Page 4 - Withholding Taxes for Foreign Entities

10:50 - 14-Feb-2020
Page 2 of 55
Fileid: … tions/P515/2020/A/XML/Cycle10/source
The type and rule above prints on all proofs including departmental reproduction proofs. MUST be removed before printing.
evidence. The final regulations also permit with- Filing electronically. If you file Form 1042-S Getting tax forms, instructions, and pub-
holding agents to collect a foreign TIN on a writ- electronically, you will use the Filing Information lications. Visit IRS.gov/Forms to download
ten statement if certain conditions are met, and Returns Electronically (FIRE) system. You get current and prior-year forms, instructions, and
permit a nonqualified intermediary to provide a to the system through the Internet at publications.
withholding statement that does not include a FIRE.IRS.gov.
Chapter 4 recipient code for one or more pay- If you submit files on the FIRE system, it is Ordering tax forms, instructions, and
ees if certain conditions are met. your responsibility to verify the results of the publications. Go to IRS.gov/OrderForms to
Section 871(m) transition. On December 16, transmission within 5 business days. The IRS order current forms, instructions, and publica-
tions; call 800-829-3676 to order prior-year
2019, Notice 2020-2, 2020-3 I.R.B. 327, availa- will not mail error reports for files that are bad.
ble at IRS.gov/irb/2020-03_IRB#NOT-2020-2 See Pub. 1187 for information on the require- forms and instructions. Your order should arrive
within 10 business days.
was issued announcing the intention of the De- ments for filing Form 1042-S electronically.
partment of the Treasury and the IRS to amend Requests for extensions on Form 8809. Re-
the section 871(m) regulations to further delay quests on Form 8809 for an extension of time to Useful Items
the effective/applicability date of certain rules in file Form 1042-S should be made electronically. You may want to see:
those final regulations. In addition, Notice See Extension to file Form 1042-S with the IRS,
2020-2 extends for 2 years the phase-in period later. Publication
provided in Notice 2018-72, 2018-40 I.R.B. 522,
available at IRS.gov/irb/ Photographs of missing children. The IRS is 15 15 (Circular E), Employer's Tax Guide
2018-40_IRB#NOT-2018-72 for certain provi- a proud partner with the National Center for 15-A 15-A Employer's Supplemental Tax Guide
sions of the section 871(m) regulations, includ- Missing & Exploited Children® (NCMEC). Pho-
ing certain requirements of a qualified deriva- tographs of missing children selected by the 15-B 15-B Employer's Tax Guide to Fringe
tives dealer (QDD). Center may appear in this publication on pages Benefits
Reliance on proposed regulations reducing that would otherwise be blank. You can help 15-T 15-T Federal Income Tax Withholding
bring these children home by looking at the
burden under FATCA and Chapter 3. On Methods
December 18, 2018, the Department of Treas- photographs and calling 1-800-THE-LOST
(1-800-843-5678) if you recognize a child.
ury and the IRS issued proposed regulations 51 51 (Circular A), Agricultural Employer's
(83 FR 64757) to reduce taxpayer burden with Tax Guide
respect to certain requirements under Chapters Introduction
3 and 4 of the Code. A withholding agent may 505 505 Tax Withholding and Estimated Tax
rely on applicable provisions of these proposed This publication is for withholding agents who 519 519 U.S. Tax Guide for Aliens
regulations in connection with completing Form pay income to foreign persons, including non-
1042-S. See the Instructions for Forms 1042 resident aliens, foreign corporations, foreign 901 901 U.S. Tax Treaties
and 1042-S for 2020. partnerships, foreign trusts, foreign estates, for- 1179 1179 General Rules and Specifications
Central Withholding Agreement (CWA) sim- eign governments, and international organiza- for Substitute Forms 1096, 1098,
plified application process. The IRS has de- tions. Specifically, it describes the persons re- 1099, 5498, and Certain Other
veloped a simplified application process for sponsible for withholding (withholding agents), Information Returns
nonresident alien athletes and entertainers who the types of income subject to withholding, and
earn less than $10,000 to apply for a CWA. the information return and tax return filing obli- 1187 1187 Specifications for Electronic Filing of
Form 13930-A, Application for Central With- gations of withholding agents. In addition to dis- Form 1042-S, Foreign Person's U.S.
holding Agreement (Less than $10,000), must cussing the rules that apply generally to pay- Source Income Subject to
be submitted at Pay.gov at least 45 days before ments of U.S. source income to foreign Withholding
the first event to be covered by the CWA. persons, it also contains sections on the with- 5124 5124 FATCA XML User Guide
For more information on the CWA program, holding that applies to the disposition of U.S.
real property interests and the withholding by
see Artists and Athletes (Income Codes 42 and partnerships on income effectively connected Form (and Instructions)
43) under Withholding on Specific Income, with the active conduct of a U.S. trade or busi-
later. Also, go to IRS.gov/Individuals/ ness. SS-4 SS-4 Application for Employer
International-Taxpayers/Central-Withholding- Identification Number
Agreements. Comments and suggestions. We welcome W-2 W-2 Wage and Tax Statement
your comments about this publication and your
suggestions for future editions. W-4 W-4 Employee's Withholding Allowance
Reminders You can send us comments through Certificate
FormComments. Or, you can write to: Internal W-4P W-4P Withholding Certificate for Pension
Deposit interest paid to certain nonresident Revenue Service, Tax Forms and Publications, or Annuity Payments
alien individuals. Deposit interest of $10 or 1111 Constitution Ave. NW, IR-6526, Washing-
more paid to certain nonresident alien individu- ton, DC 20224. W-7 W-7 Application for IRS Individual
als must be reported on Form 1042-S. See De- Although we can’t respond individually to Taxpayer Identification Number
posit interest paid to certain nonresident alien each comment received, we do appreciate your W-8BEN W-8BEN Certificate of Foreign Status of
individuals, later. feedback and will consider your comments as Beneficial Owner for United States
Electronic deposits. You must make all de- we revise our tax forms, instructions, and publi- Tax Withholding and Reporting
posits of taxes paid with respect to Form cations. We can’t answer tax questions sent to (Individuals)
1042-S (including taxes withheld under either the above address.
Chapter 3 or Chapter 4) electronically. Tax questions. If you have a tax question W-8BEN-E W-8BEN-E Certificate of Status of
Substitute forms. The official Form 1042-S is not answered by this publication or the How To Beneficial Owner for United States
the standard for substitute forms. All substitute Get Tax Help section at the end of this publica- Tax Withholding and Reporting
forms must comply with the rules set out in Pub. tion, go to the IRS Interactive Tax Assistant (Entities)
1179. A substitute of Form 1042-S, Copy A, page at IRS.gov/Help/ITA where you can find W-8ECI W-8ECI Certificate of Foreign Person's
must be an exact copy of the official form. If it is topics using the search feature or by viewing Claim That Income Is Effectively
not, the IRS may reject the form as incorrect the categories listed. Connected With the Conduct of a
and may impose penalties. The IRS provides Trade or Business in the United
several means, including electronic, of obtain- Getting tax forms, instructions, and pub- States
ing the most frequently used tax forms. For de- lications. Visit IRS.gov/Forms to download
tails on the requirements of substitute forms, current and prior-year forms, instructions, and W-8EXP W-8EXP Certificate of Foreign
see Pub. 1179. publications. Government or Other Foreign
Page 2 Publication 515 (2020)