department 

for guidance on the possible mirrored application of this 

reporting requirement with these jurisdictions.

Change of address. If you change your mailing address, 

use Form 8822 to notify the IRS and U.S. territory tax administration, if appropriate. Mail Form 8822 to the IRS 

Service Center or U.S. territory tax administration address 

designated for your old address (see page 2 of Form 

8822).

If you change your address before filing your tax return, 

write the new address in the appropriate boxes of your tax 

return when you file.

Reporting a change of bona fide residence. If you became or cease to be a bona fide resident of a U.S. territory, you may need to file Form 8898, Statement for Individuals Who Begin or End Bona Fide Residence in a U.S. 

Possession. For additional information, see Reporting a 

Change in Bona Fide Residence in chapter 1.

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 

TIP TIP

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

child.

Introduction

This publication discusses how to treat income received 

from the following U.S. territories on your tax return(s). 

• American Samoa.

• The Commonwealth of Puerto Rico (Puerto Rico).

• The Commonwealth of the Northern Mariana Islands 

(CNMI).

• Guam.

• The U.S. Virgin Islands (USVI).

Chapter 1 discusses the requirements for being considered a bona fide resident of the listed territories.

Chapter 2 gives the rules for determining if your income 

is from sources within, or effectively connected with a 

trade or business in, those territories.

Next, chapter 3 looks at the rules for filing tax returns 

when you receive income from any of these territories. You 

may have to file a U.S. tax return only, a territory tax return 

only, or both returns. Generally, this depends on whether 

you are a bona fide resident of the territory. In some cases, you may have to file a U.S. return, but will be able to 

exclude income earned in a territory from U.S. tax.

If you are not a bona fide resident of one of the territories listed earlier, or are otherwise required to file a U.S. income tax return, the information in chapter 4 will tell you 

how to file your U.S. tax return. This information also applies if you have income from U.S. insular areas other than 

the five territories listed earlier because that income will 

not qualify for any of the exclusions or other benefits discussed in chapter 3. These other U.S. insular areas include:

• Baker Island,

• Howland Island,

• Jarvis Island,

• Johnston Island,

• Kingman Reef,

• Midway Islands,

• Palmyra Atoll, and

• Wake Island.

Information for individuals living or working in U.S. 

territories is available at IRS.gov/Individuals/

International-Taxpayers/Individuals-Living-orWorking-in-US-Possessions.

If you need information on U.S. taxation, write to:

Internal Revenue Service

International Section   

Philadelphia, PA 19255-0725

Publication 570 (2023) 3
If you need additional information on your tax obligations in a U.S. territory, write to the tax department of that 

territory. Their addresses are provided in chapter 3 under 

the individual headings for each territory.

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.

To obtain tax forms required for your territory tax return, 

contact the tax office in your territory. See chapter 3 for 

more information.

Useful Items

You may want to see:

Publication

  3 Armed Forces' Tax Guide

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

Abroad

14 Foreign Tax Credit for Individuals

19 U.S. Tax Guide for Aliens

Form (and Instructions)

1040-SS U.S. Self-Employment Tax Return 

(Including the Additional Child Tax Credit for 

Bona Fide Residents of Puerto Rico)

1116 Foreign Tax Credit

4563 Exclusion of Income for Bona Fide Residents 

of American Samoa

4868 Application for Automatic Extension of Time To 

File U.S. Individual Income Tax Return

   3

  54

 514

 519

 1040-SS

 1116

 4563

 4868

Allocation of Individual Income Tax to Guam or 

the Commonwealth of the Northern Mariana 

Islands (CNMI)

Statement of Specified Foreign Financial 

Assets

Allocation of Individual Income Tax to the U.S. 

Virgin Islands

Statement for Individuals Who Begin or End 

Bona Fide Residence in a U.S. Possession

Additional Medicare Tax

Net Investment Income Tax—Individuals, 

Estates, and Trusts

1.

Bona Fide Residence

In order to qualify for certain tax benefits (see chapter 3), 

you must be a bona fide resident of American Samoa, the 

CNMI, Guam, Puerto Rico, or the USVI for the tax year.

Generally, you are a bona fide resident of one of these territories (the relevant territory) if, during the tax year, you:

• Meet the presence test,

• Do not have a tax home outside the relevant territory, 

and

• Do not have a closer connection to the United States 

or to a foreign country than to the relevant territory.

Special rule for members of the U.S. Armed Forces. If 

you are a member of the U.S. Armed Forces who qualified 

as a bona fide resident of the relevant territory in an earlier 

tax year, your absence from that territory during the current tax year in compliance with military orders will not affect your status as a bona fide resident. Likewise, being in 

a territory solely in compliance with military orders will not 

qualify you for bona fide residency. Also see the special 

income source rule for members of the U.S. Armed Forces 

in chapter 2, under Compensation for Labor or Personal 

Services.

Special rule for civilian spouse of active duty member of the U.S. Armed Forces. If you are the civilian 

spouse of an active duty service member, under the Military Spouses Residency Relief Act (MSRRA) you can 

choose to keep your prior residence or domicile for tax 

purposes (tax residence) when accompanying the service 

member spouse who is relocating under military orders to 

a new military duty station in one of the 50 states, the District of Columbia, or a U.S. territory. Before relocating, you 

and your spouse must have the same tax residence.

If you are a civilian spouse and choose to keep your 

prior tax residence after such relocation, the source of 

 5074

 8938

 8689

 8898

 8959

 8960

4 Chapter 1 Bona Fide Residence Publication 570 (2023)
income for services performed (for example, wages, salaries, tips, or self-employment) by you is considered to be 

(the jurisdiction of) the prior tax residence. As a result, the 

amount of income tax withholding (from Form(s) W-2) that 

you are able to claim on your federal return, as well as the 

need to file a state or U.S. territory return, may be affected.

The spouse of the service member may elect to 

use the same residence for tax purposes as the 

service member regardless of the date on which 

the marriage of the spouse and service member occurred.

For more information, see the following.

• Notice 2010-30, available at IRS.gov/irb/

2010-18_IRB#NOT-2010-30.

• Notice 2011-16, available at IRS.gov/irb/

2011-17_IRB#NOT-2011-16.

• Notice 2012-41, available at IRS.gov/irb/

2012-26_IRB#NOT-2012-41.

Also, you can consult with state, local, or U.S. territory 

tax authorities regarding your tax obligations under 

MSRRA.

Presence Test

If you are a U.S. citizen or resident alien, you will satisfy 

the presence test for the tax year if you meet one of the 

following conditions.

1. You were present in the relevant territory for at least 

183 days during the tax year.

2. You were present in the relevant territory for at least 

549 days during the 3-year period that includes the 

current tax year and the 2 immediately preceding tax 

years. During each year of the 3-year period, you 

must be present in the relevant territory for at least 60 

days.

3. You were present in the United States for no more 

than 90 days during the tax year.

4. You had earned income in the United States of no 

more than a total of $3,000 and were present for more 

days in the relevant territory than in the United States 

during the tax year. Earned income is pay for personal 

services performed, such as wages, salaries, or professional fees.

5. You had no significant connection to the United States 

during the tax year.

Special rule for nonresident aliens. Conditions (1) 

through (5) above do not apply to nonresident aliens of the 

United States. Instead, nonresident aliens must meet the 

substantial presence test discussed in chapter 1 of Pub. 

519. In that discussion, substitute the name of the territory 

for “United States” and “U.S.” wherever they appear. Disregard the discussion in that chapter about a Closer Connection to a Foreign Country.

TIP

Days of Presence in the United States 

or Relevant Territory

Generally, you are treated as being present in the United 

States or in the relevant territory on any day that you are 

physically present in that location at any time during the 

day.

Days of presence in a territory. You are considered to 

be present in the relevant territory on any of the following 

days.

1. Any day you are physically present in that territory at 

any time during the day.

2. Any day you are outside of the relevant territory in order to receive, or to accompany any of the following 

family members to receive, qualifying medical treatment (see Qualifying Medical Treatment, later).

a. Your parent.

b. Your spouse.

c. Your child or stepchild. This includes an adopted 

child or child lawfully placed with you for legal 

adoption. This also includes a foster child who is 

placed with you by an authorized placement 

agency or by judgment, decree, or other order of 

any court of competent jurisdiction.

3. Any day you are outside the relevant territory because 

you leave or are unable to return to the relevant territory during any:

a. 14-day period within which a major disaster occurs in the relevant territory for which a Federal 

Emergency Management Agency (FEMA) notice 

of a federal declaration of a major disaster is issued in the Federal Register, or

b. Period for which a mandatory evacuation order is 

in effect for the geographic area in the relevant territory in which your main home is located.

4. Any day (up to a total of 30 days) that you are outside 

the relevant territory and the United States for business or personal travel, but this rule:

a. Applies only if the number of days you are considered present in the relevant territory exceeds the 

number of days you are considered present in the 

United States (determined without regard to the 

rule in this section (4)), and

b. Does not apply for purposes of calculating the 

minimum 60 days of presence in the relevant territory that is required for the 549-day presence test 

(see Presence Test, earlier).

If, during a single day, you are physically present:

• In the United States and in the relevant territory, that 

day is considered a day of presence in the relevant 

territory; or

Publication 570 (2023) Chapter 1 Bona Fide Residence 5
• In two territories, that day is considered a day of presence in the territory where your tax home is located 

(see Tax Home, later).

Days of presence in the United States. You are considered to be present in the United States on any day that 

you are physically present in the United States at any time 

during the day. However, do not count the following days 

as days of presence in the United States.

1. Any day you are temporarily present in the United 

States in order to receive, or to accompany a parent, 

spouse, or child who is receiving, qualifying medical 

treatment. Child is defined in item 2c under Days of 

presence in a territory, earlier. Qualifying medical 

treatment is defined later.

2. Any day you are temporarily present in the United 

States because you leave or are unable to return to 

the relevant territory during any:

a. 14-day period within which a major disaster occurs in the relevant territory for which a Federal 

Emergency Management Agency (FEMA) notice 

of a federal declaration of a major disaster is issued in the Federal Register, or

b. Period for which a mandatory evacuation order is 

in effect for the geographic area in the relevant territory in which your main home is located.

3. Any day you are in the United States for less than 24 

hours when you are traveling between two places outside the United States.

4. Any day you are temporarily present in the United 

States as a professional athlete to compete in a charitable sports event (defined later).

5. Any day you are temporarily in the United States as a 

student (defined later).

6. Any day you are in the United States serving as an 

elected representative of the relevant territory, or serving full time as an elected or appointed official or employee of the government of that territory (or any of its 

political subdivisions).

Qualifying Medical Treatment

Such treatment is generally provided by (or under the supervision of) a physician for an illness, injury, impairment, 

or physical or mental condition. The treatment generally 

involves:

• Any period of inpatient care that requires an overnight 

stay in a hospital or hospice, and any period immediately before or after that inpatient care to the extent it 

is medically necessary; or

• Any temporary period of inpatient care in a residential 

medical care facility for medically necessary rehabilitation services.

With respect to each qualifying medical treatment, you 

must prepare (or obtain) and maintain documentation supporting your claim that such treatment meets the criteria to 

be considered days of presence in the relevant territory. 

You must be able to produce this documentation within 30 

days if requested by the IRS or tax administrator for the 

relevant territory.

You must keep the following documentation.

1. Records that provide:

a. The patient's name and relationship to you (if the 

medical treatment is provided to a person you accompany);

b. The name and address of the hospital, hospice, or 

residential medical care facility where the medical 

treatment was provided;

c. The name, address, and telephone number of the 

physician who provided the medical treatment;

d. The date(s) on which the medical treatment was 

provided; and

e. Receipt(s) of payment for the medical treatment.

2. Signed certification by the providing or supervising 

physician that the medical treatment met the requirements for being qualified medical treatment, and setting forth:

a. The patient's name,

b. A reasonably detailed description of the medical 

treatment provided by (or under the supervision 

of) the physician,

c. The dates on which the medical treatment was 

provided, and

d. The medical facts that support the physician's certification and determination that the treatment was 

medically necessary.

Charitable Sports Event

A charitable sports event is one that meets all of the following conditions.

• The main purpose is to benefit a qualified charitable 

organization.

• The entire net proceeds go to charity.

• Volunteers perform substantially all the work.

In figuring the days of presence in the United States, 

you can exclude only the days on which you actually competed in the charitable sports event. You cannot exclude 

the days on which you were in the United States to practice for the event, to perform promotional or other activities 

related to the event, or to travel between events.

6 Chapter 1 Bona Fide Residence Publication 570 (2023)
Student

To qualify as a student, you must be, during some part of 

each of any 5 calendar months during the calendar year:

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

teaching staff, course of study, and regularly enrolled 

body of students in attendance; or

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

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

county, or local government agency.

The 5 calendar months do not have to be consecutive.

Full-time student. A full-time student is a person who is 

enrolled for the number of hours or courses the school 

considers to be full-time attendance. However, school attendance exclusively at night is not considered full-time attendance.

School. The term “school” includes elementary schools, 

middle schools, junior and senior high schools, colleges, 

universities, and technical, trade, and mechanical schools. 

It does not include on-the-job training courses, correspondence schools, and schools offering courses only 

through the Internet.

Significant Connection

One way in which you can meet the presence test is to 

have no significant connection to the United States during 

the tax year. This section looks at the factors that determine if a significant connection exists.

You are treated as having a significant connection to 

the United States if you:

1. Have a permanent home in the United States;

2. Are currently registered to vote in any political subdivision of the United States; or

3. Have a spouse or child (see item 2c under Days of 

presence in a territory, earlier) who is under age 18 

whose main home is in the United States, other than:

a. A child who is in the United States because they 

are the child of divorced or legally separated parents and they are living with a custodial parent 

under a custodial decree or multiple support 

agreement, or

b. A child who is in the United States as a student.

For the purpose of determining if you have a significant 

connection to the United States, the term “spouse” does 

not include a spouse from whom you are legally separated 

under a decree of divorce or separate maintenance.

Permanent home. A permanent home generally includes 

an accommodation such as a house, an apartment, or a 

furnished room that is either owned or rented by you or 

your spouse. The dwelling unit must be available at all 

times, continuously, not only for short stays.

Exception for rental property. If you or your spouse 

own the dwelling unit and at any time during the tax year it 

is rented to someone else at fair rental value, it will be considered your permanent home only if you or your spouse 

use that property for personal purposes for more than the 

greater of:

• 14 days, or

• 10% of the number of days during that tax year that 

the property is rented to others at a fair rental value.

You are treated as using rental property for personal 

purposes on any day the property is not being rented to 

someone else at fair rental value for the entire day.

A day of personal use of a dwelling unit is also any day 

that the unit is used by any of the following persons.

• You or any other person who has an interest in it, unless you rent it to another owner as their main home 

under a shared equity financing agreement.

• A member of your family or a member of the family of 

any other person who has an interest in it, unless the 

family member uses the dwelling unit as their main 

home and pays a fair rental price. Family includes only 

siblings, half-siblings, spouses, ancestors (parents, 

grandparents, etc.), and lineal descendants (children, 

grandchildren, etc.).

• Anyone under an arrangement that lets you use some 

other dwelling unit.

• Anyone at less than a fair rental price.

However, any day you spend working substantially full 

time repairing and maintaining (not improving) your property is not counted as a day of personal use. Whether your 

property is used mainly for this purpose is determined in 

light of all the facts and circumstances, such as:

• The amount of time you devote to repair and maintenance work,

• How often during the tax year you perform repair and 

maintenance work on this property, and

• The presence and activities of companions.

See Pub. 527 for more information about personal use 

of a dwelling unit.

Example—no significant U.S. connection. You, a 

U.S. citizen, are a sales representative for a company 

based in Guam. You live with your spouse and young children in your house in Guam, where you are also registered to vote. Your business travel requires you to spend 

120 days in the United States and another 120 days in foreign countries. When traveling on business, you generally 

stay at hotels but sometimes stay with your brother, who 

lives in the United States. Your stays are always of short 

duration and you ask your brother's permission to stay 

with him. Your brother's house is not your permanent 

home, nor do you have any other accommodations in the 

United States that would be considered your permanent 

home. You satisfy the presence test because you have no 

significant connection to the United States.

Publication 570 (2023) Chapter 1 Bona Fide Residence 7
Example—significant U.S. connection but presence test met. Pat and Carter Brown live for part of the 

year in a condominium, which they own, in the CNMI. 

They also own a house in Maine where they live for 120 

days every year to be near their grown children and grandchildren. The Browns are retired and their only income is 

from pension payments, dividends, interest, and social security benefits.

In 2023, Pat and Carter spent only 160 days in the 

CNMI because of an 85-day vacation to Europe and Asia 

and 120 days in the United States. Although the Browns 

were present in the United States for more than 90 days 

and had a significant connection to the United States because of their permanent home there, they satisfied the 

presence test with respect to the CNMI because they had 

no earned income in the United States and were considered physically present in the CNMI for at least 183 days 

(160 days plus 30 days deemed present during their 

85-day vacation to Europe and Asia for a total of 190 

days).

Tax Home

You will have met the tax home test if you did not have a 

tax home outside the relevant territory during any part of 

the tax year. Your tax home is generally determined under 

the principles of section 911(d)(3) and section 162(a)(2) 

(relating to traveling expenses while away from home).

Your tax home is your regular or main place of business, employment, or post of duty regardless of where 

you maintain your family home. If you do not have a regular or main place of business because of the nature of 

your work, then your tax home is the place where you regularly live. If you do not fit either of these categories, you 

are considered an itinerant and your tax home is wherever 

you work.

