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Publication 508

exempt from Wisconsin income or franchise tax and

they are an employer should request a photocopy of

include supporting documents to prove the exemption.

Form WT-11, signed by a department employe or

Submit the request to the department by any of the

issued by an employer for an amount withheld from

methods shown in Part IX.A.

the nonresident entertainer, or a waiver issued by the

department. This should be requested from the

The department will review the waiver request and

nonresident entertainer or the person contracting for

issue the nonresident entertainer either a waiver from

the performance of the nonresident entertainer.

the surety bond or cash deposit requirement, or

Persons should proceed as the employer if this proof is

notification that the entertainer does not qualify for a

not received as requested.

waiver.

The

employer

should

notify

the

nonresident

An employer of a nonresident entertainer may not

entertainer as early as possible that the entertainer will

issue a waiver of the surety bond or cash deposit

be required to show proof that a surety bond or cash

requirement. However, an employer is not required to

deposit was filed. This will allow the entertainer to file

withhold (as explained in Part V) if the entertainer

a bond or deposit with the Department of Revenue in a

gives the employer a copy of a waiver issued by the

timely manner. However, because the entertainer has

department.

until seven days before the performance to file a bond

or cash deposit, the employer should make a final

request for the Form WT-11 before withholding 6% of

V. RESPONSIBILITIES OF AN

the total contract price.

EMPLOYER

Lower Rate for Bond or Deposit: If a nonresident

A. Employer Must Withhold or Obtain Proof of

entertainer establishes to the department’s satisfaction

Sufficient Bond or Deposit

that a bond or deposit rate (or employer withholding

rate) of less than 6% is appropriate, the department

If the total contract price (see Part IV.A for the

will notify the nonresident entertainer and the

definition of “total contract price”) for a performance

employer of the lower rate. An employer receiving

in Wisconsin by a nonresident entertainer (see Part II)

such notification from the department should withhold

exceeds $3,200, 6% of the total contract price must

from the entertainer’s payment at the lower rate, if the

generally be paid to the Wisconsin Department of

entertainer does not furnish proof of filing a bond or

Revenue. If a nonresident entertainer meets this

deposit (a Form WT-11 signed by a department

requirement but does not file a sufficient surety bond

employe) for the amount required by the lower rate.

or cash deposit with the department, the entertainer’s

employer must generally withhold 6% of the total

Sufficient Bond or Deposit Filed: If a Form WT-11

contract price from the entertainer’s payment. See the

shows that the bond or deposit equals 6% (or a lower

exceptions under “Lower Rate for Bond or Deposit,”

percent if notified by the department) of the total

“Insufficient Bond or Deposit Filed,” and “No Bond

contract price (see Part IV.A for the definition of

or Deposit Filed,” below. Also see the last paragraph

“total contract price”), the employer does not have to

of Part IV.A, titled “Accumulative Total Contract

withhold any amount from the payment to the

Price.”

nonresident entertainer. The employer has no further

requirements in this situation.

Before an employer makes payment to a nonresident

entertainer, the employer should request from the

Insufficient Bond or Deposit Filed: If the

entertainer a completed Form WT-11, “Nonresident

nonresident entertainer provides a Form WT-11 that

Entertainer’s Application and Receipt for Surety

indicates the bond or deposit was less than the

Bond, Cash Deposit, or Withholding by Employer,”

required percentage of the total contract price, the

with Item D of the form signed by a department

employer must withhold from the entertainer’s

employe. A completed Form WT-11 signed by a

payment an amount to cover the additional bond or

department employe is proof that the nonresident

deposit that should have been filed.

entertainer filed a bond or deposit with the

department.

Example: A contract provides that a nonresident

entertainer is to receive $50,000 plus 10% of all ticket

Note: Persons having receipt, custody, or control of

sales. The entertainer provides the Department of

proceeds of an event who are unsure of whether or not

Revenue with a $3,000 surety bond ($50,000 x 6%).

Publication 508 - Tax Requirements Relating To Nonresident Entertainers - Department Of Revenue Page 6

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