What is Form 8840? Under IRC § 7701(b) and Treasury Reg. 26 CFR 301.7701(b)-2, eligible individuals can use Form 8840 to claim the Closer Connection Exception to the Substantial Presence Test when they were present in the United States for fewer than 183 days during the current year, maintained a foreign tax home for the entire year, had a closer connection to a qualifying foreign country than to the United States, and did not take steps toward or have a pending application for lawful permanent residence.
Form 8840 Closer Connection Evaluator
Check if you qualify for the Closer Connection Exception under IRS regulations:
Personal & Economic Ties Evaluated
The IRS evaluates factual indicators to verify your foreign tax home:
| Tie Indicator | Examples of Evidence |
|---|---|
| Primary Residence | Ownership or long-term lease of home/condo in Canada, UK, etc. |
| Family & Belongings | Where spouse, children, pets, and main personal belongings reside. |
| Financial Accounts | Active checking accounts, investment portfolios, and credit cards in home country. |
| Legal & Civic | Driver's license, vehicle registration, voter card, and primary health insurance. |
Standalone Mailing Address & Deadline
Mail standalone Form 8840 by the applicable Form 1040-NR due date, including extensions, to:
Department of the Treasury
Internal Revenue Service
Austin, TX 73301
Internal Revenue Service
Austin, TX 73301
⭐ Low-Fee Money Transfer Real Exchange Rate
Wise International Money Transfer
Send money across 50+ currencies with real mid-market exchange rates and zero hidden bank markup fees.
Transfer Money with Wise🛡️ Guaranteed Mid-Market Rate
Related Cross-Border Guides
Related US Tools & Guides
Frequently Asked Questions (FAQ)
Form 8840 is used by eligible nonresident aliens to claim the closer-connection exception to the Substantial Presence Test. Generally, the person must be present in the United States for fewer than 183 days during the current year, maintain a tax home in a foreign country for the entire year, have a closer connection to that foreign country than to the United States, and not have taken steps toward or have a pending application for lawful permanent resident status. If the exception applies, the individual is treated as a nonresident for U.S. tax purposes rather than as a resident under the Substantial Presence Test.
To qualify under 26 CFR 301.7701(b)-2: 1) You must be physically present in the U.S. for fewer than 183 days during the current calendar year, 2) You must maintain a tax home in a foreign country for the entire tax year, and 3) You must establish closer personal and economic ties to that foreign country than to the U.S.
No. The general closer-connection exception is unavailable if you were present in the United States for 183 days or more during the current year. A person in that situation may still qualify for a separate treaty-based residence rule if an applicable tax treaty provides one, but a treaty benefit is not automatic.
You generally cannot claim the closer-connection exception if you personally applied or took affirmative steps during the year to become a lawful permanent resident, or if you had a pending application for adjustment of status to lawful permanent resident. IRS guidance identifies Forms I-485, I-130, and I-140 among forms that can indicate such steps when filed by the taxpayer.
The IRS considers facts such as your permanent home, family, personal belongings, social, political, cultural or religious affiliations, business activities, driver's license jurisdiction, voting jurisdiction, charitable activities, and other relevant contacts when determining whether your connection to the foreign country is closer than your connection to the United States.
If you are not required to file a U.S. Form 1040-NR tax return, mail Form 8840 to the IRS by the applicable Form 1040-NR filing deadline, including extensions. The current IRS mailing address is Department of the Treasury, Internal Revenue Service, Austin, TX 73301. If filing Form 1040-NR, attach Form 8840 to your return.
Yes. The closer-connection exception can apply to two foreign countries, but not more than two, when the specific requirements are satisfied, including changing tax homes during the year and establishing a closer connection to each foreign country during the relevant period.
Official IRS References
• IRS Form 8840 Instructions (Closer Connection Exception Statement): irs.gov/form8840
• IRS Closer Connection Exception Details (26 CFR 301.7701(b)-2): irs.gov/closer-connection