Filling out the W-8BEN and W-8BEN-E forms is an important step for businesses and individuals because future taxation amounts depend on the form’s correctness. W-8BEN is filed by foreign individuals who receive certain types of income in the United States. Such income can be in the form of dividends, royalties, payments for services rendered, etc., and is taxed at 30%. By submitting a W-8BEN, a person is entitled to a reduced rate or exemption from taxation if the United States and the country in which the person is located have an income tax treaty.
Who should file Form W-8BEN-E?
Form W-8BEN-E is similar to W-8BEN, but it is filed by legal entities rather than individuals.
What documents do I need to fill out the form?
Below is a list of documents required to determine which article of the double taxation convention is applicable and what tax is payable, if any:
Full registration data and/or documents of the company or PE (name or full name, tax code, registration address, name and surname of the director in Latin, director’s date of birth for PE).
Templates of contracts and invoices for an American company. These documents are needed to clarify the nature of the payments.
