Instructions For The Requester Of Forms W-8ben, W-8ben-E, W-8eci, W-8exp, And W-8imy

gross income without regard to the U.S. or foreign status

Form W-8ECI, Certificate of Foreign Person's Claim

of the owner of the income, such as interest under section

That Income Is Effectively Connected With the Conduct of

103(a).

a Trade or Business in the United States.

Form W-8EXP, Certificate of Foreign Government or

Generally, under section 1446, a partnership that

Other Foreign Organization for United States Tax

allocates effectively connected taxable income (ECTI) to a

Withholding and Reporting.

foreign person must withhold at the highest tax rate

Form W-8IMY, Certificate of Foreign Intermediary,

applicable to that person for the type of income allocated

Foreign Flow-Through Entity, or Certain U.S. Branches for

(for example, ordinary income or capital gains). Unless

United States Tax Withholding and Reporting.

the partnership is a publicly traded partnership, the

partnership must withhold in the year the ECTI is allocable

For general information and the purpose of each of the

to the foreign partner, rather than the year in which the

forms described in these instructions, see those forms

distribution is made. The partnership may rely on

and their accompanying instructions. For definitions of

documentation (for example, Form W-8BEN, Form

terms used and not defined in these instructions, see the

W-8BEN-E, or Form W-9) to determine if the partner is

Forms W-8 and their accompanying instructions for

foreign or domestic and the type of partner (for example,

definitions that also apply for purposes of these

individual or corporate). A partnership that does not

instructions.

receive valid documentation or knows or has reason to

Throughout these instructions, a reference to or

know that the documentation is incorrect or unreliable

mention of “Form W-8” includes Forms W-8BEN,

must presume the partner is foreign.

TIP

W-8BEN-E, W-8ECI, W-8EXP, and W-8IMY.

For purposes of chapter 4, a withholding agent must

withhold 30% of any payment of U.S. source FDAP

Requirements to Withhold

income that is a withholdable payment (defined in

Regulations section 1.1473-1(a)) made to a

For purposes of sections 1441 and 1442, a withholding

nonparticipating FFI under Regulations section

agent must withhold 30% of any payment of an amount

1.1471-2(a), an NFFE that is not an excepted NFFE

subject to chapter 3 withholding made to a payee that is a

(defined in Regulations section 1.1472-1(c)(1)) and does

foreign person unless it can associate the payment with

not disclose its substantial U.S. owners (or certify that it

documentation (for example, Form W-8 or Form W-9,

has no substantial U.S. owners) under Regulations

Request for Taxpayer Identification Number and

section 1.1472-1(b), or an exempt beneficial owner under

Certification) upon which it is permitted to rely to treat the

Regulations section 1.1471-6. In addition, a withholding

payment as made to (a) a payee that is a U.S. person or

agent that is a participating FFI must withhold to the extent

(b) a beneficial owner that is a foreign person entitled to a

required under Regulations section 1.1471-4(b) and its

reduced rate of or exemption from withholding. See,

FFI agreement, which, in addition to the requirements

however, Regulations section 1.1441-1(c)(17), allowing a

mentioned in the previous sentence, requires withholding

payment to be associated with documentary evidence

on withholdable payments made to recalcitrant account

rather than a Form W-8 for a payment made outside the

holders of the FFI. A similar requirement applies in certain

United States with respect to an offshore obligation under

cases to certain classes of registered deemed-compliant

Regulations section 1.6049-5(c)(1). A withholding agent

FFIs. See Regulations section 1.1471-5(f)(1). A

must also withhold under section 1443 on certain

participating FFI (or registered deemed-compliant FFI)

payments to foreign tax-exempt organizations that

may use a Form W-8 to document and establish the

constitute unrelated business taxable income or are

foreign status of an account holder. See Regulations

subject to the 4% excise tax imposed by section 4948.

section 1.1471-5(g) for when a participating FFI or

However, a withholding agent making a payment to a

registered deemed-compliant FFI must treat an account

foreign person need not withhold if the foreign person

holder as a recalcitrant account holder. An FFI that is

assumes responsibility for withholding on the payment as

considered a reporting FFI under a Model 1 or Model 2

a qualified intermediary, a withholding foreign partnership,

intergovernmental agreement (IGA) may apply the

or a withholding foreign trust and has provided a valid

requirements of the applicable IGA to document its

Form W-8IMY certifying to such status. Withholding is

account holders for purposes of FATCA.

also not required if the payment is made to a U.S. branch

Who Is a Withholding Agent?

of a foreign insurance company or foreign bank or a

territory financial institution that agrees to be treated as a

Any person, U.S. or foreign, in whatever capacity acting,

U.S. person under the requirements of Regulations

that has control, receipt, custody, disposal, or payment of

section 1.1441-1(b)(2)(iv)(A) and provides a valid Form

an amount subject to withholding for chapter 3 purposes

W-8IMY certifying to such status.

or a withholdable payment for chapter 4 purposes is a

Generally, an amount is subject to withholding for

withholding agent. The withholding agent may be an

purposes of chapter 3 if it is an amount from sources

individual, corporation, partnership, trust, association, or

within the United States that is FDAP income. FDAP

any other entity, including (but not limited to) any foreign

income is all income included in gross income, including

intermediary, foreign partnership, or U.S. branch of certain

interest (and original issue discount), dividends, rents,

foreign banks and insurance companies. If several

royalties, and compensation. FDAP income does not

persons qualify as withholding agents for a single

include most gains from the sale of property (including

payment, the tax required to be withheld must only be

market discount and option premiums). FDAP income

withheld once. Generally, the person who pays (or causes

also does not include items of income excluded from

to be paid) an amount subject to withholding under

-2-

Instructions for the Requester of Forms W-8 (Rev. 7-2014)

Instructions For The Requester Of Forms W-8ben, W-8ben-E, W-8eci, W-8exp, And W-8imy - 2014 Page 2

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