%% date:: [[2022-09-23]] %% # [[Form W8-BEN-E]] Form [W8-BEN-E](https://www.irs.gov/pub/irs-pdf/fw8bene.pdf) is an [[Internal Revenue Service|IRS]] form to be filled out by non-individuals (such as companies) who are doing business with an American entity. The form allows an entity to claim benefits from a tax treaty (such as the [[Estonian tax treaty with the US]]) and receive payments without having any taxes withheld. [Here are the official instructions for filling out the form](https://www.irs.gov/pub/irs-pdf/iw8bene.pdf). However, they're still pretty obtuse! Here's a video I found useful: <iframe width="560" height="315" src="https://www.youtube.com/embed/IwAkeWPq2QM" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen></iframe> In most cases, here are relevant items to select for a non-US company: - Line 4: Chapter 3 Status (entity type): *Corporation* - Line 5: Chapter 4 Status (FATCA status): *Active NFFE* - NFFE means Non-Financial Foreign Entity - Part III: Claim of Treaty Benefits - 14b: The beneficial owner derives the item (ori items) of income for which the treaty benefits are claimed... the following are the types of limitation on benefits provisions that may be included in an applicable tax treaty: *Company that meets the ownership and base erosion test* - 15: Special rates and provisions: The beneficial owner is claiming the provision of Article and paragraph *Article 7 paragraph 1* of the treaty identified on the line 14a above to claim a *0%* rate of withholding on (specify type of income): *business profits*. - Look at the revelant tax treaty (US and the country your company is from) and find the right paragraph for the type of income you will be receiving. The information above is specific to [[Estonia]]. - Article 12 is usually royalties. - 15: Explain the additional conditions in the Article the beneficial owner meets to be eligible for the rate of withholding: *Company OÜ is a company registered in Estonia that does not carry out business in the United States or have a permanent establishment in the United States.* - Again, check the actual article and paragraph and tailor the requirements of claiming the tax treaty are.