Form 5074 

Department of the Treasury 

Internal Revenue Service 

Allocation of Individual Income Tax to Guam or the 

Commonwealth of the Northern Mariana Islands (CNMI)

▶ Go to www.irs.gov/Form5074 for the latest information.

▶ Attach to Form 1040 or 1040-SR.

OMB No. 1545-0074

2019

Attachment 

Sequence No. 168

Name(s) shown on Form 1040 or 1040-SR Your social security number 

Part I Income From Guam or the CNMI Reported on Form 1040, 1040-SR, or Schedule 1 (Form 1040 or 1040-SR), 

Part I

Guam CNMI 

1 Wages, salaries, tips, etc. . . . . . . . . . . . . . . . . . . . . 1 

2 Taxable interest . . . . . . . . . . . . . . . . . . . . . . . 2 

3 Ordinary dividends . . . . . . . . . . . . . . . . . . . . . . 3 

4 Taxable refunds, credits, or offsets of local Guam or CNMI income taxes . . . . 4 

5 Alimony received . . . . . . . . . . . . . . . . . . . . . . . 5 

6 Business income or (loss) . . . . . . . . . . . . . . . . . . . . 6 

7 Capital gain or (loss) . . . . . . . . . . . . . . . . . . . . . . 7 

8 Other gains or (losses) . . . . . . . . . . . . . . . . . . . . . 8 

9 IRA distributions (taxable amount) . . . . . . . . . . . . . . . . . 9 

10 Pensions and annuities (taxable amount) . . . . . . . . . . . . . . . 10 

11 Rental real estate, royalties, partnerships, S corporations, trusts, etc. . . . . . . 11 

12 Farm income or (loss) . . . . . . . . . . . . . . . . . . . . . 12 

13 Unemployment compensation . . . . . . . . . . . . . . . . . . 13 

14 Social security benefits (taxable amount) . . . . . . . . . . . . . . . 14 

15 Other income. List type and amount ▶ 15 

16 Total income. Add lines 1 through 15 . . . . . . . . . . . . . . . ▶ 16 

Part II Adjustments to Income From Guam or the CNMI Reported on Schedule 1 (Form 1040 or 1040-SR), 

Part II 

17 Educator expenses . . . . . . . . . . . . . . . . . . . . . . 17 

18 Certain business expenses of reservists, performing artists, and fee-basis government 

officials . . . . . . . . . . . . . . . . . . . . . . . . . . 18 

19 Health savings account deduction . . . . . . . . . . . . . . . . . 19 

20 Moving expenses for members of the armed forces . . . . . . . . . . . 20 

21 Deductible part of self-employment tax . . . . . . . . . . . . . . . 21 

22 Self-employed SEP, SIMPLE, and qualified plans . . . . . . . . . . . . 22 

23 Self-employed health insurance deduction . . . . . . . . . . . . . . 23 

24 Penalty on early withdrawal of savings . . . . . . . . . . . . . . . . 24 

25 IRA deduction . . . . . . . . . . . . . . . . . . . . . . . . 25 

26 Student loan interest deduction . . . . . . . . . . . . . . . . . . 26 

27 Tuition and fees deduction. See instructions . . . . . . . . . . . . . . 27 

28 Add lines 17 through 27 . . . . . . . . . . . . . . . . . . . . . 28 

29 Adjusted gross income. Subtract line 28 from line 16 . . . . . . . . . ▶ 29 

Part III Payments of Income Tax to Guam or the CNMI 

30 Payments on estimated tax return filed with Guam or the CNMI . . . . . . . 30 

31 Income tax withheld from your wages while employed by the U.S. Government as a 

civilian in Guam or the CNMI . . . . . . . . . . . . . . . . . . . 31 

32 Income tax withheld from your wages while employed as a member of the 

U.S. Armed Forces in Guam or the CNMI . . . . . . . . . . . . . . . 32 

33 Income tax withheld from your wages earned in Guam or the CNMI other than 

amounts on lines 30 through 32 . . . . . . . . . . . . . . . . . . 33 

34 Total payments. Add lines 30 through 33 . . . . . . . . . . . . . . ▶ 34 

For Paperwork Reduction Act Notice, see the Instructions for Forms 1040 and 1040-SR. Cat. No. 42243X Form 5074 (2019)
[This page left blank intentionally]
Form 5074 (2019) Page 3 

Section references are to the Internal Revenue Code unless 

otherwise noted.