Exceptions

There are some special rules regarding tax home that provide exceptions to the general rule stated above.

Students and Government Officials

Disregard the following days when determining whether 

you have a tax home outside the relevant territory.

• Days you were temporarily in the United States as a 

student (see Student under Days of Presence in the 

United States or Relevant Territory, earlier).

• Days you were in the United States serving as an 

elected representative of the relevant territory, or serving full time as an elected or appointed official or employee of the government of that territory (or any of its 

political subdivisions).

Seafarers

You will not be considered to have a tax home outside the 

relevant territory solely because you are employed on a 

ship or other seafaring vessel that is predominantly used 

in local and international waters. For this purpose, a vessel is considered to be predominantly used in local and international waters if, during the tax year, the total amount 

of time it is used in international waters and in the waters 

within 3 miles of the relevant territory exceeds the total 

amount of time it is used in the territorial waters of the United States, another territory, or any foreign country.

Example. In 2023, you, a U.S. citizen, were employed 

by a fishery and spent 250 days at sea on a fishing vessel. 

When not at sea, you lived with your spouse at a house 

you own in American Samoa. The fishing vessel on which 

you work departs and arrives at various ports in American 

Samoa, other territories, and foreign countries, but was in 

international or American Samoa's local waters for 225 

days. For purposes of determining bona fide residency of 

American Samoa, you will not be considered to have a tax 

home outside that territory solely because of your employment on board the fishing vessel.

Year of Move

If you are moving to or from a territory during the year, you 

may still be able to meet the tax home test for that year. 

See Special Rules in the Year of a Move, later, in this 

chapter.

Closer Connection

You will have met the closer connection test if, during any 

part of the tax year, you do not have a closer connection to 

the United States or a foreign country than to the relevant 

U.S. territory.

You will be considered to have a closer connection to a 

territory than to the United States or to a foreign country if 

you have maintained more significant contacts with the 

territories than with the United States or foreign country. In 

determining if you have maintained more significant contacts with the relevant territory, the facts and circumstances to be considered include, but are not limited to, the following.

• The location of your permanent home.

• The location of your family.

• The location of personal belongings, such as automobiles, furniture, clothing, and jewelry owned by you 

and your family.

• The location of social, political, cultural, professional, 

or religious organizations with which you have a current relationship.

• The location where you conduct your routine personal 

banking activities.

• The location where you conduct business activities 

(other than those that go into determining your tax 

home).

• The location of the jurisdiction in which you hold a 

driver's license.

8 Chapter 1 Bona Fide Residence Publication 570 (2023)
• The location of the jurisdiction in which you vote.

• The location of charitable organizations to which you 

contribute.

• The country of residence you designate on forms and 

documents.

• The types of official forms and documents you file, 

such as Form W-8BEN or Form W-9.

Your connections to the relevant territory will be compared to the total of your connections with the United 

States and foreign countries. Your answers to the questions on Form 8898, Part III, will help establish the jurisdiction to which you have a closer connection.

Example—closer connection to the United States. 

You, a U.S. citizen, moved to Puerto Rico in 2023 to start 

an investment consulting and venture capital business. 

Your spouse and two teenage children remained in California to allow the children to complete high school. You 

traveled back to the United States regularly to see your 

spouse and children, to engage in business activities, and 

to take vacations. You had an apartment available for your 

full-time use in Puerto Rico, but remained a joint owner of 

the residence in California where your spouse and children lived. You and your family had automobiles and personal belongings such as furniture, clothing, and jewelry 

located at both residences. Although you were a member 

of the Puerto Rico Chamber of Commerce, you also belonged to and had current relationships with social, political, cultural, and religious organizations in California. You 

received mail in California, including bank and brokerage 

statements and credit card bills. You conducted your personal banking activities in California. You held a California 

driver's license and were also registered to vote there. 

Based on all of the particular facts and circumstances pertaining to you, you were not a bona fide resident of Puerto 

Rico in 2023 because you had a closer connection to the 

United States than to Puerto Rico.

Closer connection to another territory. Generally, territories are not treated as foreign countries. Therefore, a 

closer connection to a territory other than the relevant territory will not be treated as a closer connection to a foreign 

country.

Example—tax home and closer connection to territory. You, a U.S. citizen, are a permanent employee of a 

hotel in Guam, but work only during the tourist season. For 

the remainder of each year, you live with your spouse and 

children in the CNMI, where you have no outside employment. Most of your personal belongings, including your 

automobile, are located in the CNMI. You are registered to 

vote in, and have a driver's license issued by, the CNMI. 

You do your personal banking in the CNMI and routinely 

list your CNMI address as your permanent address on 

forms and documents. You satisfy the presence test with 

respect to both Guam and the CNMI. You satisfy the tax 

home test with respect to Guam, because your regular 

place of business is in Guam. You satisfy the closer connection test with respect to both Guam and the CNMI because you do not have a closer connection to the United 

States or to any foreign country. You are considered a 

bona fide resident of Guam, the location of your tax home.

Exception for Year of Move

If you are moving to or from a territory during the year, you 

may still be able to meet the closer connection test for that 

year. See Special Rules in the Year of a Move next.

Special Rules in the Year of a 

Move

If you are moving to or from a territory during the year, you 

may still be able to meet the tax home and closer connection tests for that year.

Year of Moving to a Territory

You will satisfy the tax home and closer connection tests 

in the tax year of changing your residence to the relevant 

territory if you meet all of the following.

• You have not been a bona fide resident of the relevant 

territory in any of the 3 tax years immediately preceding your move.

• In the year of the move, you do not have a tax home 

outside the relevant territory or a closer connection to 

the United States or a foreign country than to the relevant territory during any of the last 183 days of the tax 

year.

• You are a bona fide resident of the relevant territory for 

each of the 3 tax years immediately following the tax 

year of your move.

Example. You, a U.S. citizen, file returns on a calendar 

year basis. You lived in the United States from January 

2017 through May 2023. In June 2023, you moved to the 

USVI, purchased a house, and accepted a permanent job 

with a local employer. From July 1 through December 31, 

2023 (more than 183 days), your principal place of business was in the USVI and, during that time, you did not 

have a closer connection to the United States or a foreign 

country than to the USVI.

If you are a bona fide resident of the USVI during all of 

2024 through 2026, you will satisfy the tax home and 

closer connection tests for 2023. If you also satisfy the 

presence test in 2023, you will be considered a bona fide 

resident of the USVI for the 2023 tax year.

Year of Moving From a Territory

In the year you cease to be a bona fide resident of American Samoa, the CNMI, Guam, or the USVI, you will satisfy 

the tax home and closer connection tests with respect to 

the relevant territory if you meet all of the following.

• You have been a bona fide resident of the relevant territory for each of the 3 tax years immediately preceding your change of residence.

Publication 570 (2023) Chapter 1 Bona Fide Residence 9
• In the year of the move, you do not have a tax home 

outside the relevant territory or a closer connection to 

the United States or a foreign country than to the relevant territory during any of the first 183 days of the tax 

year.

• You are not a bona fide resident of the relevant territory for any of the 3 tax years immediately following 

the tax year of your move.

Example. You, a U.S. citizen, file returns on a calendar 

year basis. From January 2020 through December 2022, 

you were a bona fide resident of American Samoa. You 

continued to live there until September 6, 2023, when you 

accepted new employment and moved to Hawaii. Your 

principal place of business from January 1 through September 5, 2023 (more than 183 days), was in American 

Samoa, and during that period you did not have a closer 

connection to the United States or a foreign country than 

to American Samoa. If you continue to live and work in 

Hawaii for the rest of 2023 and throughout years 2024 

through 2026, you will satisfy the tax home and closer 

connection tests for 2023 with respect to American Samoa. If you also satisfy the presence test in 2023, you will 

be considered a bona fide resident for the 2023 tax year.

Puerto Rico

You will be considered a bona fide resident of Puerto Rico 

for the part of the tax year preceding the date on which 

you move if you:

• Are a U.S. citizen,

• Are a bona fide resident of Puerto Rico for at least 2 

tax years immediately preceding the tax year of the 

move,

• Cease to be a bona fide resident of Puerto Rico during 

the tax year,

• Cease to have a tax home in Puerto Rico during the 

tax year, and

• Have a closer connection to Puerto Rico than to the 

United States or a foreign country throughout the part 

of the tax year preceding the date on which you cease 

to have a tax home in Puerto Rico.

Example. You, a U.S. citizen, file returns on a calendar 

year basis. For all of 2021 and 2022, you were a bona fide 

resident of Puerto Rico. From January through May 4, 

2023, you continued to reside and maintain your principal 

place of business in and closer connection to Puerto Rico. 

On May 5, 2023, you moved and changed your tax home 

to Nevada. Later that year, you established a closer connection to the United States than to Puerto Rico. You did 

not satisfy the presence test for 2023 with respect to Puerto Rico, nor the tax home or closer connection tests. 

However, because you were a bona fide resident of Puerto 

Rico for at least 2 tax years before you moved to Nevada 

in 2023, you were a bona fide resident of Puerto Rico from 

January 1 through May 4, 2023. 

Reporting a Change in Bona 

Fide Residence

If you became or ceased to be a bona fide resident of a 

U.S. territory, you may need to file Form 8898. This applies 

to the U.S. territories of American Samoa, the CNMI, 

Guam, Puerto Rico, and the USVI.

Who Must File

You must file Form 8898 for the tax year in which you meet 

both of the following conditions.

1. Your worldwide gross income (defined below) in that 

tax year is more than $75,000.

2. You meet one of the following.

a. You take a position for U.S. tax purposes that you 

became a bona fide resident of a U.S. territory after a tax year for which you filed a U.S. income tax 

return as a citizen or resident alien of the United 

States but not as a bona fide resident of the territory.

b. You are a citizen or resident alien of the United 

States who takes the position for U.S. tax purposes that you ceased to be a bona fide resident of a 

U.S. territory after a tax year for which you filed an 

income tax return (with the IRS, the territory tax 

authority, or both) as a bona fide resident of the 

territory.

c. You take the position for U.S. tax purposes that 

you became a bona fide resident of Puerto Rico or 

American Samoa after a tax year for which you 

were required to file an income tax return as a 

bona fide resident of the CNMI, Guam, or the 

USVI.

Worldwide gross income. Worldwide gross income 

means all income you received in the form of money, 

goods, property, and services, including any income from 

sources outside the United States (even if you can exclude part or all of it) and before any deductions, credits, 

or rebates.

Example. You are a U.S. citizen who moved to the 

CNMI in December 2022, but did not become a bona fide 

resident of that territory until the 2023 tax year. You must 

file Form 8898 for the 2023 tax year if your worldwide 

gross income for that year was more than $75,000.

Penalty for Not Filing

Form 8898

If you are required to file Form 8898 for any tax year and 

you fail to file it, you may owe a penalty of $1,000. Also, 

you may owe this penalty if you do not include all the information required by the form or the form includes incorrect 

information. In either case, you will not owe this penalty if 

10 Chapter 1 Bona Fide Residence Publication 570 (2023)
you can show that such failure is due to reasonable cause 

and not willful neglect. This is in addition to any criminal 

penalty that may be imposed.

2.

Territory Source Income

In order to determine where to file your return and which 

form(s) you need to complete, you may need to determine 

the source of each item of income you received during the 

tax year.

This chapter discusses the rules for determining if the 

source of your income is from:

• American Samoa,

• The Commonwealth of the Northern Mariana Islands,

• The Commonwealth of Puerto Rico (Puerto Rico),

• Guam, or

• The U.S. Virgin Islands.

Generally, the same rules that apply for determining U.S. 

source income also apply for determining territory source 

income. However, there are some important exceptions to 

these rules. Both the general rules and the exceptions are 

discussed in this chapter.

U.S. income rule. This rule states that income is not territory source income if, under the rules of Internal Revenue 

Code sections 861–865, it is treated as income:

• From sources within the United States, or

• Effectively connected with the conduct of a trade or 

business within the United States.

Table 2-1 shows the general rules for determining 

whether income is from sources within the United States.

Types of Income

This section looks at the most common types of income 

received by individuals, and the rules for determining the 

source of the income. Generally, the same rules shown in 

Table 2-1 are used to determine if you have territory 

source income.

Compensation for Labor or Personal 

Services

Income from labor or personal services includes wages, 

salaries, commissions, fees, per diem allowances, employee allowances and bonuses, and fringe benefits. It 

also includes income earned by sole proprietors and general partners from providing personal services in the 

course of their trades or businesses.

Services performed wholly within a relevant territory. 

Generally, all pay you receive for services performed in a 

relevant territory is considered to be from sources within 

that territory. However, there are exceptions to this rule as 

discussed further below.

U.S. Armed Forces. If you are a bona fide resident of 

a relevant territory, your military service pay on active duty 

will be sourced in that territory even if you perform the 

services in the United States or another territory. However, 

if you are not a bona fide resident of a territory, your military service pay will be income from the

United States even if you perform services in a territory.

General Rules for Determining U.S. Source of Income

Item of Income Factor Determining Source

Salaries, wages, and other compensation for labor or personal 

services

Where labor or services performed 

Note. See Compensation for Labor or Personal Services.

Pensions Contributions: Where services were performed that earned the pension

Investment earnings: Where pension trust is located 

Interest Residence of payer

Dividends Where corporation created or organized

Rents Location of property

Royalties:

Natural resources Location of property

Patents, copyrights, etc. Where property is used

Sale of business inventory—purchased Where sold

Sale of business inventory—produced Where sold unless sold within the Unites States. Allocation if purchased in U.S. 

territory and sold within the United States. 

Sale of real property Location of property

Sale of personal property Seller's tax home (but see Special Rules for Gains From Dispositions of 

Certain Property, later, for exceptions)

Sale of natural resources Allocation based on fair market value of product at export terminal. For more 

information, see Regulations section 1.863-1(b).

Table 2-1.

Publication 570 (2023) Chapter 2 Territory Source Income 11
Civilian spouse of active duty member of the U.S. 

Armed Forces. If you are a bona fide resident of a U.S. 

territory and choose to keep that territory as your tax residence under MSRRA when relocating with your service 

member spouse under military orders, the source of income for your labor or personal services is considered to 

be that territory. Likewise, if your tax residence is in one of 

the 50 states or the District of Columbia before relocating 

and you choose to keep it as your tax residence, the 

source of income for services performed in any of the U.S. 

territories is considered to be the United States and, specifically, your state of residence or the District of Columbia.

For more information, see the following.

• Notice 2010-30, available at IRS.gov/irb/

2010-18_IRB#NOT-2010-30.

• Notice 2011-16, available at IRS.gov/irb/

2011-17_IRB#NOT-2011-16.

• Notice 2012-41, available at IRS.gov/irb/

2012-26_IRB#NOT-2012-41.

Also, you can consult with state, local, or U.S. territory 

tax authorities regarding your tax obligations under 

MSRRA.

De minimis exception. There is an exception to the rule 

for determining the source of income earned in a territory. 

Generally, you will not have income from a territory if during a tax year you:

• Are a U.S. citizen or resident;

• Are not a bona fide resident of that territory;

• Are not employed by or under contract with an individual, partnership, or corporation that is engaged in a 

trade or business in that territory;

• Temporarily perform services in that territory for 90 

days or less; and

• Earned $3,000 or less from such services.

Services performed partly inside and partly outside a 

relevant territory. If you are an employee and receive 

compensation for labor or personal services performed 

both inside and outside the relevant territory, special rules 

apply in determining the source of the compensation. 

Compensation (other than certain fringe benefits) is 

sourced on a time basis. Certain fringe benefits (such as 

housing and education) are sourced on a geographical 

basis.

Or you may be permitted to use an alternative basis to 

determine the source of compensation. See Alternative 

basis, later.

If you are self-employed, determine the source of your 

income for labor or personal services from self-employment on the basis that most correctly reflects the proper 

source of that income under the facts and circumstances 

of your particular case. In many cases, the facts and circumstances will call for an apportionment on a time basis, 

as explained next.

Time basis. Use a time basis to figure your compensation for labor or personal services from the relevant 

territory (other than the fringe benefits discussed later). 

Do this by multiplying your total compensation (other than 

the fringe benefits discussed later) by the following fraction:

Number of days you performed 

services in the relevant 

territory during the year

Total number of days you 

performed services during the year

You can use a unit of time less than a day in the above 

fraction, if appropriate. The time period for which the income is made does not have to be a year. Instead, you 

can use another distinct, separate, and continuous time 

period if you can establish to the satisfaction of the IRS 

that this other period is more appropriate.

Example. In 2023, you worked in your employer's office in the United States for 60 days and in the Puerto Rico 

office for 180 days, earning a total of $80,000 for the year. 

Your Puerto Rico source income is $60,000, figured as follows.

180 days

240 days × $80,000 = $60,000

Multi-year compensation. The source of multi-year 

compensation is generally determined on a time basis 

over the period to which the compensation is attributable. 

Multi-year compensation is compensation that is included 

in your income in 1 tax year but is attributable to a period 

that includes 2 or more tax years. You determine the period to which the income is attributable based on the facts 

and circumstances of your case. For more information on 

multi-year compensation, see Regulations section 

1.861-4(b).

Certain fringe benefits sourced on a geographical 

basis. If you received any of the following fringe benefits 

as compensation for labor or services performed as an 

employee partly inside and partly outside a relevant territory, you must source that income on a geographical basis.

