Which W8 form should I use?
W-8BEN: This is reportedly the most commonly used W 8 form. It’s used to certify foreign status in regard to tax withholding on income such as dividends, interest, royalties, rents, and annuities, and permits individuals to claim tax treaty benefits.
How many W8 forms are there?
five W-8 forms
W-8 forms are used by foreign persons or business entities to claim exempt status from certain withholdings. There are five W-8 forms: W-8BEN, W-8BEN-E, W-8ECI, W-8EXP, and W-8IMY. Form W-8IMY, is used by intermediaries that receive withholding payments on behalf of a foreigner or as a flow-through entity.
How often should W8 be updated?
Form W-8, Certificate of Foreign Status, must be on file with IBKR. This form must be renewed every three years. If the form W-8 is no longer valid, IBKR will assume that you are a non-US person and withhold US tax at 30% on interest, dividends, gross proceeds and payments and lieu.
What is the purpose of a W8 form?
The W-8BEN is an IRS mandated form to collect correct Nonresident Alien (NRA) taxpayer information for individuals for reporting purposes and to document their status for tax reporting purpose.
Do I need a W8 or W9 form?
Foreign financial institutions ask you to complete Form W9 to comply with FATCA reporting requirements imposed on them. Form W9 is intended for US persons, as explained in question 2. The equivalent form that applies to non-US persons is W8-BEN (for individuals) and W8-BEN-E (for entities).
Where do I get a W8 form?
▶ Go to www.irs.gov/FormW8BEN for instructions and the latest information. ▶ Give this form to the withholding agent or payer.
Is W 8BEN required?
Is Form W-8BEN Required? Yes. Form W-8BEN is required to be filed with withholding agents, payers, and FFIs by non-resident alien individuals who may be subject to withholding of U.S. taxes at a 30% tax rate on payment amounts received from U.S. sources, regardless of their ability to claim a withholding exemption.
Do Canadian companies need to complete a W-8BEN-E?
Canadian) companies that receive payments from US sources are required to complete the Form W-8BEN-E – Certificate of Status of Beneficial Owner for United States Tax Withholding and Reporting (Entities) and submit the form to the American payor in order to comply with the Fair and Accurate Credit Transactions Act ( …