Instructions

Purpose of form. Form 5074 provides information to the United

States so the IRS can figure the individual income tax that is 

due to Guam or the CNMI.

Who must file. If you were a U.S. citizen or resident alien (other

than a bona fide resident of Guam or the CNMI), you may need 

to file Form 5074. Complete this form if all of the following apply 

to you (and to your spouse if filing a joint return).

• You file a U.S. income tax return.

• You report adjusted gross income (AGI) of $50,000 or more.

• At least $5,000 of the gross income on your return is from 

either Guam or CNMI sources.

Joint returns. If you file jointly and only one spouse is a bona

fide resident of Guam or the CNMI for the entire tax year, the

resident status for both spouses and subsequent tax treatment

is determined by the spouse with the higher AGI (disregarding 

community property laws). File Form 5074 only if the spouse 

with the higher AGI is not a bona fide resident of Guam or the 

CNMI for the entire tax year.

Where to file. If you are not enclosing a check or money order, 

file your Form 1040 or 1040-SR (including Form 5074) with the 

Department of the Treasury, Internal Revenue Service Center,

Austin, TX 73301-0215 USA.

If you are including a check or money order, file your return 

with the Internal Revenue Service, P.O. Box 1303, Charlotte, NC 

28201-1303 USA.

Amended returns. Send your Form 1040-X to the IRS at the 

address in the Instructions for Form 1040-X.

Additional information. Pub. 570 has more information and an

example of how to complete Form 5074. To get Pub. 570, see

How To Get Tax Help in the Instructions for Forms 1040 and 

1040-SR.

Part I—Income From Guam or the CNMI Reported on 

Form 1040, 1040-SR, or Schedule 1 (Form 1040 or 

1040-SR), Part I

Note: See Schedule 1 (Form 1040 or 1040-SR), Part I, for 

additional income from Guam or the CNMI not reported on 

Form 1040 or 1040-SR, page 2.

Source of income. The rules for determining the source of

income are explained in sections 861 through 865 and section 

937, Regulations section 1.937-2, and chapter 2 of Pub. 570.

Some general rules are:

• The source of wages, salaries, or tips generally is where the 

services are performed. If you worked both in and outside Guam 

or the CNMI, include on line 1 only wages, salaries, or tips 

earned while you were in Guam or the CNMI. However, certain 

income earned while temporarily performing services in Guam 

or the CNMI will not be considered income from Guam or the 

CNMI. 

De minimis exception. This is an exception to the general 

rule for determining the source of income earned in Guam or the 

CNMI. Generally, income from Guam or the CNMI does not 

include compensation for services performed in Guam or the 

CNMI if during 2019 you:

• Were a U.S. citizen or resident;

• Were not a bona fide resident of Guam or the CNMI;

• Were not employed by or under contract with an individual, 

partnership, or corporation that is engaged in a trade or 

business in Guam or the CNMI;

• Temporarily performed services in Guam or the CNMI for 90 

days or less; and

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

Active duty U.S. Armed Forces. If you are a bona fide 

resident of Guam or the CNMI and are stationed outside your 

territory of residence, your military compensation will be 

sourced in Guam or the CNMI, as applicable, under the 

Servicemembers Civil Relief Act (SCRA). If you are not a bona 

fide resident of one of those territories but perform services in 

one of them, however, your military compensation will not be 

sourced there. For further details, see Pub. 570.

Military spouses. If you are the civilian spouse of a member 

of the U.S. Armed Forces, work in Guam or the CNMI, and 

retain a residence or domicile in one of the 50 states or the 

District of Columbia under the Military Spouses Residency Relief 

Act (MSRRA), your wages, salaries, tips, and self-employment 

income will not be considered income from Guam or the CNMI. 

Under MSRRA, the military spouse must be in Guam or the 

CNMI solely to be with his/her servicemember spouse who is 

serving in compliance with military orders. For details on 

MSRRA, see Pub. 570.

• The source of interest income generally is where the payer is 

located. For example, Guam or CNMI source income includes 

interest from a certificate of deposit issued by a bank or branch 

of a U.S. bank in Guam or the CNMI.

• Generally, dividends are sourced where the paying 

corporation is created or organized.

• Taxable refunds, credits, or offsets of local Guam or CNMI 

income taxes only include nonmirror code income taxes.