• Housing.

• Education.

• Local transportation.

• Tax reimbursement.

• Hazardous or hardship duty pay.

• Moving expense reimbursement.

For information on determining the source of the fringe 

benefits listed above, see Regulations section 1.861-4(b).

Alternative basis. You can determine the source of 

your compensation under an alternative basis if you establish to the satisfaction of the IRS that, under the facts and 

circumstances of your case, the alternative basis more 

properly determines the source of your income than the 

time or geographical basis. If you use an alternative basis, 

you must keep (and have available for inspection) records 

12 Chapter 2 Territory Source Income Publication 570 (2023)
to document why the alternative basis more properly determines the source of your income.

Pensions. Generally, pension income has two components: contributions to the pension plan and the earnings 

accrued from investing those contributions. The contribution portion is sourced according to where services were 

performed that earned the pension. The investment earnings portion is sourced according to the location of the 

pension trust making the distributions.

Example. You are a U.S. citizen who worked in Puerto 

Rico for a U.S. company. All services were performed in 

Puerto Rico. Upon retirement, you remained in Puerto 

Rico and began receiving your pension from the U.S. pension trust of your employer. Distributions from the U.S. 

pension trust must be allocated between (1) contributions, 

which are Puerto Rico source income; and (2) investment 

earnings, which are U.S. source income.

Disaster and coronavirus-related tax relief. If you 

are required to file a U.S. federal income tax return, you 

may be entitled to some special disaster and coronavirus-related rules regarding the use of retirement funds. For 

more information, see Form 8915-E, Form 8915-F, and 

their instructions.

To determine whether you are required to file a U.S. income tax return, see chapter 3.

Investment Income

This category includes such income as interest, dividends, rents, and royalties.

Interest income. The source of interest income is generally determined by the residence of the payer. Interest 

paid by corporations created or organized in a relevant territory (territory corporation) or by individuals who are bona 

fide residents of a relevant territory is considered income 

from sources within that territory.

However, there is an exception to this rule if you are a 

bona fide resident of a relevant territory, receive interest 

from a corporation created or organized in that territory, 

and are a shareholder of that corporation, and you own, 

directly or indirectly, at least 10% of the total voting stock 

of the corporation. See Regulations section 1.937-2(i) for 

more information.

Dividends. Generally, dividends paid by a corporation 

created or organized in a relevant territory will be considered income from sources within that territory. There are 

additional rules for bona fide residents of a relevant territory who receive dividend income from territory corporations, and who own, directly or indirectly, at least 10% of 

the voting stock of the corporation. For more information, 

see Regulations section 1.937-2(g).

Rental income. Rents from property located in a relevant 

territory are treated as income from sources within that 

territory.

Royalties. Royalties from natural resources located in a 

relevant territory are considered income from sources 

within that territory.

Also considered territory source income are royalties 

received for the use of, or for the privilege of using, in a 

relevant territory, patents, copyrights, secret processes 

and formulas, goodwill, trademarks, trade brands, franchises, and other like property.

Sales or Other Dispositions of 

Property

The source rules for sales or other dispositions of property 

are varied. The most common situations are discussed 

below.

Real property. Real property includes land and buildings, and generally anything built on, growing on, or attached to land. The location of the property generally determines the source of income from the sale. For example, 

if you are a bona fide resident of Guam and sell your home 

that is located in Guam, the gain on the sale is sourced in 

Guam. If, however, the home you sold was located in the 

United States, the gain is U.S. source income.

Personal property. The term “personal property” refers 

to property (such as machinery, equipment, or furniture) 

that is not real property. Generally, gain (or loss) from the 

sale or other disposition is sourced according to the seller's tax home. If personal property is sold by a bona fide 

resident of a relevant territory, the gain (or loss) from the 

sale is treated as sourced within that territory.

This rule does not apply to the sale of inventory, intangible property, depreciable personal property, or property 

sold through a foreign office or fixed place of business. 

The rules applying to sales of inventory are discussed below. For information on sales of the other types of property 

mentioned, see Internal Revenue Code section 865.

Inventory. Your inventory is personal property that is 

stock in trade or that is held primarily for sale to customers 

in the ordinary course of your trade or business. The 

source of income from the sale of inventory depends on 

whether the inventory was purchased or produced.

Purchased. Income from the sale of inventory that you 

purchased is sourced where you sell the property. Generally, this is where title to the property passes to the buyer. 

However, income from the sale of inventory purchased 

within a U.S. territory and sold within the United States is 

sourced based on an allocation. For information on making the allocation, see Regulations section 1.863-3.

Produced. Income from the sale of inventory that you 

produced in a relevant territory and sold outside that territory (or vice versa) is sourced based on an allocation. For 

information on making the allocation, see Regulations 

section 1.863-3.

Publication 570 (2023) Chapter 2 Territory Source Income 13
Special Rules for Gains From Dispositions 

of Certain Property

There are special rules for gains from dispositions of certain investment property (for example, stocks, bonds, debt 

instruments, diamonds, and gold) owned by a U.S. citizen 

or resident alien prior to becoming a bona fide resident of 

a territory. You are subject to these special rules if you 

meet both of the following conditions.

• For the tax year for which the source of the gain must 

be determined, you are a bona fide resident of the relevant territory.

• For any of the 10 years preceding that year, you were 

a citizen or resident alien of the United States (other 

than a bona fide resident of the relevant territory).

If you meet these conditions, gains from the disposition 

of this property will not be treated as income from sources 

within the relevant territory for purposes of the Internal 

Revenue Code. Accordingly, bona fide residents of American Samoa and Puerto Rico, for example, may not exclude the gain on their U.S. tax return. (See chapter 3 for 

additional filing information.) With respect to the CNMI, 

Guam, and the USVI, the gain from the disposition of this 

property will not meet the requirements for certain tax 

rules that may allow bona fide residents of those territories 

to reduce or obtain a rebate of taxes on income from sources within the relevant territories.

For details, see Regulations section 1.937-2(f)(1) and 

Examples 1 and 2 of section 1.937-2(k).

Example 1. In 2017, you, a U.S. citizen, lived in the 

United States and paid $1,000 for 100 shares of stock in 

the Rose Corporation, a U.S. corporation listed on the 

New York Stock Exchange. On March 1, 2020, you moved 

to Puerto Rico and changed your tax home to Puerto Rico 

on the same date. You satisfied the presence test in 2020 

and, under the year-of-move exception, you were considered a bona fide resident of Puerto Rico for the rest of 

2020. On March 1, 2020, the closing value of your stock in 

the Rose Corporation was $2,000. On January 5, 2023, 

while still a bona fide resident of Puerto Rico, you sold all 

your Rose Corporation stock for $7,000. Under the special 

rules discussed earlier, none of your $6,000 gain will be 

treated as income from sources within Puerto Rico.

The source rules discussed in the preceding paragraphs supplement, and may apply in conjunction 

with, an existing special rule. This existing special 

rule applies if you are a U.S. citizen or resident alien who 

becomes a bona fide resident of American Samoa, the 

CNMI, or Guam, and who has gain from the disposition of 

certain U.S. assets during the 10-year period beginning 

when you became a bona fide resident. The gain is U.S. 

source income that is generally subject to U.S. tax if the 

property is either (1) located in the United States; (2) stock 

issued by a U.S. corporation or a debt obligation of a U.S. 

person or of the United States, a state (or political subdivision), or the District of Columbia; or (3) property that has a 

CAUTION

!

basis in whole or in part by reference to property described in (1) or (2). See chapter 3 for filing information.

Special election. You can choose to treat the part of gain 

(or loss) attributable to the time you held the property 

while a bona fide resident of the relevant territory (the territory holding period) as gain (or loss) from sources within 

that territory. Make the election by reporting the gain attributable to the territory holding period on your income tax 

return for the year of disposition. This election overrides 

both of the special rules discussed earlier.

There are two methods for figuring the gain (or loss) for 

the territory holding period, one for marketable securities 

and another for other types of investment property.

Marketable securities. Marketable securities are 

those actively traded on an established financial market, 

such as stock in a publicly held corporation. Under the 

special election, allocate the gain (or loss) by figuring the 

appreciation separately for your territory and U.S. holding 

periods.

Your territory holding period begins on the first day you 

do not have a tax home outside the relevant territory. The 

gain (or loss) attributable to the territory holding period is 

the difference in fair market value of the security at the 

close of the market on the first and last days of this holding period. This is your gain (or loss) that is treated as being from sources within the relevant territory. If you were a 

bona fide resident of the relevant territory for more than 

one continuous period, combine the gains (or losses) from 

each territory holding period.

Example 2. Assume the same facts as in Example 1, 

except that you make the special election to allocate the 

gain between your U.S. and territory holding periods. Your 

territory holding period began March 1, 2020, the date 

your tax home changed to Puerto Rico. Therefore, the portion of the gain attributable to your territory holding period 

is $5,000 ($7,000 sale price – $2,000 closing value on the 

first day of the territory holding period). By reporting 

$5,000 of your $6,000 gain as Puerto Rico source income 

on your 2023 Puerto Rico tax return (and the remainder as 

non-Puerto Rico source income), you elect to treat that 

amount as Puerto Rico source income.

Other personal property. For personal property other 

than marketable securities, use a time-based allocation. 

Figure the gain (or loss) attributable to the territory holding 

period by multiplying your total gain (or loss) by the following fraction.

Number of days in the 

territory holding period

Total number of days 

in your holding period

The result is your gain (or loss) that is treated as being 

from sources within the relevant territory.

Example 3. In addition to the stock in Rose Corporation, you acquired a 5% interest in the Alder Partnership 

on January 1, 2019. On March 1, 2020, when you 

14 Chapter 2 Territory Source Income Publication 570 (2023)
established bona fide residency in Puerto Rico, your partnership interest was not considered a marketable security. 

On September 15, 2023, while still a bona fide resident of 

Puerto Rico, you sold your interest in Alder Partnership for 

a $100,000 gain. You had owned the interest for a total of 

1,719 days. Your territory holding period (from March 1, 

2020, through September 15, 2023) is 1,294 days. The 

portion of your gain attributable to Puerto Rico is $75,276 

($100,000 x (1,294 Puerto Rico days ÷ 1,719 total days)). 

By reporting $75,276 of your $100,000 gain as Puerto 

Rico source income on your 2023 Puerto Rico tax return 

(and the remainder as non-Puerto Rico source income), 

you elect to treat $75,276 as Puerto Rico source income.

Scholarships, Fellowships, Grants, 

Prizes, and Awards

The source of these types of income is generally the residence of the payer, regardless of who actually disburses 

the funds. Therefore, in order to be territory source income, the payer must be a resident of the relevant territory, such as an individual who is a bona fide resident or a 

corporation created or organized in that territory. 

These rules do not apply to amounts paid as salary or other compensation for services. See Compensation for Labor or Personal Services, earlier 

in this chapter, for the source rules that apply.

Effectively Connected Income

In limited circumstances, some kinds of income from sources outside the relevant territory must be treated as effectively connected with a trade or business in that territory. 

These circumstances are listed below.

• You have an office or other fixed place of business in 

the relevant territory to which the income can be attributed.

• That office or place of business is a material factor in 

producing the income.

• The income is produced in the ordinary course of the 

trade or business carried on through that office or 

other fixed place of business.

An office or other fixed place of business is a material 

factor if it significantly contributes to, and is an essential 

economic element in, the earning of the income.

The three kinds of income from sources outside the relevant territory to which these rules apply are the following.

1. Rents and royalties for the use of, or for the privilege 

of using, intangible personal property located outside 

the relevant territory or from any interest in such property. Included are rents or royalties for the use of, or 

for the privilege of using, outside the relevant territory, 

patents, copyrights, secret processes and formulas, 

goodwill, trademarks, trade brands, franchises, and 

CAUTION

!

similar properties if the rents or royalties are from the 

active conduct of a trade or business in the relevant 

territory.

2. Dividends or interest from the active conduct of a 

banking, financing, or similar business in the relevant 

territory.

3. Income, gain, or loss from the sale or exchange outside the relevant territory, through the office or other 

fixed place of business in the relevant territory, of:

a. Stock in trade,

b. Property that would be included in inventory if on 

hand at the end of the tax year, or

c. Property held primarily for sale to customers in the 

ordinary course of business.

Item (3) above will not apply if you sold the property for 

use, consumption, or disposition outside the relevant territory and an office or other fixed place of business in a foreign country was a material factor in the sale.

Example. You are a bona fide resident of American 

Samoa. Your business, which you conduct from an office 

in American Samoa, is developing and selling specialized 

computer software. A software purchaser will frequently 

pay you an additional amount to install the software on the 

purchaser's operating system and to ensure that the software is functioning properly. You install the software at the 

purchaser's place of business, which may be in American 

Samoa, in the United States, or in another country. The income from selling the software is effectively connected 

with the conduct of your business in American Samoa, 

even though the product's destination may be outside the 

territory. However, the compensation you receive for installing the software (personal services) outside of American Samoa is not effectively connected with the conduct 

of your business in the territory—the income is sourced 

where you perform the services. 

3.

Filing Information for 

Individuals in Certain 

U.S. Territories

If you have income from American Samoa, the CNMI, 

Guam, Puerto Rico, or the USVI, you may have to file a tax 

return with the tax department of that territory. Or you may 

have to file two annual tax returns, one with the territory’s 

tax department and the other with the IRS. This chapter 

covers the general rules for filing returns in the five territories.

Publication 570 (2023) Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

15
You must first determine if you are a bona fide resident of 

the relevant territory. See chapter 1 for a discussion of the 

requirements you must meet.

You should ask for forms and advice about the filing of territory tax returns from that territory’s tax department, not 

the IRS. Contact information is listed in this chapter under 

the heading for each territory.

Disaster tax relief. If you are required to file an income 

tax return with the IRS, you may be entitled to disaster tax 

relief. For more information about the tax relief that may be 

available, see chapter 4.

American Samoa

American Samoa has its own separate and independent 

tax system. Although its tax laws are modeled on the U.S. 

Internal Revenue Code, there are certain differences.

Where To Get Forms and Information

Requests for advice about matters connected 

with American Samoan taxation should be sent 

to:

American Samoa Government Tax Office

Executive Office Building

Pago Pago, AS 96799

The phone number is 684-633-4181.

You can access the American Samoa Government Tax Office at www.americansamoa.gov/taxoffice.

The fax number is 684-633-1513.

The addresses and phone numbers listed above 

are subject to change.

Which Returns To File

Your residency status and your source of income with regard to American Samoa determine whether you file your 

return and pay your tax to American Samoa, to the United 

States, or to both.

In addition to the information below that is categorized 

by residency status, the Special Rules for American Samoa section, later, contains important information for determining the correct forms to file.

CAUTION

!

Bona Fide Resident of

American Samoa

Bona fide residents of American Samoa are generally exempt from U.S. tax on their American Samoa source income.

U.S. citizen or resident alien. If you are a U.S. citizen 

(or national) or resident alien and a bona fide resident of 

American Samoa during the tax year, you must generally 

file the following returns.

• An American Samoa tax return reporting your gross 

income from worldwide sources. If you report 

non-American Samoa source income on your American Samoa tax return, you can claim a credit against 

your American Samoa tax liability for income taxes 

paid on that income to the United States, a foreign 

country, or another territory.

• A U.S. tax return reporting income from worldwide 

sources, but excluding income from sources within 

American Samoa. However, amounts received for 

services performed as an employee of the United 

States or any of its agencies cannot be excluded (see 

U.S. Government employees under Special Rules for 

American Samoa, later).

To exclude American Samoa source income, attach a 

completed Form 4563 to your U.S. tax return (see Form 

4563, later, for more information). If you are excluding 

American Samoa source income on your U.S. tax return, 

you will not be allowed any deductions from gross income 

or credits against tax that are directly or indirectly allocable to the excluded income. For more information, see 

Special Rules for Completing Your U.S. Tax Return in 

chapter 4.

If all of your income is from American Samoa sources, 

you are not required to file a U.S. tax return. However, if 

you have self-employment income, see Self-employment 

tax, later.

Nonresident alien. If you are a bona fide resident of 

American Samoa during the tax year, but a nonresident 

alien of the United States, you must generally file the following returns.

• An American Samoa tax return reporting worldwide income.

• A U.S. tax return (Form 1040 or 1040-SR) reporting income from worldwide sources, but excluding American Samoa source income other than amounts for 

services performed as an employee of the United 

States or any of its agencies. For more information, 

see U.S. Government employees under Special Rules 

for American Samoa, later. To exclude income from 

sources within American Samoa, attach a completed 

Form 4563 to your U.S. tax return (see Form 4563, 

later, for more information).

For all other tax purposes, however, you will be 

treated as a nonresident alien individual. For example, 

you are not allowed the standard deduction, you cannot file a joint return, and you are not allowed a deduction for a dependent unless that person is a citizen or 

16 Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

Publication 570 (2023)
national of the United States. There are also limitations on what deductions and credits are allowed. See 

Pub. 519 for more information.

Form 4563. If you must file a U.S. income tax return and 

you qualify to exclude any of your income from American 

Samoa, claim the exclusion by completing Form 4563 and 

attaching it to your Form 1040 or 1040-SR. Form 4563 

cannot be filed by itself.

Where to file. If you are a bona fide resident of American 

Samoa during the tax year and you are not including a 

check or money order, send your U.S. tax return and all attachments (including Form 4563) to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments (including Form 4563) 

to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Send your American Samoa tax return and all attachments to the address given under Where To Get Forms 

and Information, earlier.

