IRS Publication 570: Tax Guide For Individuals With Income From U.S. Possessions

DEFINITION of 'IRS Publication 570: Tax Guide For Individuals With Income From U.S. Possessions'

A document published by the Internal Revenue Service (IRS) that provides information for tax filers with investments in U.S.-guided territories and possessions. IRS Publication 570 outlines the requirements for being considered a resident of a U.S. possession and the rules for determining the source of income. Bona fide residents of a possession may be required to fill out a U.S. tax return, a possession tax return or both.


United States possessions include Puerto Rico, American Samoa, the Commonwealth of the Northern Mariana Islands (CNMI), Guam and the U.S. Virgin Islands.

BREAKING DOWN 'IRS Publication 570: Tax Guide For Individuals With Income From U.S. Possessions'

Tax filers looking to receive tax benefits afforded to residents of a U.S. possession must prove that they are a bona fide resident of that possession during for the entire tax year. This can be accomplished by not having a home outside of the possession, by having more of a connection to the possession than to the United States or a foreign country, or by meeting the presence test.

RELATED TERMS
  1. IRS Publication 516 - U.S. Government ...

    A document published by the Internal Revenue Service that details ...
  2. Bona Fide Foreign Resident

    Any resident of a foreign country that meets the IRS criteria ...
  3. Form 8689: Allocation Of Individual ...

    A tax form distributed by the Internal Revenue Service (IRS) ...
  4. Adverse Possession

    A principle of real estate law that allows a person who possesses ...
  5. IRS Publication 550

    A document published by the Internal Revenue Service (IRS) that ...
  6. IRS Publication 509: Tax Calendars

    A document published by the Internal Revenue Service that provides ...
Related Articles
  1. Taxes

    Six Ways Your Tax Preparer Knows You're Lying

    An experienced tax preparer can usually sense when a customer is providing fraudulent information to them. Find out what sets off a tax preparer's lie detector.
  2. Savings

    Explaining Tax Returns

    A tax return is the form or forms used to file income taxes with the IRS.
  3. Taxes

    How The IRS Catches Tax Cheats & Liars

    When civil and criminal penalties don't deter people from skipping out on their taxes, the IRS has other tools it can use.
  4. Taxes

    6 Sources For Free Tax Help

    From community-based services to free software, there are many free resources to help with your taxes.
  5. Economics

    3 Ways Tax Haven Governments Make Money

    If the governments of tax haven countries impose little, or no, income taxes, how exactly do these nations generate revenue?
  6. Taxes

    3 Common Tax Questions Answered

    We clarify some rules that often puzzle taxpayers.
  7. Taxes

    Understanding Taxation Of Foreign Investments

    Technically, any gains from foreign investments owned by an American citizen are subject to tax by the company's home country as well as the IRS. However, the Foreign Tax Credit enables you to ...
  8. Taxes

    The Truth About IRS Tax Settlement Firms

    These companies claim that they can reduce or even eliminate what you owe to the IRS. Find out the facts behind this alluring fiction.
  9. Options & Futures

    When You Can't Pay Uncle Sam

    If you can't pay your taxes, there are some steps you can take to protect yourself. Discover your options here.
  10. Investing Basics

    Tax-Efficient Strategies For International Clients

    In a globalized world, international clients seek to diversify holdings by accessing U.S. markets. Creative strategies will help optimize tax positioning.
RELATED FAQS
  1. How do I file taxes for income from foreign sources?

    If you are a U.S. citizen or resident alien, your income (unless exempt), including what's earned outside the U.S., is usually ... Read Answer >>
  2. Can the government tax your capital gains from other countries?

    Learn more about how capital gains earned in foreign countries are treated by the IRS. Discover examples of special tax situations ... Read Answer >>
  3. Are IRS audits random?

    Learn about how the U.S. Internal Revenue Service (IRS) conducts its tax audits based on random selection, document matching ... Read Answer >>
  4. Can the IRS audit you after a refund?

    Learn how the U.S. Internal Revenue Service (IRS) can conduct a tax audit even after a taxpayer was issued a tax refund in ... Read Answer >>
  5. Who first came up with the idea of a progressive tax?

    Learn how the progressive income tax system developed in the United States and became the federal government's primary revenue ... Read Answer >>
  6. Do I have to pay capital gains tax when I sell my home?

    My husband and I were divorced in 2011. We owned our house jointly and he lived there after the divorce until his death in ... Read Answer >>
Hot Definitions
  1. Labor Market

    The labor market refers to the supply and demand for labor, in which employees provide the supply and employers the demand. ...
  2. Demand Curve

    The demand curve is a graphical representation of the relationship between the price of a good or service and the quantity ...
  3. Goldilocks Economy

    An economy that is not so hot that it causes inflation, and not so cold that it causes a recession. This term is used to ...
  4. White Squire

    Very similar to a "white knight", but instead of purchasing a majority interest, the squire purchases a lesser interest in ...
  5. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
  6. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
Trading Center