Geographically dispersed computing system is made of computers interconnected by a telecommunications network. To make the system operated efficiently, system designer must determine the allocation of data files to each node. In designing such distributed computing system, the most important issue is the determination of the numbers and the locations where database files are allocated. This is commonly referred to as the file allocation problem (FAP)[3]. The proposed model is a 0/l integer programming problem minimizing the sum of file storage costs and communication(query and update) costs. File allocation problem belongs to the class of NP-Complete problems. Because of the complexity, it is hard to solve. So, this paper presents an efficient heuristic algorithm to solve the file allocation problem using Tabu Search Technique. By comparing the optimal solutions with the heuristic solutions, it is believed that the proposed heuristic algorithm gives good solutions. Through the experimentation of various starting points and tabu restrictions, this paper presents fast and efficient method to solve the file allocation problem in the distributed computing system.