Self-employment tax. If you are not required to file a 

U.S. tax return but have income that is effectively connected with a trade or business in American Samoa, you must 

file Form 1040-SS with the United States. On this form, 

you will report your self-employment income to the United 

States, and, if necessary, pay self-employment tax on that 

income. For more information, see Self-Employment Tax 

in chapter 4.

Additional Medicare Tax. You may be required to pay 

Additional Medicare Tax. Also, you may need to report Additional Medicare Tax withheld by your employer. For more 

information, see Additional Medicare Tax under Special 

Rules for Completing Your U.S. Tax Return in chapter 4.

Net Investment Income Tax (NIIT). The NIIT is 3.8% of 

the lesser of an individual’s net investment income or the 

excess of the individual’s modified adjusted gross income 

over a specified threshold amount. The NIIT will apply to a 

bona fide resident of American Samoa if a taxpayer has 

modified adjusted gross income from sources outside of 

American Samoa that exceeds a specified threshold 

amount, for example, $200,000 for single filers. The NIIT 

does not apply to any individual who is a nonresident alien 

with respect to the United States. See Form 8960 and its 

instructions for more information on the NIIT.

Estimated tax payments. To see if you are required to 

make payments of estimated income tax, self-employment 

tax, Additional Medicare Tax, and/or NIIT to the IRS, get 

Form 1040-ES.

To pay by check or money order, send your payment 

with the Form 1040-ES payment voucher to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

To get information on paying electronically (by credit or 

debit card, or through the Electronic Federal Tax Payment 

System (EFTPS)), go to IRS.gov/Payments.

For information on making estimated income tax payments to American Samoa, see Where To Get Forms and 

Information, earlier.

Not a Bona Fide Resident of American 

Samoa

An individual who is not a bona fide resident of American 

Samoa for the tax year but has income sourced in American Samoa generally files both U.S. and American Samoa 

tax returns, and claims a foreign tax credit on the U.S. return for taxes paid to American Samoa.

U.S. citizen or resident alien. If you are a U.S. citizen or 

resident alien but not a bona fide resident of American Samoa during the tax year, you must generally file the following returns.

• An American Samoa tax return reporting only your income from sources within American Samoa. Wages 

for services performed in American Samoa, whether 

for a private employer, the U.S. Government, or otherwise, are income from sources within American Samoa.

• A U.S. tax return reporting your income from worldwide sources. You can take a credit against your U.S. 

tax liability if you paid income taxes to American Samoa (or other territory or foreign country) and reported 

income from those sources on your U.S. tax return.

De minimis exception to determining source of income. In certain situations, you will not have income from 

a territory. See De minimis exception under Compensation 

for Labor or Personal Services in chapter 2.

Nonresident alien. If you are a nonresident alien of the 

United States who does not qualify as a bona fide resident 

of American Samoa for the tax year, you must generally 

file the following returns.

• An American Samoa tax return reporting only your income from sources within American Samoa. In this situation, wages for services performed in American Samoa, whether for a private employer, the U.S. 

Government, or otherwise, is income from sources 

within American Samoa.

• A U.S. tax return (Form 1040-NR) reporting U.S. 

source income according to the rules for a nonresident 

alien. See the Instructions for Form 1040-NR.

Publication 570 (2023) Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

17
Where to file. If you are not a bona fide resident of American Samoa during the tax year, and you are not including 

a check or money order, send your U.S. tax return and all 

attachments to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Send your American Samoa tax return and all attachments to the address given under Where To Get Forms 

and Information, earlier.

Special Rules for American Samoa

In addition to the general rules given earlier for filing U.S. 

and American Samoa tax returns, there are some special 

rules that apply to certain individuals and types of income.

U.S. Government employees. U.S. Government wages, 

including for services performed in American Samoa, 

must be included in U.S. gross income and reported on 

both your U.S. and American Samoa income tax returns.

Regardless of whether you are a bona fide resident of 

American Samoa, you may have to file an income tax return with both the United States and American Samoa.

• You must generally report all income on your U.S. income tax return, regardless of source. Although a 

bona fide resident of American Samoa may generally 

exclude American Samoa source income from their 

U.S. income tax return, pay from the U.S. Government 

for services performed in American Samoa must be 

included on your U.S. income tax return regardless of 

whether you are a bona fide resident of American Samoa. You can claim a withholding credit on your U.S. 

income tax return for federal income taxes withheld 

from your federal wages (as well as a foreign tax credit 

for income tax paid to American Samoa on the same 

income).

• On your American Samoa income tax return, you must 

report all income from American Samoa sources (and 

from all other sources if you are a bona fide resident of 

American Samoa), including your wages from the U.S. 

Government for services performed in American Samoa. For further information about your American Samoa income tax obligations, contact the American Samoa Government Tax Office at the address and phone 

number indicated in chapter 3.

Active duty member of the U.S. Armed Forces. If you 

are an active duty member of the U.S. Armed Forces 

whose state of legal residence is American Samoa, your 

military income is American Samoa-source income. In this 

case, you will follow the tax rules for U.S. Government employee wages above, regardless of where you are stationed. If you are an active duty member of the U.S. 

Armed Forces whose state of legal residence is not American Samoa, the source of your military wages is generally 

the same as your state of legal residence (that is, not 

sourced in American Samoa). In that case, you will follow 

the tax rules for U.S. Government employee wages for 

your state of legal residence, regardless of where you are 

stationed.

Civilian spouse of active duty member of the U.S. 

Armed Forces. If you are a civilian spouse of an active 

duty member of the U.S. Armed Forces, see Special rule 

for civilian spouse of active duty member of the U.S. 

Armed Forces in chapter 1 for more information.

The spouse of the service member may elect to use the 

same residence for tax purposes as the service member 

regardless of the date on which the marriage of the 

spouse and service member occurred.

Federal retiree pension income. Federal retirees who 

are bona fide residents of American Samoa must file an 

income tax return with American Samoa to report all income from all sources, including federal pension income. 

The retiree may also have an income tax filing requirement 

with the United States, depending upon the source of the 

retiree’s pension income. Pension income can have multiple sources. See Pensions and other source of income 

rules in chapter 2 for more information. If any part of the 

pension income is sourced in the United States, the retiree must also file an income tax return with the United 

States.

Disaster and coronavirus-related tax relief. If you 

are required to file a U.S. federal income tax return, you 

may be entitled to some special disaster and coronavirus-related rules regarding the use of retirement funds. For 

more information, see Form 8915-E, Form 8915-F, and 

their instructions.

Moving expense deduction. The deduction for moving 

expenses is suspended unless you are a member of the 

U.S. Armed Forces who moves pursuant to a military order and incident to a permanent change of station. For 

more information, see Pub. 3.

Double Taxation

A mutual agreement procedure exists to settle cases of 

double taxation between the United States and American 

Samoa. See Double Taxation in chapter 4. 

The Commonwealth

of Puerto Rico

The Commonwealth of Puerto Rico has its own separate 

and independent tax system. Although it is modeled after 

the U.S. system, there are differences in law and tax rates.

18 Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

Publication 570 (2023)
Where To Get Forms and Information

Requests for information about the filing of Puerto 

Rico tax returns should be addressed to:

Departamento de Hacienda

Área de Política Contributiva

P.O. Box 9024140

San Juan, Puerto Rico 00902-4140

The phone numbers are 787-622-0123 and 

787-620-2323.

You can access the Hacienda website at 

www.hacienda.pr.gov.

The addresses and phone numbers listed above 

are subject to change.

Which Returns To File

Generally, you will file returns with both Puerto Rico and 

the United States. The income reported on each return 

depends on your residency status in Puerto Rico. To determine if you are a bona fide resident of Puerto Rico and 

have income sourced within and outside Puerto Rico, see 

the information in chapter 1.

Bona Fide Resident of Puerto Rico

Bona fide residents of Puerto Rico will generally pay tax to 

Puerto Rico on their worldwide income.

U.S. citizen or resident alien. If you are a U.S. citizen or 

resident alien and also a bona fide resident of Puerto Rico 

during the tax year, you must generally file the following 

returns.

• A Puerto Rico tax return reporting income from worldwide sources. If you report U.S. source income on 

your Puerto Rico tax return, you can claim a credit 

against your Puerto Rico tax, up to the amount allowable, for income taxes paid to the United States.

• A U.S. tax return reporting income from worldwide 

sources, but excluding Puerto Rico source income. 

However, see U.S. Government employees under 

Special Rules for Puerto Rico, later, for an exception.

If you are excluding Puerto Rico income on your U.S. 

tax return, you will not be allowed any deductions or credits that are directly or indirectly allocable to exempt income. For more information, see Special Rules for Completing Your U.S. Tax Return in chapter 4.

If all of your income is from Puerto Rico sources, you 

are not required to file a U.S. tax return. However, if you 

have self-employment income, see Self-employment tax, 

later.

U.S. citizen only. If you are a U.S. citizen, you may also 

qualify under these rules if you have been a bona fide resiCAUTION

!

dent of Puerto Rico for at least 2 years before moving from 

Puerto Rico. In this case, you can exclude your income 

derived from sources within Puerto Rico (but not wages 

and salaries received as an employee of the U.S. Government or its agencies) that you earned before the date you 

changed your residence. For more information, see Puerto 

Rico under Year of Moving From a Territory in chapter 1.

Nonresident alien. If you are a bona fide resident of Puerto Rico during the tax year, but a nonresident alien of the 

United States, you must generally file the following returns.

• A Puerto Rico tax return reporting income from worldwide sources. If you report U.S. source income on 

your Puerto Rico tax return, you can claim a credit 

against your Puerto Rico tax, up to the amount allowable, for income taxes paid to the United States.

• A U.S. tax return (Form 1040 or 1040-SR) reporting income from worldwide sources, but excluding Puerto 

Rico source income (other than amounts for services 

performed as an employee of the United States or any 

of its agencies). For tax purposes other than reporting 

income, however, you will be treated as a nonresident 

alien individual. For example, you are not allowed the 

standard deduction, you cannot file a joint return, and 

you are not allowed a deduction for a dependent unless that person is a citizen or national of the United 

States. There are also limitations on what deductions 

and credits are allowed. See Pub. 519 for more information.

Self-employment tax. If you have no U.S. filing requirement but have income that is effectively connected with a 

trade or business in Puerto Rico, you must file Form 

1040-SS with the United States to report your self-employment income and, if necessary, pay self-employment tax. 

For more information, see Self-Employment Tax in chapter 4.

Additional Medicare Tax. You may be required to pay 

Additional Medicare Tax. Also, you may need to report Additional Medicare Tax withheld by your employer. For more 

information, see Additional Medicare Tax under Special 

Rules for Completing Your U.S. Tax Return in chapter 4.

Net Investment Income Tax (NIIT). The NIIT is 3.8% of 

the lesser of an individual’s net investment income or the 

excess of the individual’s modified adjusted gross income 

over a specified threshold amount. The NIIT will apply to a 

bona fide resident of Puerto Rico if a taxpayer has modified adjusted gross income from sources outside of Puerto 

Rico that exceeds a specified threshold amount, for example, $200,000 for single filers. The NIIT does not apply to 

any individual who is a nonresident alien with respect to 

the United States. See Form 8960 and its instructions for 

more information on the NIIT.

Estimated tax payments. To see if you are required to 

make payments of estimated income tax, self-employment 

tax, Additional Medicare Tax, and/or NIIT to the IRS, get 

Form 1040-ES (or Form 1040-ES(PR)).

Publication 570 (2023) Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

19
To pay by check or money order, send your payment 

with the Form 1040-ES (or Form 1040-ES(PR)) payment 

voucher to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

To get information on paying electronically (by credit or 

debit card, or through the Electronic Federal Tax Payment 

System (EFTPS)), go to IRS.gov/Payments.

For information on making estimated income tax payments to Hacienda, see Where To Get Forms and Information, earlier.

Not a Bona Fide Resident of

Puerto Rico

An individual who is not a bona fide resident of Puerto 

Rico for the tax year may have to file tax returns with both 

Puerto Rico and the United States.

U.S. citizen or resident alien. If you are a U.S. citizen or 

resident alien but not a bona fide resident of Puerto Rico 

during the tax year, you must generally file the following 

returns.

• A Puerto Rico tax return reporting only your income 

from Puerto Rico sources. Wages for services performed in Puerto Rico, whether for a private employer, 

the U.S. Government, or otherwise, are income from 

Puerto Rico sources.

• A U.S. tax return reporting income from worldwide 

sources. Generally, you can claim a foreign tax credit 

for income taxes paid to Puerto Rico on the Puerto 

Rico income that is subject to Puerto Rico taxes and 

not exempt from U.S. taxes (see chapter 4 for more information).

Nonresident alien. If you are a nonresident alien of the 

United States who does not qualify as a bona fide resident 

of Puerto Rico for the tax year, you must generally file the 

following returns.

• A Puerto Rico tax return reporting only your income 

from Puerto Rico sources. Wages for services performed in Puerto Rico, whether for a private employer, 

the U.S. Government, or otherwise, is income from 

Puerto Rico sources.

• A U.S. tax return (Form 1040-NR) according to the 

rules for a nonresident alien. See the Instructions for 

Form 1040-NR.

De minimis exception to determining source of income. In certain situations, you will not have income from 

a territory. See De minimis exception under Compensation 

for Labor or Personal Services in chapter 2.

Where to file. Use the addresses listed below to file your 

U.S. and Puerto Rico income tax returns.

If you are not including a check or money order, send 

your U.S. tax return and all attachments to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

If you request a refund on your Puerto Rico return, send 

your Puerto Rico tax return and all attachments to:

Departamento de Hacienda

P.O. Box 9024140

San Juan, PR 00902-6272

Send all other Puerto Rico tax returns, with all attachments, to:

Departamento de Hacienda

P.O. Box 9024140

San Juan, PR 00902-2501

Special Rules for Puerto Rico

In addition to the general rules given earlier for filing U.S. 

and Puerto Rico tax returns, there are some special rules 

that apply to certain individuals and types of income.

U.S. Government employees. Wages and cost-of-living 

allowances paid by the U.S. Government (or one of its 

agencies) for working in Puerto Rico are subject to Puerto 

Rico tax. However, the cost-of-living allowances are excluded from Puerto Rico gross income up to the amount exempt from U.S. tax. In order to claim this exclusion, you 

must:

• Include with your Puerto Rico tax return evidence to 

show the amount received during the year, and

• Be in full compliance with your Puerto Rico tax responsibilities.

These wages are also subject to U.S. tax, but the 

cost-of-living allowances are excludable. A foreign tax 

credit is available in order to avoid double taxation.

Active duty member of the U.S. Armed Forces. If you 

are an active duty member of the U.S. Armed Forces 

whose state of legal residence is Puerto Rico, your military 

income is Puerto Rico-source income. In this case, you 

will follow the tax rules for U.S. Government employee wages above, regardless of where you are stationed. If you 

are an active duty member of the U.S. Armed Forces 

whose state of legal residence is not Puerto Rico, the 

source of your military wages is generally the same as 

your state of legal residence (that is, not sourced in Puerto 

Rico). In that case, you will follow the tax rules for U.S. 

Government employee wages for your state of legal residence, regardless of where you are stationed.

20 Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

Publication 570 (2023)
Civilian spouse of active duty member of the U.S. 

Armed Forces. If, under the rule discussed at the beginning of chapter 1 (see Special rule for civilian spouse of 

active duty member of the U.S. Armed Forces), your tax 

residence is Puerto Rico, follow the guidance in the section for bona fide residents under Which Returns To File, 

earlier. However, if your tax residence is one of the 50 

states or the District of Columbia and your only income 

from Puerto Rico is from wages, salaries, tips, or self-employment, you will be taxed on your worldwide income and 

file only a U.S. tax return (Form 1040 or 1040-SR) and a 

state and/or local tax return, if required. If you have income from Puerto Rico other than wages, salaries, tips, or 

self-employment that is considered to be sourced in that 

territory (see Table 2-1), contact the Hacienda for guidance.

The spouse of the service member may elect to use the 

same residence for tax purposes as the service member 

regardless of the date on which the marriage of the 

spouse and service member occurred.

Income from sources outside Puerto Rico and the 

United States. If you are a U.S. citizen and bona fide resident of Puerto Rico and you have income from sources 

outside both Puerto Rico and the United States, that income is treated as foreign source income under both tax 

systems. In addition to your Puerto Rico and U.S. tax returns, you may also have to file a return with the country or 

territory from which your outside income was derived. To 

avoid double taxation, a foreign tax credit is generally 

available for either the U.S. or Puerto Rico return.

Example. You are a bona fide resident of Puerto Rico 

and a U.S. citizen. You traveled to the Dominican Republic 

and worked in the construction industry for 1 month. Your 

wages were $20,000. Because the wages were earned 

outside Puerto Rico and outside the United States, you 

must file a tax return with Puerto Rico and the United 

States. You may also have to file a tax return with the 

Dominican Republic.

Moving expense deduction. The deduction for moving 

expenses is suspended unless you are a member of the 

U.S. Armed Forces who moves pursuant to a military order and incident to a permanent change of station. For 

more information, see Pub. 3.

Additional child tax credit (ACTC). If you are not required to file a U.S. income tax return, this credit is available only if you meet all three of the following conditions.

• You were a bona fide resident of Puerto Rico during 

the entire tax year.

• Social security and Medicare taxes were withheld from 

your wages or you paid self-employment tax.

