IRS · Official form

Form 8689, Allocation of Individual Income Tax to the U.S. Virgin Islands

Form 8689 splits your federal income tax between the United States and the U.S. Virgin Islands when you have USVI income but are not a bona fide USVI resident. Fill in the official IRS PDF below and download it.

Fill out 8689 in the editor Download the blank PDF Quick fill on this page

This is the genuine IRS PDF, unmodified. Source: IRS official page.

What is 8689?

Form 8689, Allocation of Individual Income Tax to the U.S. Virgin Islands, is filed by U.S. citizens and resident aliens who are not bona fide residents of the USVI but have income from sources there or income effectively connected with a USVI trade or business. It figures the share of the total tax on the return that belongs to the USVI.

The allocation works by comparing USVI-source adjusted gross income to worldwide adjusted gross income and applying that ratio to the tax. The USVI portion is generally paid to the Virgin Islands Bureau of Internal Revenue, and the form shows the IRS the amounts involved. Bona fide USVI residents follow different rules and generally file with the USVI instead.

Who files 8689?

U.S. citizens or resident aliens with wages, business income, or other income from USVI sources
Taxpayers with income effectively connected with a trade or business in the USVI
People who worked in the USVI part of the year without becoming bona fide residents
Filers who paid tax to the USVI and need to reconcile it on their federal return

How to fill out 8689

List your income from USVI sources in Part I, matching the categories on your Form 1040.
Complete Part II to figure your USVI adjusted gross income.
Work through Part III to apply the ratio of USVI income to total income against the tax on your return.
Complete Part IV to account for tax already paid to the USVI and figure any balance due to the USVI.
Download the finished PDF, attach it to your Form 1040, and follow the instructions for filing a copy of your return with the Virgin Islands Bureau of Internal Revenue and paying the USVI portion.

Quick fill 8689 on this page

Prefer to see the form itself while you type? Open 8689 in the editor to fill it on the actual pages, add a signature, and download.

These are the form's own fields, in the order they appear on the pages. Fill in what you know; anything left blank stays a fillable field in the PDF, so you can finish it in any PDF reader. Nothing you type here is sent to IRS.

Page 1 48 fields

Name(s) shown on Form 1040 or 1040-SR (your tax return)

Your social security number

Part I. Income from the U.S. Virgin Islands (U S V I). 1. Wages, salaries, tips, etc.

2. Taxable interest.

3. Ordinary dividends.

4. Taxable refunds, credits, or offsets of local U S V I income taxes.

5. Alimony received.

6. Business income or (loss).

7. Capital gain or (loss).

8. Other gains or (losses).

9. I R A distributions (taxable amount).

10. Pensions and annuities (taxable amount).

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

12. Farm income or (loss).

13. Unemployment compensation.

14. Social security benefits (taxable amount).

Other income. List type and amount

15. and amount.

16. Add lines 1 through 15. This is your total U S V I income.

Part I I. Adjusted Gross Income From the U S V I. 17. Educator expenses.

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

19. Health savings account deduction.

20. Moving expenses for members of the armed forces.

21. Deductible part of self-employment tax.

22. Self-employed S E P, S I M P L E, and qualified plans.

23. Self-employed health insurance deduction.

24. Penalty on early withdrawal of savings.

25. I R A deduction.

26. Student loan interest deduction.

29. Add lines 17 through 28.

30. Subtract line 29 from line 16. This is your U S V I adjusted gross income.

Part I I I. Allocation of Tax to the U S V I. 31. Enter the amount from the total tax line on your tax return.

32. Enter total of certain amounts from your tax return. See instructions on page 4 for amount to enter.

33. Subtract line 32 from line 31.

34. Enter the amount from the adjusted gross income line on your tax return.

35. Divide line 30 above by line 34. Enter the result as a decimal (rounded to at least 3 places). Do not enter more than 1.000. Number

35. Numbers after the decimal.

36. Multiply line 33 by line 35. This is your tax allocated to the U S V I.

Part I V. Payments of Income Tax to the U S V I. 37. Income tax withheld by the U S V I.

38. 2025 estimated tax payments and amount applied from 2024 return.

39. Amount paid with Form 4868 (extension request).

40. Add lines 37 through 39. These are your total payments to the U S V I.

41. Enter the smaller of line 36 or line 40. Add this amount to the "Other refundable credits" line on Schedule 3 (Form 1040).

42. Overpayment to the U S V I. If line 40 is more than line 36, subtract line 36 from line 40.

43. Amount of line 42 you want refunded to you.

44. Amount of line 42 you want applied to your 2026 estimated tax.

45. Amount you owe to the U S V I. If line 40 is less than line 36, subtract line 40 from line 36.

46. Enter the amount from line 45 that you will pay when you file your income tax return. Add this amount to the "Other refundable credits"

Lock the PDF after filling (values become permanent, fields are removed)

Processed on our own servers, never sent to a third-party service. Files are deleted automatically after two hours, and you can delete them sooner from the result screen.

Frequently asked questions

Do bona fide USVI residents use Form 8689?

No. Bona fide residents of the USVI generally file their income tax return with the Virgin Islands Bureau of Internal Revenue rather than allocating tax with this form. Publication 570 explains the residency rules.

Where does the USVI portion of my tax actually go?

You generally pay it to the Virgin Islands Bureau of Internal Revenue, not the IRS, and the amount properly paid to the USVI is treated as a payment on your federal return. The form and its instructions walk through the mechanics.

Do I still file my regular Form 1040?

Yes. Form 8689 attaches to your normal federal return. The instructions also have you file a copy of the return with the USVI so both tax authorities see the allocation.

Form 8689, Allocation of Individual Income Tax to the U.S. Virgin Islands

What is 8689?

Who files 8689?

How to fill out 8689

Quick fill 8689 on this page

Frequently asked questions

Related forms

Form 1040, US Individual Income Tax Return

Form 8898, Statement for Individuals Who Begin or End Bona Fide Residence in a U.S. Territory

Form 4563, Exclusion of Income for Bona Fide Residents of American Samoa