A W-8 form for all foreign aliens/entities is needed for all payments. The IRS requires a mailed original ink signed and dated form to be obtained. A faxed copy or emailed copy is not acceptable. There are four types of W-8 forms. The foreign alien/entity will need to determine the type of form that applies to […]
Category: Nonresidents
Branch Profits and Branch Interest Taxes
A dividend distribution to a foreign parent of a US subsidiary would be taxed as US source income to the foreign parent. When a foreign business operates a branch in the US, the IRS imposes branch tax on the US branch profit in order to put the US branch on equal footing with a US subsidiary […]