• You had one or more qualifying children. (For the definition of a qualifying child, see the Instructions for 

Form 1040-SS.)

If your income exceeds certain levels, you may be disqualified from receiving this credit. Use Form 1040-SS to 

claim the ACTC.

Double Taxation

A mutual agreement procedure exists to settle cases of 

double taxation between the United States and the Commonwealth of Puerto Rico. See Double Taxation in chapter 4. 

The Commonwealth of the 

Northern Mariana Islands

The CNMI has its own tax system based partly on the 

same tax laws and tax rates that apply to the United 

States and partly on local taxes imposed by the CNMI 

government.

Where To Get Forms and Information

Requests for advice about CNMI residency and 

tax matters should be addressed to:

Commonwealth of the Northern Mariana Islands

Division of Revenue and Taxation

P.O. Box 5234 CHRB

Dandan Commercial Center

Saipan, MP 96950

You can order forms and publications by calling 

670-664-1000.

You can order forms and publications through fax 

at 670-664-1015.

You can access the CNMI website at 

www.finance.gov.mp/forms.php.

The addresses and phone numbers listed above 

are subject to change.

Which Return To File

In general, all individuals with income from the CNMI will 

file only one return, either to the CNMI or to the United 

States. Your residency status with regard to the CNMI determines which return you will file. Be sure to check the 

Special Rules for the Commonwealth of the Northern Mariana Islands, later, for additional information about filing 

your tax return.

CAUTION

!

Publication 570 (2023) Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

21
Bona Fide Resident of the Commonwealth 

of the Northern Mariana Islands

If you are a U.S. citizen, resident alien, or nonresident 

alien and a bona fide resident of the CNMI during the tax 

year, file your income tax return with the CNMI.

• Include income from worldwide sources on your CNMI 

return. In determining your total tax payments, include 

all income tax withheld and paid to either the CNMI or 

the United States, any credit for an overpayment of income tax to either the CNMI or the United States, and 

any payments of estimated tax to either the CNMI or 

the United States. Pay any balance of tax due with 

your tax return.

• Generally, if you properly file your return with, and fully 

pay your income tax to, the CNMI, then you are not liable for filing an income tax return with, or for paying tax 

to, the United States for the tax year. However, if you 

were self-employed in 2023, see Self-employment tax, 

later.

Example. You were a bona fide resident of the CNMI 

for 2023. You received wages of $30,000 paid by a private 

employer in the CNMI and dividends of $4,000 from U.S. 

corporations that carry on business mainly in the United 

States. You must file a 2023 income tax return with the 

CNMI Division of Revenue and Taxation. You report your 

total income of $34,000 on the CNMI return.

Where to file. If you are a bona fide resident of the CNMI 

for the tax year, send your return and all attachments to 

the Division of Revenue and Taxation at the address given 

earlier.

U.S. Citizen or Resident Alien (Other Than a 

Bona Fide Resident of the Commonwealth 

of the Northern Mariana Islands)

If you have income from sources within the CNMI and are 

a U.S. citizen or resident alien, but you are not a bona fide 

resident of the CNMI during the tax year, file your income 

tax return with the United States.

• Include income from worldwide sources on your U.S. 

return. In determining your total tax payments, include 

all income tax withheld and paid to either the United 

States or the CNMI, any credit for an overpayment of 

income tax to either the United States or the CNMI, 

and any payments of estimated tax to either the CNMI 

or the United States. Pay any balance of tax due with 

your tax return.

Note. You may also need to complete Form 5074.

• You are not liable for filing an income tax return with, 

or for paying tax to, the CNMI for the tax year.

Form 5074. If you file a U.S. income tax return, attach a 

completed Form 5074 if you (and your spouse if filing a 

joint return) have:

• Adjusted gross income of $50,000 or more for the tax 

year, and

• Gross income of $5,000 or more from sources within 

the CNMI.

The United States and the CNMI use this form to divide 

your income taxes.

De minimis exception to determining source of income. In certain situations, you will not have income from 

a territory. See De minimis exception under Compensation 

for Labor or Personal Services in chapter 2.

Citizen or resident alien of the United States but not 

a bona fide resident of the Commonwealth of the 

Northern Mariana Islands. If you are a citizen or resident alien of the United States but not a bona fide resident 

of the CNMI during the tax year and you are not including 

a check or money order, send your return and all attachments to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Nonresident Alien (Other Than a Bona Fide 

Resident of the Commonwealth of the 

Northern Mariana Islands)

If you are a nonresident alien of the United States who 

does not qualify as a bona fide resident of the CNMI for 

the tax year, you must generally file the following returns.

• A CNMI tax return reporting only your income from 

sources within the CNMI. In this situation, wages for 

services performed in the CNMI, whether for a private 

employer, the U.S. Government, or otherwise, are income from sources within the CNMI.

• A U.S. tax return (Form 1040-NR) reporting U.S. 

source income according to the rules for a nonresident 

alien. See the Instructions for Form 1040-NR.

If you are not a bona fide resident of the CNMI during 

the tax year and you are not including a check or money 

order, send your U.S. tax return and all attachments to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments to:

22 Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

Publication 570 (2023)
Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Send your CNMI tax return and all attachments to:

Department of Finance

Division of Revenue and Taxation

Commonwealth of the Northern Mariana Islands

P.O. Box 5234 CHRB

Saipan, MP 96950

Citizen of the Commonwealth of the 

Northern Mariana Islands

If you are a citizen of the CNMI (meaning that you were 

born or naturalized in the CNMI) but not otherwise a U.S. 

citizen or a U.S. resident alien during the tax year, file your 

income tax return with the CNMI. Include income from 

worldwide sources on your CNMI return. Take into account tax withheld by both jurisdictions in determining if 

there is tax overdue or an overpayment. Pay any balance 

of tax due with your tax return. Send your return and all attachments to:

Department of Finance

Division of Revenue and Taxation

Commonwealth of the Northern Mariana Islands

P.O. Box 5234 CHRB

Saipan, MP 96950

Special Rules for the Commonwealth 

of the Northern Mariana Islands

Special rules apply to certain types of income, employment, and filing status.

Joint return. If you file a joint return, file your return (and 

pay the tax) with the jurisdiction where the spouse who 

has the greater adjusted gross income (AGI) would have 

to file if you were filing separately. If the spouse with the 

greater AGI is a bona fide resident of the CNMI during the 

tax year, file the joint return with the CNMI. If the spouse 

with the greater AGI is a U.S. citizen or resident alien but 

not a bona fide resident of the CNMI during the tax year, 

file your joint return with the United States. For this purpose, income is determined without regard to community 

property laws.

Example. You, a U.S. citizen, were a resident of the 

United States, and your spouse, a citizen of both the 

CNMI and the United States, was a bona fide resident of 

the CNMI during the tax year. You earned $65,000 as a 

computer programmer in the United States. Your spouse 

earned $20,000 as an artist in the CNMI. You and your 

spouse will file a joint return. Because you have the 

greater AGI, you and your spouse must file your return 

with the United States and report the entire $85,000 on 

that return.

U.S. Armed Forces. If you are a member of the U.S. 

Armed Forces on active duty who qualified as a bona fide 

resident of the CNMI in a prior tax year, your absence from 

the CNMI solely in compliance with military orders will not 

change your bona fide residency. If you did not qualify as 

a bona fide resident of the CNMI in a prior tax year, your 

presence in the CNMI solely in compliance with military 

orders will not qualify you as a bona fide resident of the 

CNMI.

Civilian spouse of active duty member of the U.S. 

Armed Forces. If, under the rule discussed at the beginning of chapter 1 (see Special rule for civilian spouse of 

active duty member of the U.S. Armed Forces), your tax 

residence is the CNMI, follow the guidance in the section 

for bona fide residents under Which Return To File, earlier. 

However, if your tax residence is one of the 50 states or 

the District of Columbia and your only income from the 

CNMI is from wages, salaries, tips, or self-employment, 

you will be taxed on your worldwide income and file only a 

U.S. tax return (Form 1040 or 1040-SR) and a state and/or 

local tax return, if required. If you have income from the 

CNMI other than wages, salaries, tips, or self-employment 

that is considered to be sourced in that territory (see Table 2-1), you may need to file Form 5074 with your U.S. tax 

return.

The spouse of the service member may elect to use the 

same residence for tax purposes as the service member 

regardless of the date on which the marriage of the 

spouse and service member occurred.

Moving expense deduction. The deduction for moving 

expenses is suspended unless you are a member of the 

U.S. Armed Forces who moves pursuant to a military order and incident to a permanent change of station. For 

more information, see Pub. 3. If you meet these requirements, see the discussion below.

If you are a bona fide resident in the tax year of your 

move, enter your deductible expenses on your CNMI tax 

return.

If you are not a bona fide resident, enter your deductible expenses on Form 3903, and enter the deductible 

amount on Schedule 1 (Form 1040), line 14, and on Form 

5074, line 20.

Self-employment tax. If you have no U.S. filing requirement, but have income that is effectively connected with a 

trade or business in the CNMI, you must file Form 

1040-SS with the United States to report your self-employment income and, if necessary, pay self-employment tax.

Additional Medicare Tax. You may be required to pay 

Additional Medicare Tax. Also, you may need to report Additional Medicare Tax withheld by your employer. For more 

information, see Additional Medicare Tax under Special 

Rules for Completing Your U.S. Tax Return in chapter 4.

Estimated tax payments. To see if you are required to 

make payments of estimated income tax, self-employment 

tax, and/or Additional Medicare Tax to the IRS, get Form 

1040-ES.

Publication 570 (2023) Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

23
Payment of estimated tax. If you must pay estimated 

tax, make your payment to the jurisdiction where you 

would file your income tax return if your tax year were to 

end on the date your first estimated tax payment is due. 

Generally, you should make the rest of your quarterly payments of estimated tax to the jurisdiction where you made 

your first payment of estimated tax. However, estimated 

tax payments to either jurisdiction will be treated as payments to the jurisdiction with which you file the tax return.

If you make a joint payment of estimated tax, make your 

payment to the jurisdiction where the spouse who has the 

greater estimated AGI would have to pay (if a separate 

payment were made). For this purpose, income is determined without regard to community property laws.

Early payment. If you make your first payment of estimated tax early, follow the rules given earlier to determine 

where to send it. If you send it to the wrong jurisdiction, 

make all later payments to the jurisdiction to which the first 

payment should have been sent.

To pay by check or money order, send your payment 

with the Form 1040-ES payment voucher to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

To get information on paying electronically (by credit or 

debit card, or through the Electronic Federal Tax Payment 

System (EFTPS)), go to IRS.gov/Payments.

For information on making estimated income tax payments to the CNMI, see Where To Get Forms and Information, earlier.

Double Taxation

A mutual agreement procedure exists to settle cases of 

double taxation between the United States and the Commonwealth of the Northern Mariana Islands. See Double 

Taxation in chapter 4. 

Guam

Guam has its own tax system based on the same tax laws 

and tax rates that apply in the United States.

Where To Get Forms and Information

Requests for advice about Guam residency and 

tax matters should be addressed to:

Department of Revenue and Taxation

Taxpayer Services Division

P.O. Box 23607

GMF, Guam 96921

You can order forms and publications by calling 

671-635-1840 or 671-635-1841.

You can order forms and publications through fax 

at 671-633-2643.

You can get forms and publications at 

www.guamtax.com.

The addresses and phone numbers listed above 

are subject to change.

Which Return To File

Bona fide residents of Guam are subject to special U.S. 

tax rules. In general, all individuals with income from 

Guam will file only one return—either to Guam or the United States.

Bona Fide Resident of Guam

If you are a bona fide resident of Guam during the tax 

year, file your return with Guam. This applies to all bona 

fide residents who are citizens, resident aliens, or nonresident aliens of the United States.

• Include income from worldwide sources on your Guam 

return. In determining your total tax payments, include 

all income tax withheld and paid to either Guam or the 

United States, any credit for an overpayment of income tax to either Guam or the United States, and any 

payments of estimated tax to either Guam or the United States. Pay any balance of tax due with your tax 

return.

• Generally, if you properly file your return with, and fully 

pay your income tax to, Guam, then you are not liable 

for filing an income tax return with, or for paying tax to, 

the United States. However, if you were self-employed 

in 2023, see Self-employment tax, later.

Example. You were a bona fide resident of Guam for 

2023. You received wages of $25,000 paid by a private 

employer in Guam and dividends of $2,000 from U.S. corporations that carry on business mainly in the United 

States. You must file a 2023 income tax return with the 

government of Guam. You report your total income of 

$27,000 on the Guam return.

If you are a bona fide resident of Guam for the tax year, 

send your return and all attachments to:

Department of Revenue and Taxation

Taxpayer Services Division

P.O. Box 23607

GMF, Guam 96921

CAUTION

!

24 Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

Publication 570 (2023)
U.S. Citizen or Resident Alien (Other Than a 

Bona Fide Resident of Guam)

If you have income from sources within Guam and are a 

U.S. citizen or resident alien, but you are not a bona fide 

resident of Guam during the tax year, file your income tax 

return with the United States.

• Include income from worldwide sources on your U.S. 

return. In determining your total tax payments, include 

all income tax withheld and paid to either the United 

States or Guam, any credit for an overpayment of income tax to either the United States or Guam, and any 

payments of estimated tax to either Guam or the United States. Pay any balance of tax due with your tax 

return. You may also need to complete Form 5074.

• You are not liable for filing an income tax return with, 

or for paying tax to, Guam for the tax year.

Form 5074. If you file a U.S. income tax return, attach a 

completed Form 5074 if you (and your spouse if filing a 

joint return) have:

• Adjusted gross income of $50,000 or more for the tax 

year, and

• Gross income of $5,000 or more from sources within 

Guam.

The United States and Guam use this form to divide 

your income taxes.

De minimis exception to determining source of income. In certain situations, you will not have income from 

a territory. See De minimis exception under Compensation 

for Labor or Personal Services in chapter 2.

If you are a citizen or resident alien of the United States 

but not a bona fide resident of Guam during the tax year 

and you are not including a check or money order, send 

your U.S. tax return and all attachments (including Form 

5074) to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments (including Form 5074) 

to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Nonresident Alien (Other Than a Bona Fide 

Resident of Guam), Where To File

If you are a nonresident alien of the United States who 

does not qualify as a bona fide resident of Guam for the 

tax year, you must generally file the following returns.

• A Guam tax return reporting only your income from 

sources within Guam. In this situation, wages for services performed in Guam, whether for a private employer, the U.S. Government, or otherwise, are income 

from sources within Guam.

• A U.S. tax return (Form 1040-NR) reporting U.S. 

source income according to the rules for a nonresident 

alien. See the Instructions for Form 1040-NR.

If you are not a bona fide resident of Guam during the 

tax year and you are not including a check or money order, send your U.S. tax return and all attachments to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Send your Guam tax return and all attachments to:

Department of Revenue and Taxation

Taxpayer Services Division

P.O. Box 23607

GMF, Guam 96921

Citizen of Guam

If you are a citizen of Guam (meaning that you were born 

or naturalized in Guam) but not otherwise a U.S. citizen or 

a U.S. resident alien during the tax year, file your income 

tax return with Guam. Include income from worldwide 

sources on your Guam return. Take into account tax withheld by both jurisdictions in determining if there is tax 

overdue or an overpayment. Pay any balance of tax due 

with your tax return.

If you are a citizen of Guam, send your return and all attachments to:

Department of Revenue and Taxation

Taxpayer Services Division

P.O. Box 23607

GMF, Guam 96921

Publication 570 (2023) Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

25
Special Rules for Guam

Special rules apply to certain types of income, employment, and filing status.

Joint return. If you file a joint return, you should file your 

return (and pay the tax) with the jurisdiction where the 

spouse who has the greater adjusted gross income (AGI) 

would have to file if you were filing separately. If the 

spouse with the greater AGI is a bona fide resident of 

Guam during the tax year, file the joint return with Guam. If 

the spouse with the greater AGI is a U.S. citizen or resident alien but not a bona fide resident of Guam during the 

tax year, file the joint return with the United States. For this 

purpose, income is determined without regard to community property laws.

Example. You, a U.S. citizen, were a resident of the 

United States, and your spouse, a citizen of both Guam 

and the United States, was a bona fide resident of Guam 

during the tax year. You earned $45,000 as an engineer in 

the United States. Your spouse earned $15,000 as a 

teacher in Guam. You and your spouse will file a joint return. Because you have the greater AGI, you and your 

spouse must file your return with the United States and report the entire $60,000 on that return.

U.S. Armed Forces. If you are a member of the U.S. 

Armed Forces on active duty who qualified as a bona fide 

resident of Guam in a prior tax year, your absence from 

Guam solely in compliance with military orders will not 

change your bona fide residency. If you did not qualify as 

a bona fide resident of Guam in a prior tax year, your presence in Guam solely in compliance with military orders will 

not qualify you as a bona fide resident of Guam.

Civilian spouse of active duty member of the U.S. 

Armed Forces. If, under the rule discussed at the beginning of chapter 1 (see Special rule for civilian spouse of 

active duty member of the U.S. Armed Forces), your tax 

residence is Guam, follow the guidance in the section for 

bona fide residents under Which Return To File, earlier. 

However, if your tax residence is one of the 50 states or 

the District of Columbia and your only income from Guam 

is from wages, salaries, tips, or self-employment, you will 

be taxed on your worldwide income and file only a U.S. tax 

return (Form 1040 or 1040-SR) and a state and/or local 

tax return, if required. If you have income from Guam other 

than wages, salaries, tips, or self-employment that is considered to be sourced in that territory (see Table 2-1), you 

may need to file Form 5074 with your U.S. tax return.

