: U.S. citizens who are not residents of these territories must generally report their worldwide income to the federal IRS , even if it was earned on an island. Recent Tax Relief and Incentives
: Some territories offer significant local tax incentives to attract investment, which can include exemptions on corporate stock or capital gains from specific securities. ISLANDS (IRS)
: During federal relief efforts (like stimulus checks), the IRS coordinates with territorial agencies to share data and expedite payments to island residents who do not reside on the mainland. : During federal relief efforts (like stimulus checks),
: Territories like the USVI use a "mirror" tax system , where the local income tax law is essentially the same as the U.S. Internal Revenue Code, but with the territory substituted for "United States". ISLANDS (IRS)