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Form W-8BEN-E for Surprise Arizona: What You Should Know
Form W-8BEN-E requires the information needed to verify the accuracy of income tax information for the U.S. taxpayer if the foreign entity is subject to a tax under the Internal Revenue Code (IRC) section 871, that requires reporting foreign income (tax withholding, foreign bank accounts and foreign withholding allowances), and foreign taxes (the tax on the profits that a U.S. based “company” earns). (Filing Information on International Taxpayers) “The government wants every American working and living abroad to pay more for their U.S. taxes, because they must.” Taxpayer Advocate Dr. Mitchell W. Gold stone (Federalist) May 6, 2025 — A new tax form designed to make it easier for U.S. expatriates to claim a foreign tax credit for paying the U.S. more to support U.S. military operations overseas must be submitted by U.S. taxpayers and those who have incorporated companies and foreign entities in the past, according to a report issued by the Tax Justice Network. The Tax Justice Network, a non-profit that promotes accountability in national tax policies, issued a report on May 5 titled “The U.S. Should Support Foreign Taxpayers,” and it calls on the U.S. government to improve its policy on recognizing foreign tax income and tax credits so that U.S. expatriates can claim the tax credits. “This is a huge loophole,” said Tax Justice Network President Peter J. Abel, pointing out that corporations and other foreign entities can simply claim tax credits and reduce their tax burdens. Many multinational corporations are set up not just outside the United States, but also in the Cayman Islands, the British Virgin Islands, Singapore and Switzerland. The Tax Justice network recommends that U.S. expatriates and corporations and their subsidiaries file U.S. foreign tax returns and complete forms that ensure that the tax liability of the foreign subsidiaries actually represents the total taxes paid by those entities. The IRS issued a form that collects the information necessary to determine the amount of the tax credit and provide it to the entity and its related persons. If the Tax Justice Network's recommendation is implemented, the U.S. would not allow any further loopholes in the U.S. corporate tax code that allow certain tax avoided to avoid paying U.S. taxes. (A new 'Foreign Tax Credit' for Businesses. Tax Journal, Oct. 28, 2012) Mar.
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