Tax & Accounting Blog

NEW W-8IMY FORM: DRAFT RELEASED BY IRS

1099, 6050W, Global Tax Compliance, Information Reporting for Wealth Management, International Reporting & Compliance, ONESOURCE, State Reporting, Tax Information Reporting, TIN Compliance, Trust Tax, W-8 & W-9 Foreign Reporting, Withholding Management August 15, 2012

The third in a series of revised Forms W-8 has been released, in draft form, by the IRS. 

The draft Form W-8IMY, Certificate of Foreign Intermediary, Foreign Flow-Through Entity, or Certain U.S. Branches for United States Tax Withholding, is part of the process of making the W-8 series of forms serve for purposes of compliance with both I.R.C. Chapter 4 (FATCA, the Foreign Account Tax Compliance Act) and I.R.C. Chapter 3 (the Section 1441 nonresident alien withholding-at-source requirements, some amendments to which are part of the proposed Chapter 4 regulations).  You can view this new draft of Form W-8IMY at http://www.irs.gov/pub/irs-dft/fw8imy–dft.pdf.

Two other new W-8s were released in draft form by the IRS in June and July.  View the draft Form W-8BEN, which will be used for certifications by foreign individuals, at http://www.irs.gov/pub/irs-dft/fw8ben–dft.pdf.  View the draft Form W-8BEN-E, which will be used for certifications by foreign entities, at http://www.cokala.com/files/formw8benentityexeccirculation2_DRAFT_06062012.pdf.  No “Instructions” have yet been released to accompany the new draft forms.

The new draft Form W-8IMY is 7-page form.  In a structure similar to the draft Form W-8BEN-E, the form has separate sections in which the status of the owner of the income is to be specified for I.R.C. Chapter 3 and Chapter 4 purposes.  In the section for “Chapter 3 Status” one box only, out of 9 boxes, must be checked.  Then the “Chapter 4 Status” section must be completed, with one box checked from a total of 21 boxes (though a box caption implies that in certain circumstances it may be permissible to check more than one box).