The spouse of the service member may elect to use the 

same residence for tax purposes as the service member 

regardless of the date on which the marriage of the 

spouse and service member occurred.

Moving expense deduction. The deduction for moving 

expenses is suspended unless you are a member of the 

U.S. Armed Forces who moves pursuant to a military order and incident to a permanent change of station. For 

more information, see Pub. 3. If you meet these requirements, see the discussion below.

If you are a bona fide resident in the tax year of your 

move, enter your deductible expenses on your Guam tax 

return.

If you are not a bona fide resident, enter your deductible expenses on Form 3903, and enter the deductible 

amount on Schedule 1 (Form 1040), line 14, and on Form 

5074, line 20.

Self-employment tax. If you have no U.S. filing requirement, but have income that is effectively connected with a 

trade or business in Guam, you must file Form 1040-SS 

with the United States to report your self-employment income and, if necessary, pay self-employment tax.

Additional Medicare Tax. You may be required to pay 

Additional Medicare Tax. Also, you may need to report Additional Medicare Tax withheld by your employer. For more 

information, see Additional Medicare Tax under Special 

Rules for Completing Your U.S. Tax Return in chapter 4.

Estimated tax payments. To see if you are required to 

make payments of estimated income tax, self-employment 

tax, and/or Additional Medicare Tax to the IRS, see Form 

1040-ES.

Payment of estimated tax. If you must pay estimated 

tax, make your payment to the jurisdiction where you 

would file your income tax return if your tax year were to 

end on the date your first estimated tax payment is due. 

Generally, you should make the rest of your quarterly payments of estimated tax to the jurisdiction where you made 

your first payment of estimated tax. However, estimated 

tax payments to either jurisdiction will be treated as payments to the jurisdiction with which you file the tax return.

If you make a joint payment of estimated tax, make your 

payment to the jurisdiction where the spouse who has the 

greater estimated AGI would have to pay (if a separate 

payment were made). For this purpose, income is determined without regard to community property laws.

Early payment. If you make your first payment of estimated tax early, follow the rules given earlier to determine 

where to send it. If you send it to the wrong jurisdiction, 

make all later payments to the jurisdiction to which the first 

payment should have been sent.

To pay by check or money order, send your payment 

with the Form 1040-ES payment voucher to:

Department of Revenue and Taxation

Taxpayer Services Division

P.O. Box 23607

GMF, Guam 96921

To get information on paying electronically (by credit or 

debit card, or through the Electronic Federal Tax Payment 

System (EFTPS)), go to IRS.gov/Payments.

For information on making estimated income tax payments to the Department of Revenue and Taxation, see 

Where To Get Forms and Information, earlier.

26 Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

Publication 570 (2023)
Double Taxation

A mutual agreement procedure exists to settle cases of 

double taxation between the United States and Guam. 

See Double Taxation in chapter 4. 

The U.S. Virgin Islands

The USVI has its own tax system based on the same tax 

laws and tax rates that apply in the United States. An important factor in USVI taxation is whether, during the tax 

year, you are a bona fide resident of the USVI.

Where To Get Forms and Information

For information about filing your USVI tax return or 

about Form 1040INFO in St. Thomas, contact:

Virgin Islands Bureau of Internal Revenue

6115 Estate Smith Bay

Suite 225

St. Thomas, USVI 00802

You can order forms and publications by calling 

340-715-1040.

You can order forms and publications through fax 

at 340-774-2672.

For information about filing your USVI tax return or 

about Form 1040INFO in St. Croix, contact:

Virgin Islands Bureau of Internal Revenue

4008 Estate Diamond Plot 7-B

Christiansted, USVI 00820-4421

You can order forms and publications by calling 

340-773-1040.

You can order forms and publications through fax 

at 340-773-1006.

You can access the USVI website at http://

bir.vi.gov/.

The addresses and phone numbers listed above 

are subject to change.

Which Return To File

In general, bona fide residents of the USVI pay income 

taxes only to the USVI. U.S. citizens or resident aliens (but 

not bona fide residents of the USVI) with USVI source income pay a portion of the tax to each jurisdiction.

CAUTION

!

Bona Fide Resident of the U.S. Virgin 

Islands

File your tax return with the USVI if you are a U.S. citizen, 

resident alien, or nonresident alien and a bona fide resident of the USVI during the tax year.

• Include your worldwide income on your USVI return. In 

determining your total tax payments, take into account 

all income tax withheld and paid to either the USVI or 

the United States, any credit for an overpayment of income tax to either the USVI or the United States, and 

any payments of estimated tax to either the USVI or 

the United States. Pay any balance of tax due with 

your tax return. Filing this return with the USVI generally also starts the statute of limitations on assessment 

of your U.S. income tax.

• You generally do not have to file with the United States 

for any tax year in which you are a bona fide resident 

of the USVI during the tax year, provided you report 

and pay tax on your income from all sources to the 

USVI and identify the source(s) of the income on the 

return.

• If you have self-employment income, you may be required to file Form 1040-SS with the United States. 

For more information, see Self-employment tax under 

Special Rules for the U.S. Virgin Islands, later.

Form 1040INFO. If you are a bona fide resident of the 

USVI and have non-USVI source income, you must also 

file Virgin Islands Bureau of Internal Revenue Form 

1040INFO, Non-Virgin Islands Source Income of Virgin Islands Residents, with the USVI. Attach Form 1040INFO to 

your USVI tax return before filing. You can get Form 

1040INFO by contacting the address or website given earlier.

If you are a bona fide resident of the USVI for the tax 

year, file your return and all attachments with the U.S. Virgin Islands Bureau of Internal Revenue at:

Bureau of Internal Revenue

6115 Estate Smith Bay

St. Thomas, USVI 00802

U.S. Citizen or Resident Alien (Other Than a 

Bona Fide Resident of the U.S. Virgin 

Islands)

If you are a U.S. citizen or resident alien but not a bona 

fide resident of the USVI during the tax year, you must file 

your original Form 1040 or 1040-SR with the United States 

and an identical copy of that return with the USVI if you 

have:

• Income from sources in the USVI, or

• Income effectively connected with the conduct of a 

trade or business in the USVI.

File your original Form 1040 or 1040-SR with the United 

States and file a signed copy of the U.S. return (including 

all attachments, forms, and schedules) with the U.S. Virgin 

Publication 570 (2023) Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

27
Islands Bureau of Internal Revenue by the due date for filing Form 1040 or 1040-SR. Use Form 8689 to figure the 

amount of tax you must pay to the USVI.

Form 8689. Complete this form and attach it to both the 

return you file with the United States and the copy you file 

with the USVI. Figure the amount of tax you must pay to 

the USVI as follows:

Total tax on 

U.S. return

(after certain adjustments)

×

USVI AGI

Worldwide AGI

Pay any tax due to the USVI when you file your return 

with the U.S. Virgin Islands Bureau of Internal Revenue. To 

receive credit on your U.S. return for taxes paid to the 

USVI, include the amounts from Form 8689, lines 40 and 

45, in the total on Form 1040 or 1040-SR, line 33. On the 

dotted line next to line 33, enter “Form 8689” and show the 

amounts.

De minimis exception to determining source of income. In certain situations, you will not have income from 

a territory. See De minimis exception under Compensation 

for Labor or Personal Services in chapter 2.

If you are not a bona fide resident of the USVI during 

the tax year, but you have USVI source income, and you 

are not including a check or money order, file Form 1040 

or 1040-SR and all attachments (including Form 8689) 

with the:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments (including Form 8689) 

to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

File a copy of your U.S. Form 1040 or 1040-SR with the 

U.S. Virgin Islands Bureau of Internal Revenue at:

Bureau of Internal Revenue

6115 Estate Smith Bay

St. Thomas, USVI 00802

Nonresident Alien (Other Than a Bona Fide 

Resident of the U.S. Virgin Islands)

If you are a nonresident alien of the United States who 

does not qualify as a bona fide resident of the USVI for the 

tax year, you must generally file the following returns.

• A USVI tax return reporting only your income from 

sources within the USVI. In this situation, wages for 

services performed in the USVI, whether for a private 

employer, the U.S. Government, or otherwise, are income from sources within the USVI.

• A U.S. tax return (Form 1040-NR) reporting U.S. 

source income according to the rules for a nonresident 

alien. See the Instructions for Form 1040-NR.

If you are not a bona fide resident of the USVI during 

the tax year, and you are not including a check or money 

order, send your U.S. tax return and all attachments (including Form 8689) to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments (including Form 8689) 

to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Send your USVI tax return and all attachments to:

Bureau of Internal Revenue

6115 Estate Smith Bay

St. Thomas, USVI 00802

Special Rules for the U.S. Virgin 

Islands

There are some special rules for certain types of income, 

employment, and filing status.

Joint return. If you file a joint return, you should file your 

return (and pay the tax) with the jurisdiction where the 

spouse who has the greater adjusted gross income (AGI) 

would have to file if you were filing separately. If the 

spouse with the greater AGI is a bona fide resident of the 

USVI during the tax year, file the joint return with the USVI. 

If the spouse with the greater AGI is a U.S. citizen or resident alien of the United States but not a bona fide resident 

of the USVI during the tax year, file the joint return with the 

United States. For this purpose, income is determined 

without regard to community property laws.

Example. You, a U.S. citizen, were a resident of the 

United States, and your spouse, a citizen of both the USVI 

and the United States, was a bona fide resident of the 

USVI during the tax year. You earned $55,000 as an architect in the United States. Your spouse earned $30,000 as 

a librarian in the USVI. You and your spouse will file a joint 

return. Because you have the greater AGI, you and your 

spouse must file your return with the United States and report the entire $85,000 on that return.

U.S. Armed Forces. If you are a member of the U.S. 

Armed Forces on active duty who qualified as a bona fide 

resident of the USVI in a prior tax year, your absence from 

28 Chapter 3 Filing Information for Individuals in Certain U.S. 

Territories

Publication 570 (2023)
the USVI solely in compliance with military orders will not 

change your bona fide residency. If you did not qualify as 

a bona fide resident of the USVI in a prior tax year, your 

presence in the USVI solely in compliance with military orders will not qualify you as a bona fide resident of the 

USVI.

Civilian spouse of active duty member of the U.S. 

Armed Forces. If, under the rule discussed at the beginning of chapter 1 (see Special rule for civilian spouse of 

active duty member of the U.S. Armed Forces), your tax 

residence is the USVI, follow the guidance in Bona Fide 

Residents of the U.S. Virgin Islands under Which Return 

To File, earlier. However, if your tax residence is one of the 

50 states or the District of Columbia and your only income 

from the USVI is from wages, salaries, tips, or self-employment, you will be taxed on your worldwide income and file 

only a U.S. tax return (Form 1040 or 1040-SR) and a state 

and/or local tax return, if required. If you have income from 

the USVI other than wages, salaries, tips, or self-employment that is considered to be sourced in that territory (see 

Table 2-1), you may need to file Form 8689 with your U.S. 

tax return. In this case, follow the guidance under U.S. 

Citizen or Resident Alien (Other Than a Bona Fide Resident of the U.S. Virgin Islands), earlier.

The spouse of the service member may elect to use the 

same residence for tax purposes as the service member 

regardless of the date on which the marriage of the 

spouse and service member occurred.

Moving expense deduction. The deduction for moving 

expenses is suspended unless you are a member of the 

U.S. Armed Forces who moves pursuant to a military order and incident to a permanent change of station. For 

more information, see Pub. 3. If you meet these requirements, see the discussion below.

If you are a bona fide resident in the tax year of your 

move, enter your deductible expenses on your USVI tax 

return.

If you are not a bona fide resident, enter your deductible expenses on Form 3903, and enter the deductible 

amount on Schedule 1 (Form 1040), line 14, and on Form 

8689, line 20.

If your move was to the United States, complete Form 

3903, and enter the deductible amount on Schedule 1 

(Form 1040), line 14.

Self-employment tax. If you have no U.S. filing requirement, but have income that is effectively connected with a 

trade or business in the USVI, you must file Form 1040-SS

with the United States to report your self-employment income and, if necessary, pay self-employment tax.

Additional Medicare Tax. You may be required to pay 

Additional Medicare Tax. Also, you may need to report Additional Medicare Tax withheld by your employer. For more 

information, see Additional Medicare Tax under Special 

Rules for Completing Your U.S. Tax Return in chapter 4.

Estimated tax payments. To see if you are required to 

make payments of estimated income tax, self-employment 

tax, and/or Additional Medicare Tax to the IRS, get Form 

1040-ES.

To pay by check or money order, send your payment 

with the Form 1040-ES payment voucher to:

Bureau of Internal Revenue

6115 Estate Smith Bay

St. Thomas, USVI 00802

To get information on paying electronically (by credit or 

debit card, or through the Electronic Federal Tax Payment 

System (EFTPS)), go to IRS.gov/Payments.

For information on making estimated income tax payments to the Bureau of Internal Revenue, see Where To 

Get Forms and Information, earlier.

Extension of time to file. You can get an automatic 

6-month extension of time to file your tax return. See Extension of Time To File in chapter 4. Bona fide residents of 

the USVI during the tax year must file a paper Form 4868 

with the U.S. Virgin Islands Bureau of Internal Revenue. 

Nonresidents of the USVI should file separate extension 

requests with the IRS and the U.S. Virgin Islands Bureau 

of Internal Revenue and make any payments due to the 

respective jurisdictions. However, the U.S. Virgin Islands 

Bureau of Internal Revenue will honor an extension request that is timely filed with the IRS.

Double Taxation

A mutual agreement procedure exists to settle cases of 

double taxation between the United States and the U.S. 

Virgin Islands. See Double Taxation in chapter 4. 

4.

Filing U.S. Tax Returns

The information in chapter 3 will tell you if a U.S. income 

tax return is required for your situation. If a U.S. return is 

required, your next step is to see if you meet the filing requirements. If you do meet the filing requirements, the information presented in this chapter will help you understand the special procedures involved. This chapter 

discusses:

• Filing requirements,

• When to file your return,

• Where to send your return,

• How to adjust your deductions and credits if you are 

excluding income from American Samoa or Puerto 

Rico,

• How to make estimated tax payments and pay 

self-employment tax, and

Publication 570 (2023) Chapter 4 Filing U.S. Tax Returns 29
• How to request assistance in resolving instances of 

double taxation.

Who Must File

If you are not required to file a territory tax return that includes your worldwide income, you must generally file a 

Form 1040 or 1040-SR U.S. income tax return if your 

gross income is at least the amount shown in Table 4-1, 

for your filing status and age. Use the Instructions for Form 

1040 to help you complete Form 1040 or 1040-SR.

As discussed in chapter 3, bona fide residents of the 

CNMI, Guam, and the U.S. Virgin Islands do not generally 

have an income tax filing requirement with the IRS. Bona 

fide residents of American Samoa and Puerto Rico may 

have to file an income tax return with the IRS, the territory 

tax department, or both, as discussed in chapter 3. These 

individuals will have to file an income tax return with the 

IRS if they have income that is sourced outside the territory in an amount that exceeds U.S. filing requirements.

Some individuals (such as those who can be claimed 

as a dependent on another person's return or who owe 

certain taxes, such as self-employment tax) must file a tax 

return even though the gross income is less than the 

amount shown in Table 4-1 for their filing status and age. 

For more information, see the Instructions for Form 1040.

Filing Requirement for U.S. Income 

Tax Return if Territory Income Is 

Excluded

Bona fide residents of American Samoa or Puerto Rico 

are required to file a U.S. income tax return if they have 

gross income subject to U.S. income tax in an amount that 

equals or exceeds the applicable filing requirement. The 

filing requirement is generally based on the standard deduction amount used to file a U.S. income tax return 

shown in Table 4-1.

You must adjust the standard deduction amount based 

on the percentage of gross income subject to U.S. income 

tax over gross income from all sources (including excluded territory income) to determine whether you meet the 

filing requirement for a U.S. income tax return. To make 

this determination, follow the instructions and examples 

below.

Standard deduction amount. For 2023, the standard 

deduction amounts for all taxpayers are:

Single or Married filing separately ... $13,850

Head of household ............. $20,800

Married filing jointly or Qualifying 

surviving spouse ..............

$27,700

If you or your spouse was born before January 2, 1959, 

or either of you is blind, figure your standard deduction using the Standard Deduction Chart for People Who Were 

Born Before January 2, 1959, or Were Blind in the 2023 

Instructions for Form 1040.

Allowable standard deduction. Unless your filing status 

is married filing separately, or married filing jointly but you 

did not live with your spouse at the end of 2023 (or on the 

date your spouse died), the minimum income level at 

which you must file a return is generally based on the 

standard deduction for your filing status and age. Because 

the standard deduction applies to all types of income, it 

must be divided between your excluded income and income from other sources. Multiply the regular standard 

deduction for your filing status and age by the following 

fraction:

Gross income subject to U.S. income tax

Gross income from all sources

(including excluded territory income)

Example. Terry, a U.S. citizen, is single, under 65, and 

a bona fide resident of American Samoa. During 2023, 

Terry received $20,000 of income from American Samoa 

sources (qualifies for exclusion) and $8,000 of income 

from sources outside the territory (subject to U.S. income 

tax). Terry’s allowable standard deduction for 2023 is figured as follows:

$8,000

$28,000 ×

$13,850

(regular standard 

deduction)

= $3,957

30 Chapter 4 Filing U.S. Tax Returns Publication 570 (2023)
Table 4-1. 2023 Filing Requirements Chart for Most Taxpayers

IF your filing status is... AND at the end of 2023 you were*...

