V.I. Bureau of Internal Revenue Offers Tax Tips for Filing 2022 Tax Returns

Joel Lee, CPA, director of the Virgin Islands Bureau of Internal Revenue, reminds the taxpaying public that the due date for the 2022 income tax return is April 18, 2023.

In order to ensure that returns are processed without unnecessary delays, Director Lee provides the following tax tips:

1. Include current mailing address. Include your current mailing address on the income tax return. Make sure to include the full address that is required by the U.S. Postal Service in order to ensure that we can contact you if necessary. Verify your mailing address prior to signing your return. If you need to make a change to the address that the bureau has on file, use Form 8822, Change of Address, to provide the current address to the bureau. If the return is joint, both taxpayers must sign the Change of Address form.
2. Make sure that Social Security numbers are provided for the taxpayer, spouse and all dependents. An incorrect or missing Social Security number will delay the processing time of the refund and may increase the tax due or reduce the refund. If you have a change in your name due to marriage or divorce, contact the Social Security Office to update your records.
3. Make sure all schedules and related forms are securely stapled to the return. Please attach the applicable schedules to the return and include any other forms that are required.
4. When filing Form 8689, include all W-2s and a copy of Form 1040. Form 8689, Allocation of Individual Income Tax to the U.S. Virgin Islands, is a part of the tax return, and the entire tax return must be filed with the bureau to properly process and determine the correct amount of taxes due to the Virgin Islands.
5. Stimulus payments are not taxable. Based on the most recent decision by the federal government, COVID-related incentives are not taxable. These include the $500 payments to Social Security recipients, premium pay payments and all stimulus payments.
6. Sign all tax returns. A return that is not signed is not a valid return for tax purposes. All income tax returns must have original signatures. Local taxes, such as withholding, gross receipts and other tax returns do not require original signatures. Returns must be signed by the taxpayer and spouse if applicable or an appropriate officer of the company.

If there are any questions concerning the tax tips mentioned, contact the Office of Chief Counsel at 714-9310.