• Alimony received from a person who is a bona fide resident of 

Guam or the CNMI is sourced in that specific territory.

• Except as provided in regulations, income earned after 

December 31, 2004, that is from sources within the United 

States or effectively connected with the conduct of a trade or 

business in the United States is not income from Guam or the 

CNMI.

• The source of gains, profits, or income from the sale or 

disposition of real property (and any interest in real property) 

generally is where the real property is located.

Personal property. The source of income from the sale of 

nondepreciable personal property generally is the seller’s 

residence. For example, if you are a bona fide resident of Guam 

or the CNMI, gain from the sale or disposition of personal 

property generally is from sources within Guam or the CNMI. 

Income from the sale of inventory generally is sourced where 

the title to the property passes. See section 865 for details. 

▲!

CAUTION

Special rules may apply to bona fide residents of U.S. 

territories who have gain from dispositions of certain 

investment property within the 10-year period 

beginning when they became a bona fide resident. 

For details, see Special Rules for Gains From Dispositions of 

Certain Property, in chapter 2 of Pub. 570, Regulations section 

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

Part II—Adjustments to Income From Guam or the 

CNMI Reported on Schedule 1 (Form 1040 or 

1040-SR), Part II

Note: See Schedule 1 (Form 1040 or 1040-SR), Part II, for 

adjustments to income from Guam or the CNMI.

Line 20. For tax years beginning after December 31, 2017, and 

before January 1, 2026, a moving expense deduction is only 

allowed for a member of the U.S. Armed Forces who moves 

pursuant to a military order and incident to a permanent change 

of station.

Lines 21 through 23. If you had Guam or CNMI source selfemployment income, figure the amount to enter on each line by 

(1) dividing your Guam or CNMI source self-employment income 

by your total (worldwide) self-employment income, and (2)

multiplying the total amount of each deduction that applies to 

you by the result in (1).
Form 5074 (2019) Page 4 

Line 24. Enter the amount of penalty on early withdrawals from

savings accounts in banks or branches of U.S. banks located in

Guam or the CNMI. The Form 1099-INT or Form 1099-OID you

received will show the amount of any penalty you were charged.

Line 25. Enter the total of your and your spouse’s IRA 

deductions attributable to Guam or CNMI compensation or 

earned income. Figure the amount to report on line 25 by (1) 

dividing your Guam or CNMI compensation or earned income 

by your total (worldwide) compensation or earned income, and 

(2) multiplying the amount of your IRA deduction by the result in 

(1). Figure the amount of your spouse’s IRA deduction the same 

way.

Line 27. Tuition and fees deduction. Enter the total of your 

tuition and fees deduction from Schedule 1 (Form 1040 or 1040-

SR) attributable to your Guam or CNMI income. Figure the 

amount to report on line 27 by (1) dividing your Guam or CNMI 

income by your total (worldwide) income, and (2) multiplying the 

amount of your tuition and fees deduction by the result in (1).

Note: The tuition and fees deduction had expired for 2018, but 

has since been extended. If you are now eligible to take the 

deduction for 2018, you can file an amended tax return with 

the IRS using Form 1040-X. For more information, go to 

www.irs.gov/Form1040X. Also, see Amended returns, earlier.

Line 28. Include in the total on line 28 the amount of any other

deductions included on Schedule 1 (Form 1040 or 1040-SR), 

line 22, that are attributable to your Guam or CNMI income. On 

the dotted line next to line 28, enter the amount of each 

deduction attributable to your Guam or CNMI income and 

identify it as you did on Schedule 1 (Form 1040 or 1040-SR), 

line 22. If you or your spouse had an Archer Medical Savings 

Account deduction on Schedule 1 (Form 1040 or 1040-SR), line 

22, figure the amount to report on line 28 the same way you

would an IRA deduction (see Line 25 above).

Line 29. Adjusted gross income from worldwide sources is 

reported on line 8b of Form 1040 or 1040-SR.

Penalty for Failure To Furnish Information

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

territory, you may be required to file Form 8898, Statement for 

Individuals Who Begin or End Bona Fide Residence in a U.S. 

Possession. If you fail to provide the required information, you 

may have to pay a $1,000 penalty for each failure unless you 

can show the failure was due to reasonable cause and not willful 

neglect. This penalty is in addition to any criminal penalty 

provided by law. For details, see the Instructions for Form 8898.