THEN file a return if your gross income**

was at least...

Single under 65 $13,850

65 or older $15,700

Married filing jointly*** under 65 (both spouses) $27,700

65 or older (one spouse) $29,200

65 or older (both spouses) $30,700

Married filing separately any age $5

Head of household under 65 $20,800

65 or older $22,650

Qualifying surviving spouse under 65 $27,700

65 or older $29,200

* If you were born on January 1, 1959, you are considered to be age 65 at the end of 2023. (If your spouse died in 2023 or if you are preparing a return for 

someone who died in 2023, see Pub. 501.)

** Gross income means all income you received in the form of money, goods, property, and services that is not exempt from tax, including any income from 

sources outside the United States or from the sale of your main home (even if you can exclude part or all of it). Do not include any social security benefits 

unless (a) you are married filing a separate return and you lived with your spouse at any time during 2023, or (b) one-half of your social security benefits plus 

your other gross income and any tax-exempt interest is more than $25,000 ($32,000 if married filing jointly). If (a) or (b) applies, see the Instructions for Form 

1040 or Pub. 915 to figure the taxable part of social security benefits you must include in gross income. Gross income includes gains, but not losses, 

reported on Form 8949 or Schedule D. Gross income from a business means, for example, the amount on Schedule C, line 7, or Schedule F, line 9. But, in 

figuring gross income, do not reduce your income by any losses, including any loss on Schedule C, line 7, or Schedule F, line 9.

*** If you did not live with your spouse at the end of 2023 (or on the date your spouse died) and your gross income was at least $5, you must file a return 

regardless of your age.

Example 1. Casey and Riley Thompson, one over 65, 

are U.S. citizens and bona fide residents of Puerto Rico 

during the tax year. They file a joint income tax return. During 2023, they received $35,000 of income from Puerto 

Rico sources (qualifies for exclusion) and $6,000 of income from sources outside Puerto Rico (subject to U.S. 

income tax). Their allowable standard deduction for 2023 

is figured as follows:

$6,000

$41,000 ×

$29,200 (standard 

deduction for 65 or 

older (one spouse))

= $4,273

The Thompsons have to file a U.S. income tax return because their gross income subject to U.S. tax ($6,000) is 

more than their allowable standard deduction. ($6,000 − 

$4,273 = $1,727).

Example 2. Terry (see Example under Allowable 

standard deduction, earlier) must file a U.S. income tax return because their gross income subject to U.S. tax 

($8,000) is more than their allowable standard deduction 

($3,957).

If you must file a U.S. income tax return, you may 

be able to file electronically using IRS.gov/Efile. 

See the Instructions for Form 1040 or visit 

IRS.gov.

TIP

When To File

If you file on a calendar year basis, the due date for filing 

your U.S. income tax return is April 15 following the end of 

your tax year. If you use a fiscal year (a year ending on the 

last day of a month other than December), the due date is 

the 15th day of the 4th month after the end of your fiscal 

year. If any due date falls on a Saturday, Sunday, or legal 

holiday, your tax return is due on the next business day.

For your 2023 tax return, the due date is 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.

If you mail your federal tax return, it is considered timely 

if it bears an official postmark dated on or before the due 

date, including any extensions. If you use a private delivery service designated by the IRS, generally the postmark 

date is the date the private delivery service records in its 

database or marks on the mailing label. Go to 

IRS.gov/PDS for the current list of designated private delivery services.

Extension of Time To File

You can get an extension of time to file your U.S. income 

tax return. Special rules apply for those living outside the 

United States.

Publication 570 (2023) Chapter 4 Filing U.S. Tax Returns 31
Automatic 6-Month Extension

If you cannot file your 2023 return by the due date, you 

can get an automatic 6-month extension of time to file.

Example. If your return must be filed by April 15, 2024, 

you will have until October 15, 2024, to file.

Although you are not required to make a payment 

of the tax you estimate as due, Form 4868 does 

not extend the time to pay taxes. If you do not pay 

the amount due by the regular due date (generally, April 

15), you will owe interest on any unpaid tax from the original due date to the date you pay the tax. You may also be 

charged penalties (see Form 4868).

How to get the automatic extension. You can get the 

automatic 6-month extension if you do one of the following 

by the due date for filing your return.

• E-file Form 4868 using your personal computer or a 

tax professional.

• E-file and pay by credit or debit card. Your payment 

must be at least $1. You may pay by phone or over the 

Internet. Do not file Form 4868.

• File a paper Form 4868. If you are a fiscal year taxpayer, you must file a paper Form 4868.

See Form 4868 for information on getting an extension 

using these options.

When to file. You must request the automatic extension 

by the due date for your return. You can file your return any 

time before the 6-month extension period ends.

When you file your return. Enter any payment you 

made related to the extension of time to file on Schedule 3 

(Form 1040), line 10.

You cannot ask the IRS to figure your tax if you 

use the extension of time to file.

Individuals Outside the United States and 

Puerto Rico

You are allowed an automatic 2-month extension (until 

June 15, 2024, if you use the calendar year) to file your 

2023 return and pay any federal income tax due if:

1. You are a U.S. citizen or resident; and

2. On the due date of your return:

a. You are living outside of the United States and Puerto Rico, and your main place of business or post 

of duty is outside the United States and Puerto 

Rico; or

b. You are in military or naval service on duty outside 

the United States and Puerto Rico.

However, if you pay the tax due after the regular due 

date (generally, April 15), interest will be charged from 

April 15 until the date the tax is paid.

CAUTION

!

TIP

If you serve in a combat zone or qualified hazardous 

duty area, you may be eligible for a longer extension of 

time to file. For more information, see Pub. 3.

Married taxpayers. If you file a joint return, only one 

spouse has to qualify for this automatic extension. However, if you and your spouse file separate returns, this automatic extension applies only to the spouse who qualifies.

How to get the extension. To use this special automatic 

extension, you must attach a statement to your return explaining what situation qualified you for the extension. 

(See the situations listed in item 2 in the list above.)

Extension beyond 2 months. If you cannot file your 

2023 return within the automatic 2-month extension period, you can get an additional 4-month extension, for a total of 6 months. File Form 4868 by the end of the automatic extension period (June 15, 2024, for calendar year 

taxpayers). Be sure to check the box on Form 4868, line 8, 

if appropriate.

Extension beyond 6 months. In addition to this 

6-month extension, taxpayers who are out of the country 

(as defined in item 2 in the list above) can request a discretionary 2-month additional extension of time to file their 

returns (to December 15, 2024, for calendar year taxpayers).

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 for calendar year taxpayers) to:

Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

You will not receive any notification from the IRS unless 

your request is denied for being untimely.

Taxpayers Affected by Federally Declared 

Disasters

To find information on the most recent tax relief provisions 

for taxpayers affected by disaster situations, see Tax 

Relief in Disaster Situations on IRS.gov. See Pub. 547 for 

discussions on the special rules that apply to federally declared disaster areas.

Where To File

Use the addresses listed below if you have to file Form 

1040 or 1040-SR with the United States and you are excluding territory income from American Samoa or Puerto 

Rico.

If you are not including a check or money order, send 

your U.S. tax return and all attachments to:

32 Chapter 4 Filing U.S. Tax Returns Publication 570 (2023)
Department of the Treasury

Internal Revenue Service

Austin, TX 73301-0215

USA

If you are including a check or money order, send your 

U.S. tax return and all attachments to:

Internal Revenue Service

P.O. Box 1303

Charlotte, NC 28201-1303

USA

Send your U.S. return to these addresses if you 

are attaching Form 5074 or Form 8689. If you are 

not in either of the above categories, send your 

return to the address shown in the Instructions for Form 

1040 for the territory or state in which you reside.

Special Rules for Completing 

Your U.S. Tax Return

The following rules may apply if you are required to file a 

U.S. federal income tax return.

Earned income credit. If you are not excluding territory 

income from your U.S. tax return, follow the Instructions for 

Form 1040. However, you may not qualify to claim the 

earned income credit (EIC).

Even if you maintain a household in one of the territories discussed in this publication that is your main home 

and the home of your qualifying child, you cannot claim 

the EIC on your U.S. tax return. This credit is available 

only if you maintain the household in the United States or 

you are serving on extended active duty in the U.S. Armed 

Forces.

U.S. Armed Forces. U.S. military 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 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 do not serve 

more than 90 days.

Income from American Samoa or Puerto Rico excluded. You will not be allowed to take deductions and credits that apply to the excluded income. The additional information you need follows.

Deductions if Territory Income Is 

Excluded

Deductions that specifically apply to your excluded territory income are not allowable on your U.S. income tax return.

Deductions that do not specifically apply to any particular type of income must be divided between your excluded 

income from sources in the relevant territory and income 

from all other sources to find the part that you can deduct 

on your U.S. tax return. Examples of such deductions are 

alimony payments, the standard deduction, and certain 

itemized deductions (such as medical expenses, charitable contributions, real estate taxes, and mortgage interest 

on your home).

Note. Under section 11051 of P.L. 115-97 (TCJA), alimony payments are no longer deductible if the divorce or 

separation agreement is executed after December 31, 

2018, or if executed before January 1, 2019, but modified 

after December 31, 2018, the modification must state that 

section 11051 of P.L. 115-97 applies to the modification.

Figuring the deduction. To find the part of a deduction 

that is allowable, multiply the deduction by the following 

fraction:

Gross income subject to U.S. income tax

Gross income from all sources

(including excluded territory income)

Adjustments to Income

Your adjusted gross income equals your gross income minus certain deductions (adjustments).

Moving expense deduction. The deduction for moving 

expenses is suspended unless you are a member of the 

U.S. Armed Forces who moves pursuant to a military order and incident to a permanent change of station. For 

more information, see the separate discussions of the 

moving expense deduction for each territory in chapter 3.

Self-employment tax deduction. Generally, if you are 

reporting self-employment income on your U.S. return, 

you can include the deductible part of your self-employment tax on Schedule 1 (Form 1040), line 15. This is an 

income tax deduction only; it is not a deduction in figuring 

net earnings from self-employment (for self-employment 

tax).

However, if you are a bona fide resident of American 

Samoa or Puerto Rico and you exclude all of your self-employment income from gross income, you cannot take the 

deduction on Schedule 1 (Form 1040), line 15, because 

the deduction is related to excluded income.

If only part of your self-employment income is excluded, 

the part of the deduction that is based on the nonexcluded 

income is allowed. This would happen if, for instance, you 

have two businesses and only the income from one of 

them is excludable.

For purposes of the deduction only, figure the self-employment tax on the nonexcluded income by multiplying 

your total self-employment tax (from Schedule SE (Form 

1040)) by the following fraction:

Publication 570 (2023) Chapter 4 Filing U.S. Tax Returns 33
Self-employment income

subject to U.S. income tax

Total self-employment income

(including excluded territory income)

The result is your self-employment tax on nonexcluded income. Include the deductible part of this amount on 

Schedule 1 (Form 1040), line 15.

Individual retirement arrangement (IRA) deduction. 

Do not take excluded income into account when figuring 

your deductible IRA contribution.

Standard Deduction

Disaster tax relief. If you are allowed to claim the standard deduction, and you had a net qualified disaster loss 

resulting from certain federally declared disasters (see 

IRS.gov/DisasterTaxRelief), you can elect to increase your 

standard deduction by the amount of your net qualified 

disaster loss. You must report your increased standard deduction on Schedule A (Form 1040).

To figure your net qualified disaster loss, see Form 

4684 and its instructions. For more information on how to 

report the increased standard deduction, see Line 16 in 

the Instructions for Schedule A (Form 1040).

The standard deduction is composed of the regular 

standard deduction amount and the additional standard 

deduction for taxpayers who are blind or age 65 or over.

To find the amount you can claim on Form 1040 or 

1040-SR, line 12, first figure your full standard deduction 

according to the Instructions for Form 1040. Then multiply 

your full standard deduction by the following fraction:

Gross income subject to U.S. income tax

Gross income from all sources

(including excluded territory income)

In the space above line 9, enter “Standard deduction 

modified due to income excluded under section 931 (if 

American Samoa) or section 933 (if Puerto Rico).”

This calculation may not be the same as the one 

you used to determine if you need to file a U.S. tax 

return.

Itemized Deductions

Disaster tax relief. If you had a net qualified disaster 

loss resulting from certain federally declared disasters 

(see IRS.gov/DisasterTaxRelief), you may be allowed to 

claim the net qualified disaster loss on Schedule A (Form 

1040). Also, if certain requirements are met, you may be 

able to make an election to deduct the loss in 2022.

To figure your net qualified disaster loss, see Form 

4684 and its instructions. For more information on how to 

report a net qualified disaster loss as an itemized deduction, see the Instructions for Schedule A (Form 1040).

CAUTION

!

Most itemized deductions do not apply to a particular 

type of income. However, itemized deductions can be divided into three categories.

• Those that apply specifically to excluded income are 

not deductible.

• Those that apply specifically to income subject to U.S. 

income tax are fully allowable under the Instructions 

for Schedule A (Form 1040).

• Those that do not apply to specific income must be allocated between your gross income subject to U.S. income tax and your total gross income from all sources.

The example given later shows how to figure the deductible part of each type of expense that is not related to 

specific income.

Example. In 2023, you and your spouse are both under 65 and U.S. citizens who are bona fide residents of 

Puerto Rico during the tax year. You file a joint income tax 

return. During 2023, you earned $24,000 from Puerto Rico 

sources (excluded from U.S. gross income) and your 

spouse earned $96,000 from the U.S. Government. You 

have $42,250 of itemized deductions that do not apply to 

any specific type of income. These are medical expenses 

of $11,000, real estate taxes of $10,000, home mortgage 

interest of $16,250, and charitable contributions of $5,000 

(cash contributions). You determine the amount of each 

deduction that you can claim on your Schedule A (Form 

1040), Itemized Deductions, by multiplying the deduction 

by the fraction shown under Figuring the deduction, earlier, under Deductions if Territory Income Is Excluded.

Medical Expenses

$96,000

$120,000  × $11,000 =

$8,800 

(enter on line 1 

of Schedule A)

Real Estate Taxes

$96,000

$120,000 × $10,000 =

$8,000 

(enter on line 5b 

of Schedule A)

Home Mortgage Interest

$96,000

$120,000 × $16,250 =

$13,000 

(enter on 

line 8a of Schedule A)

Charitable Contributions (cash 

contributions)

$96,000

$120,000  × $5,000 =

$4,000 

(enter on line 11 

of Schedule A)

Enter on Schedule A (Form 1040) only the allowable 

portion of each deduction.

Foreign Tax Credit if Territory Income 

Is Excluded

If you must report American Samoa or Puerto Rico source 

income on your U.S. tax return, you can claim a foreign tax 

34 Chapter 4 Filing U.S. Tax Returns Publication 570 (2023)
credit for income taxes paid to the territory on that income. 

However, you cannot claim a foreign tax credit for taxes 

paid on territory income that is excluded on your U.S. tax 

return. The foreign tax credit is generally figured on Form 

1116.

If you have income, such as U.S. Government wages, 

that is not excludable, and you also have territory source 

income that is excludable, you must figure the credit by reducing your foreign taxes paid or accrued by the taxes 

based on the excluded income. You make this reduction 

for each separate income category. To find the amount of 

this reduction, use the following formula for each income 

category.

Excluded income from territory 

sources less deductible 

expenses based on that income

x

Tax paid or 

accrued to the 

territory

=

Reduction in 

Total income subject to territory foreign taxes

tax less deductible expenses 

based on that income 

Enter the amount of the reduction on Form 1116, 

line 12.

For more information on the foreign tax credit, see Pub. 

514.

Example. Jessie and Jamie Reddy (both under 65) 

are U.S. citizens who were bona fide residents of Puerto 

Rico during all of 2023. They file a joint tax return. The following table shows their excludable and taxable income 

for U.S. federal income tax purposes.

Taxable Excludable 

Jessie’s wages from 

U.S. Government ......... $25,000 

Jamie’s wages from Puerto Rico 

corp. ................. $15,000 

Dividend from Puerto Rico corp. 

doing business in Puerto 

Rico ................. 200 

Dividend from U.S. 

corp. doing business 

in U.S.* ............... 1,000 

Totals ................. $26,000 $15,200 

* Income from sources outside Puerto Rico is taxable.

Jessie and Jamie must file 2023 income tax returns 

with both Puerto Rico and the United States. They have 

gross income of $26,000 for U.S. tax purposes. They paid 

taxes to Puerto Rico of $4,000 ($3,980 on their wages and 

$20 on the dividend from the Puerto Rico corporation). 

They figure their foreign tax credit on two Forms 1116, 

which they must attach to their U.S. return. They fill out 

one Form 1116 for wages (general category income) and 

one Form 1116 for the dividend (passive category income). Jessie and Jamie figure the Puerto Rico taxes on 

excluded income as follows.

Wages: ($15,000 ÷ $40,000) × $3,980 = $1,493

Dividend: ($200 ÷ $200) × $20 = $20

They enter $1,493 on Form 1116, line 12, for wages 

and $20 on the second Form 1116, line 12, for the dividend.

Self-Employment Tax

Self-employment tax includes both social security and 

Medicare taxes for individuals who are self-employed.

