In general, citizens of the United States, who are bona fide residents of Puerto Rico during the year (January 1 to December 31), do not report income from Puerto Rico on their Federal Income Tax Return. However, they should report all income received from outside Puerto Rico. Residents of Puerto Rico employed by the government of the United States or members of the armed forces of the United States should report on their income tax return, all income received for their services to the government of the United States.

If you receive income from Puerto Rico, not subject to tax in the United States, and the amount of income you are otherwise required to file on the income tax return is less than the amount shown in the tax return instructions, you are not required to file a United States tax return. For more information about how to determine the amount of income that requires filing the Federal income tax return, refer to Publication 570 and Publication 1321 (PDF).

If you do not have to file the Federal income tax return, but have self-employment income, you may need to file either Form 1040-SS (PDF) or Form 1040-PR (PDF) to report self-employment income.

In addition, if you have a change of address from Puerto Rico to the United States, your income received from Puerto Rico is not taxable in the United States during the period of time you resided in Puerto Rico, if you were a bona fide resident of Puerto Rico at least two years before you changed addresses.