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VA online Form W-8BEN-E: What You Should Know
U.S. tax withholding and U.S. tax status as a nonresident alien. The purpose of the form is to confirm that the foreign person has the status required of an NRA person for filing information returns and reporting for Federal income, withholding, and tax purposes. U.S. tax, withholding and tax reporting requirements are not the same as the U.S. tax requirements to file tax returns and report income for U.S. taxation. Form W8-BEN is also used by the IRS to obtain information not required by U.S. tax, withholding and tax reporting The W8-BEN Certificate of Status of Beneficial Owner Form W8-BEN, Certificate of Foreign Status of Beneficial Owner, allows an entity to provide proof that the information it is providing is accurate. Generally, this form is useful for U.S. federal and state tax reporting for entities that are resident in the U.S. but not domiciled here, to prove that the form provides accurate information. For example, a U.S. resident might use this certificate to explain to a tax preparer that the entity is not a nonresident alien but has a U.S. taxpayer identification number. The certificate would also show that the entity has paid all applicable Federal tax on its gross receipts. This certificate of beneficial status provides the entity with tax status as a nonresident of the U.S. for a specified period of years and provides proof that the foreign entity must pay U.S. tax on its gross receipts. This will allow an entity that is resident in the U.S. for tax purposes to file a Form 8586, Information Return for Nonresident Alien Individuals (Individuals) Not U.S. Qualified, with an estimated tax rate of 3.00%.
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