Toggle
Compliance E-Guide
Affirmative Action Americans With Disabilities Appraisals Bank Bribery Act Bank Secrecy Act Bank Secrecy Act_TEST Bankruptcy Board Governance Bylaws Certificates of Indebtedness Charitable Contributions Check 21 Children's Online Privacy Protection Act - COPPA Community Development Revolving Loan Program Conflicts Of Interest Credit Practices Rule Credit Risk Retention Credit Union Service Organizations (CUSOs) Cybersecurity Derivatives Disaster Recovery Elder Financial Abuse Electronic Fund Transfers - Regulation E Electronic Signatures Eligible Obligations Equal Credit Opportunity - REG B Examinations Expedited Funds Availability Act - REG CC Fair Credit Reporting Act Fair Debt Collection Practices Act Fair Housing Act Fair Labor Standards Act FATCA Fidelity Bonds Field Of Membership Fixed Assets Flood Insurance FOM Summary July 2015 Foreign Branching Garnishments (Federal Benefit Payments) Health Savings Accounts History of Federal Income Tax Exemption Holder In Due Course Rule Home Mortgage Disclosure Act - REG C Home Ownership Counseling Notification Identity Theft Incidental Powers Individual Development Accounts - IDAs Individual Retirement Accounts (IRAs) Interchange Fees And Routing Internet Gambling Investments - NCUA Part 703 IRS Reporting – 1098-E Student Loan Interest Statement IRS Reporting – Form 1099-INT Interest Reporting IRS Reporting - Form W-9 - Request For Taxpayer Identification Number And Certification IRS Reporting 1098 Mortgage Interest IRS Reporting Form 1099-C Discharge Of Indebtedness IRS Reporting Non-Resident Alien Reporting–Forms W-8BEN and 1042-S (also see E-guide section for FATCA) IRS REPORTING–1099-MISC,Miscellaneous Income IRS Reporting-Form 990,Return of Organization Exempt from Income Tax IRS Small Business Health Care Tax Credit IRS Summons And Levies J-Regulation J - Collection of Checks or Funds Transfer Through Fedwire Leasing - REG M Liquidity Loan Participations Management Interlocks Margin Loans - REG U Member Business Loans Mergers Military Lending Act Mortgage Loan Originator Registration (SAFE Act) NCUA - Private Student Loans NCUA Lending Non-Member Services Office Of Foreign Assets Control (OFAC) Privacy Private Mortgage Insurance Private Student Loans Prompt Corrective Action Real Estate Settlement Procedures Reclamations Record Retention-NCUA Records Preservation Program Regulation J-Collection of Checks-Funds Transfers Through Fedwire Remittance Transfers (Regulation E) Reserve Requirements (Regulation D) Right To Financial Privacy Act Security Program-Security Of Member Information Service Members Civil Relief Act Service to the Under-Served Share Insurance Signature Guarantee Programs Small Business Administration (SBA) Loans Social Security Funds Usage SPAM e-MAIL State Chartered Credit Unions Statutory Lien Supervisory Committee Tax Exemption History Taxation (history) Telemarketing Truth In Lending - REG Z Truth In Savings Unfair, Deceptive, or Abusive Acts or Practices (UDAAP)

Comp Blog

Q&A: W-8BEN's Validity Period

By: Danielle Wright

CommentThursday - August 7, 2014

Q:  I have been hearing about changes to the Form W-8BEN.  Is it true that a Form W-8BEN with a U.S. TIN is no longer valid indefinitely?  Does this mean that all forms expire in 3 years?

A:  Yes and no.  The March 2014 final and temporary regulations issued by the IRS (FATCA coordinating regulations) revise the validity periods for withholding certificates, such as the Form W-8BEN.  It is true that under these new regulations W-8BENs with U.S. TINs are no longer valid indefinitely.  Instead, the regulation lists 12 specific circumstances for allowing a withholding certificate to remain valid indefinitely, or until a change in circumstances makes the information on the documentation incorrect: 

(1) A beneficial owner withholding certificate (other than the portion of the certificate making a claim for treaty benefits) and documentary evidence supporting a claim of foreign status when both are provided together by an individual claiming foreign status if:

(a) the withholding agent does not have a current U.S. residence address or U.S. mailing address for the payee,

(b) does not have one or more current U.S. telephone numbers that are the only telephone numbers the withholding agent has for the payee, and,

(c) for a payment to an off-shore account, such as an account maintained in a foreign country at a branch of a U.S. credit union, the withholding agent has not been provided standing instructions to make a payment to an account in the United States for the obligation. 

This provision does not apply to documentary evidence or a withholding certificate furnished prior to July 1, 2014. 

(2) A beneficial owner withholding certificate (other than the portion of the certificate making a claim for treaty benefits) from (i) a retirement fund, (ii) exempted nonfinancial group, (iii) 501(c ) entity, (iv) non-profit, (v) nonreporting IGA FFI, (vi) territory financial institution, (vii) NFFE with regularly traded stock, (viii) an NFFE affiliate, (ix) an active NFFE with an incorrect determination that business is not financial in nature, or (x) a sponsored FFI; and documentary evidence provided by an entity supporting the entity’s claim of foreign status. This provision does not apply to documentary evidence or a withholding certificate furnished prior to July 1, 2014. 

(3) A beneficial owner withholding certificate provided by an entity claiming status as a tax-exempt entity under section 501(c) that is not a foreign private foundation under section 509, provided that the withholding agent reports at least one payment annually to the entity on Form 1042-S.

(4) A qualified intermediary withholding certificate, but not including the withholding certificates, documentary evidence, statements or other information associated with the certificate.

(5) A nonqualified intermediary certificate, but not including the withholding certificates, documentary evidence, statements or other information associated with the certificate.

(6) A certificate from certain U.S. branches of foreign banks or foreign insurance companies – not provided by the beneficial owner, but not including the withholding certificates, documentary evidence, statements or other information associated with the certificate.

(7) [Reserved]. (A certificate furnished by a person representing to be an integral part of a foreign government).

(8) A withholding certificate provided by a withholding foreign trust (§1.1441-5(e)(5)(v)).

(9) A certificate dealing with a certificate from a person representing to be a withholding foreign partnership. (§1.1441–5(c)(2)(iv))

(10) A withholding certificate from a nonwithholding foreign partnership, but not including the withholding certificates, documentary evidence, statements or other information required to be associated with the certificate. (§1.1441–5(c)(3)(iii))

(11) A certificate furnished by a person representing to be an integral part of a foreign government (within the meaning of §1.892–2T(a)(2)) in accordance with §1.1441–8(b), or by a person representing to be a foreign central bank of issue (within the meaning of §1.861–2(b)(4)) or the Bank for International Settlements in accordance with §1.1441–8(c)(1); and

(12) Documentary evidence that is not generally renewed or amended (such as a certificate of incorporation). This provision does not apply to documentary evidence or a withholding certificate furnished prior to July 1, 2014.






print

Add Your Comment

close

 

()