A U.S. citizen or resident alien who is self-employed 

must pay self-employment tax to the IRS on net self-employment earnings of $400 or more. This rule applies 

whether or not the earnings are excludable from gross income (or whether or not a U.S. income tax return must 

otherwise be filed). Bona fide residents of the territories 

discussed in this publication are considered U.S. residents for this purpose and are subject to the self-employment tax.

Coronavirus tax relief. See Form 1040-SS and its instructions regarding coronavirus tax relief provisions applicable to filers of Form 1040-SS.

Forms to file. If you have net self-employment income 

and are subject to self-employment tax, file one of the following with the United States.

• If you are required to file Form 1040 or 1040-SR with 

the United States, complete Schedule SE (Form 1040) 

and attach it to your Form 1040 or 1040-SR.

• If you are not required to file Form 1040 or 1040-SR 

with the United States and you are a bona fide resident of American Samoa, the CNMI, Guam, Puerto 

Rico, or the USVI, file Form 1040-SS. Do not file Form 

1040-SS with Form 1040 or 1040-SR.

• If you are required to pay Additional Medicare Tax (discussed later) on your self-employment income, attach 

Form 8959 to Form 1040, Form 1040-SR, or Form 

1040-SS, as applicable.

Chapter 11 bankruptcy cases. While you are a debtor 

in a chapter 11 bankruptcy case, your net profit or loss 

from self-employment will be included on the Form 1041 

(income tax return) of the bankruptcy estate. However, 

you—not the bankruptcy estate—are responsible for paying self-employment tax on your net earnings from 

self-employment.

Use Schedule SE (Form 1040) or Form 1040-SS, as 

determined above, to figure your correct amount of 

self-employment tax.

For other reporting requirements, see Chapter 11 Bankruptcy Cases in the Instructions for Form 1040.

Additional Medicare Tax

A 0.9% Additional Medicare Tax applies to Medicare wages, railroad retirement (RRTA) compensation, and 

self-employment income that are more than $125,000 if 

married filing separately; $250,000 if married filing jointly; 

or $200,000 if single, head of household, or qualifying surviving spouse.

Publication 570 (2023) Chapter 4 Filing U.S. Tax Returns 35
Medicare wages and self-employment income are 

combined to determine if income exceeds the threshold. A 

self-employment loss should not be considered for purposes of this tax. RRTA compensation should be separately 

compared to the threshold.

Your employer is responsible for withholding the 0.9% 

Additional Medicare Tax on Medicare wages or RRTA 

compensation it pays to you in excess of $200,000. You 

should consider this withholding, if applicable, in determining whether you need to make estimated tax payments.

There are no special rules for U.S. citizens and nonresident aliens living abroad for purposes of this provision. 

Wages, RRTA compensation, and self-employment income that are subject to Medicare tax will also be subject 

to Additional Medicare Tax if in excess of the applicable 

threshold.

For more information, see Form 8959 and its instructions, or visit IRS.gov/ADMT.

You cannot include the Additional Medicare Tax 

as a deductible part of your self-employment tax.

Net Investment Income Tax

The Net Investment Income Tax (NIIT) imposes a 3.8% tax 

on the lesser of an individual’s net investment income or 

the excess of the individual’s modified adjusted gross income over a specified threshold amount. Bona fide residents of Puerto Rico and American Samoa who may have 

a federal income tax return filing obligation may be liable 

for the NIIT if the taxpayer’s modified adjusted gross income from non-territory sources exceeds a specified 

threshold amount. The NIIT does not apply to any individual who is a nonresident alien with respect to the United 

States. Bona fide residents must take into account any additional tax liability associated with the NIIT when calculating the estimated tax payments. Because bona fide residents of the CNMI, Guam, and the U.S. Virgin Islands 

generally do not have a federal income tax return filing obligation, these persons generally do not have an NIIT filing 

or payment obligation with the United States IRS. Bona 

fide residents of the CNMI, Guam, and the U.S. Virgin Islands should contact their local territorial tax department 

for guidance on the mirrored application of the NIIT under 

the territorial income tax laws of these jurisdictions.

Forms to file. If you are a bona fide resident of American 

Samoa or Puerto Rico and you are required to pay the 

NIIT, you must file Form 1040 or 1040-SR with the United 

States and attach Form 8960. For more information, see 

Form 8960 and its instructions.

Paying Your Taxes

You may find that not all of your income tax has been paid 

through withholding to either the United States or the territory. This is often true if you have income that is not 

CAUTION

!

subject to withholding, such as self-employment, interest, 

or rental income. In this situation, you may need to make 

estimated tax payments.

Estimated Tax

If your estimated income tax obligation is to the United 

States, use the worksheet in Form 1040-ES to figure your 

estimated tax, including self-employment tax. Include the 

Additional Medicare Tax and Net Investment Income Tax, 

if applicable. If you are paying by check or money order, 

use the payment vouchers in the Form 1040-ES, or you 

can make your payments electronically and not have to file 

any paper forms. See Form 1040-ES for information on 

making payments.

Double Taxation

Mutual agreement procedures exist to settle issues where 

there is inconsistent tax treatment between the IRS and 

the taxing authorities of the following territories.

• American Samoa.

• The Commonwealth of Puerto Rico.

• The Commonwealth of the Northern Mariana Islands.

• Guam.

• The U.S. Virgin Islands.

These issues usually involve allocations of income, deductions, credits, or allowances between related persons; 

determinations of residency; and determinations of the 

source of income and related expenses.

Competent Authority Assistance

The tax coordination agreements between the United 

States and the territory tax departments contain provisions allowing the competent authorities of the United 

States and the relevant territory to resolve, by mutual 

agreement, inconsistent tax treatment by the two jurisdictions.

How to make your request. Your request for competent 

authority assistance must be in the form of a letter addressed to the Commissioner, Large Business & International Division. It must contain a statement that competent 

authority assistance is requested under the mutual agreement procedure with the territory. You (or a person having 

authority to sign your federal return) must sign and date 

the request. For more information, see Revenue Procedure 2006-23, available at IRS.gov/irb/

2006-20_IRB#RP-2006-23.

Go to IRS.gov/Individuals/International-Taxpayers/

Competent-Authority-Arrangements for information on the 

Competent Authority Arrangements for the territories.

36 Chapter 4 Filing U.S. Tax Returns Publication 570 (2023)
Revenue Procedure 2015-40 includes procedures 

for requests for assistance from the U.S. competent authority arising under U.S. tax treaties. Procedures for requesting assistance of the U.S. competent 

authority in addressing inconsistencies in tax treatment by 

the IRS and a U.S. territory are under Revenue Procedure 

2006-23, available at IRS.gov/irb/

2006-20_IRB#RP-2006-23.

Nonresident aliens must generally present their 

initial request for assistance to the relevant territory tax agency.

Send your written request for U.S. assistance under this procedure to:

Commissioner, Large Business

and International Division

Internal Revenue Service

SE:LB:TTPO:APMA:TAIT:K

1111 Constitution Avenue NW

Washington, DC 20224

USA

(Attention: TAIT)

Credit or Refund

In addition to the tax assistance request, if you seek a 

credit or refund of any overpayment of U.S. tax paid on the 

income in question, you should file a claim on Form 

1040-X. Indicate on the form that a request for assistance 

under the mutual agreement procedure with the territory 

has been filed. Attach a copy of the request to the form.

Also, you should take whatever steps must be taken under the territory tax code to prevent the expiration of the 

statutory period for filing a claim for credit or refund of a 

territory tax.

See Revenue Procedure 2006-23 (or its successor), 

section 9, for complete information on protective measures involving inconsistencies in tax treatment by the IRS 

and a U.S. territory, available at IRS.gov/irb/

2006-20_IRB#RP-2006-23. For additional information on 

protective claims related to requests for assistance arising 

under U.S. tax treaties, see Revenue Procedure 2015-40, 

available at IRS.gov/irb/2015-35_IRB#RP-2015-40.

5.

How To Get Tax Help

Assistance for overseas taxpayers is available in the United States and certain foreign locations.

TIP

CAUTION

!

Taxpayer Assistance Inside the 

United States

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.

Publication 570 (2023) Chapter 5 How To Get Tax Help 37
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 

matters. For more information on how to choose a tax preparer, go to Tips for Choosing a Tax Preparer on IRS.gov.

CAUTION

!

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.

38 Chapter 5 How To Get Tax Help Publication 570 (2023)
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, 

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

!

Publication 570 (2023) Chapter 5 How To Get Tax Help 39
• 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

!

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;

40 Chapter 5 How To Get Tax Help Publication 570 (2023)
• 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.

Taxpayer Assistance Outside 

the United States

If you are outside the United States, you can call 

267-941-1000 (English-speaking only). This number is not toll free.

Fax 681-247-3101 (for international tax account 

issues only).

If you wish to write instead of calling, please address your letter to:

Internal Revenue Service

International Accounts

Philadelphia, PA 19255-0725

U.S.A.

Additional contacts for taxpayers who live outside the United States are available at IRS.gov/uac/Contact-My-LocalOffice-Internationally.

Taxpayer Advocate Service (TAS). If you live outside of 

the United States, you can contact TAS at:

Internal Revenue Service

Taxpayer Advocate Service

City View Plaza, 48 Carr 165, 5th floor, Suite 200

Guaynabo, PR 00968-8000

You can call TAS toll free at 877-777-4778. If you 

live outside of the United States, you can call TAS 

at 787-522-8601 in English or 787-522-8600 in 

Spanish.

For more information on TAS and contacts if you are 

outside of the United States, go to IRS.gov/Advocate/

Local-Taxpayer-Advocate/Contact-Your-Local-TaxpayerAdvocate.

Publication 570 (2023) Chapter 5 How To Get Tax Help 41
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 Medicare Tax 4, 17, 19, 

23, 26, 29, 35

Aliens:

Nonresident (See specific territory)

Resident (See specific territory)

American Samoa 16-18

Form 4563 17

Armed forces, U.S.:

Bona fide residence 4

Armed Forces, U.S.

Earned income credit 33

Source of income 11

Spouse 4, 12, 21, 23, 26, 29

Assistance (See Tax help)

Awards and prizes 15

B

Bankruptcy cases, Chapter 11 35

Bona fide residence 4-10

Closer connection 8, 9

Year of move 9, 10

Presence test 5

Child, defined 5

Nonresident aliens 5

Qualifying medical treatment 6

Territory, days in 6

U.S., days in 6

Reporting change in residency 

status 10

Penalty for not reporting 10, 11

Tax home 8

Exceptions 8

Government officials 8

Seafarers 8

Students 8

Year of move 8-10

Tests to meet 4

U.S. Armed Forces 4

Year of move 9, 10

Puerto Rico 10

C

Change in residency status, 

reporting 10

Penalty for not reporting 10, 11

Change of address 3

Form 8822

Child, defined 5

Closer connection 8, 9

Year of move 9, 10

CNMI 24

CNMI tax return 23

Commonwealth of Puerto 

Rico 18-21

Commonwealth of the Northern 

Mariana Islands 21

Form 5074 22

Compensation for labor or 

personal services 11-13

Alternative basis 12, 13

Multi-year compensation 12

Time basis 12

Competent Authority 

Assistance 36

How to make your request 36

Protective Claim 37

Credits

Earned income 33

Foreign tax 34, 35

D

Days of presence in a territory

Presence test:

Territory, days in 5

Days of presence in the United 

States

Charitable sports event 6

Full-time student 7

Presence test:

U.S., days in 6

Qualifying medical treatment 6

School 7

Student 7

Days of Presence in the United 

States or Relevant Territory 5

Deductions:

IRA contribution 34

Moving expenses:

U.S. return 33

Self-employment tax, one-half of 33

Standard deduction 34

Deductions if Territory Income Is 

Excluded 33

Dispositions of certain property, 

special rules for 14

Dividends 13

Double taxation, inconsistent tax 

treatment

Mutual agreement procedure 36

E

Earned income credit 33

Effectively connected income 15

Estimated tax payments 17, 19, 23, 

26, 29, 36

Extension of time to file:

U.S. Virgin Islands 29

Extension of time to file U.S. 

return 31

Automatic 6-Month Extension 32

Extension beyond 2 months 32

Extension beyond 6 months 32

Form 4868 32

How to get the automatic 

extension 32

Individuals outside the United 

States and Puerto Rico 32

Married taxpayers 32

Married taxpayers, how to get the 

extension 32

When to file 32

When you file your return 32

F

Filing requirements 27

American Samoa 16-18

Form 4563 17

CNMI 24

Commonwealth of the Northern 

Mariana Islands 21

Form 5074 22

E-file-options, U.S. return 31

Guam 24-27

Form 5074 25

Puerto Rico 18-21

Territories 15, 29

U.S. Virgin Islands 29

Form 1040INFO 27

Form 4868 29

Form 8689 28

Foreign tax credit 34, 35

Form

1040-ES 36

1040-NR 17, 20, 22, 25, 28

1040-SS 17, 23, 26, 29

1040INFO 27

1116 34, 35

3903 33

4563 17

4868 29

5074 22, 25

8689 28

8898 10, 11

Schedule A (Form 1040 or 

1040-SR) 34

Schedule SE (Form 1040 or 

1040-SR) 35

Form 8938, Statement of Specified 

Foreign Financial Assets, 3

Fringe benefits 12

G

Government employees, U.S. 

(See specific territory)

Grants 15

Guam 24-27

Form 5074 25

42 Publication 570 (2023)
I

Income

Awards and prizes 15

Effectively connected income 15

Grants 15

Investments 13

Labor or personal services 11, 13

Pensions 13

Sales or other dispositions of 

property 13-15

Scholarships and fellowships 15

Services performed partly within a 

territory 12, 13

Source of 11

U.S. Armed Forces 11

U.S. income rule 11

Income from American Samoa or 

Puerto Rico excluded:

Deductions if income from American 

Samoa or Puerto Rico 

excluded 33

Income from American Samoa or 

Puerto Rico excluded. 33

Interest income 13

Inventory:

Sales or other dispositions of 13

Investment income 13

IRA deduction 34

Itemized deductions 34

M

Medical treatment, qualifying 6

Moving expense deduction:

U.S. return 33

N

Net Investment Income Tax 4, 17, 

19, 36

Nonresident alien (See specific 

territory)

Northern Mariana Islands 21-24

P

Paying your taxes 36

Penalty

Failure to report change in 

residency status 10, 11

Pension income 13

Permanent home 7

Personal property:

Sales or other dispositions of 13

Personal service income 11-13

Presence test 5

Child, defined 5

Nonresident aliens 5

Qualifying medical treatment 6

Significant connection:

Permanent home 7

Territory, days in 5, 6

U.S., days in 6

Prizes 15

Publications (See Tax help)

Puerto Rico 18-21

Bona fide residence:

Year of move 10

Q

Qualifying medical treatment 6

R

Real property:

Sales or other dispositions of 13

Reminders 1

Additional Medicare Tax 2

Earned income credit (EIC) 3

Electronic filing 3

Expired ITIN 2

Individual taxpayer identification 

numbers (ITINs) for aliens 2

Net Investment Income Tax 2

Self-employment tax 2

Rental income 13

Report a change of bona fide 

residence 3

Resident alien (See specific territory)

Royalty income 13

S

Scholarships and fellowships 15

Self-employment tax:

U.S. return 35

Self-employment tax deduction 33

Services performed partly within a 

territory 12, 13

Significant Connection 7

Source of income 11-15

Awards and prizes 15

Effectively connected income 15

Grants 15

Investment income 13

Labor or personal services 11, 13

Pensions 13

Sales or other dispositions of 

property 13-15

Scholarships and fellowships 15

Services performed partly within a 

territory 12, 13

U.S. Armed Forces 11

U.S. income rule 11

Special rules for filing (See specific 

territory)

Special rules for gains from 

dispositions of certain 

property 14

Standard deduction 34

T

Tables:

U.S. filing requirements for most 

taxpayers (Table 4-1) 31

U.S. source of income 

(Table 2-1) 11

Tax help 37

Tax home 8

Exceptions 8

Government officials 8

Seafarers 8

Students 8

Year of move 8-10

Taxpayer Advocate Service 2

Territories, list of 3

Territory source income 11-15

Awards and prizes 15

Effectively connected income 15

Grants 15

Investment income 13

Labor or personal services 11, 13

Pensions 13

Sales or other dispositions of 

property 13-15

Scholarships and fellowships 15

Services performed partly within a 

territory 12, 13

U.S. Armed Forces 11

U.S. income rule 11

U

U.S. Armed Forces

Bona fide residence 4

Earned income credit 33

Source of income 11

Spouse 4, 12, 21, 23, 26, 29

U.S. Government employees 

(See specific territory)

U.S. income rule 11

U.S. return with excluded 

income 33

U.S. return, territory income 

excluded on 33-35

Credits:

Earned income credit 33

Foreign tax credit 34, 35

Deductions:

IRA contribution 34

Itemized deductions 34

Moving expenses 33

Self-employment tax, one-half 

of 33

Standard deduction 34

U.S. taxation of territory income, to 

get information on 4

U.S. Virgin Islands 27-29

Form 1040INFO 27

Form 4868 29

Form 8689 28

V

Virgin Islands, U.S. 27-29

W

What's New:

Maximum income subject to social 

security tax 1

Optional methods to figure net 

earnings 1

Publication 570 (2023) 43
Standard deduction amount 

increased 1

When to file

U.S. return 31

Where To File

U.S. return 32

Which return to file (See specific 

territory)

Who must file:

U.S. return 31

44 Publication 570 (2023)