The new form W-8BEN-E has been released by the IRS.
This means withholding agents will be required to gather this new form from beneficial owners going forward. Organizations will need to change systems and processes to accommodate this new form and validate all relevant details involved.
In addition, the new form adds extra complexity to an already challenging form, especially considering the enhancement of the limitation of benefits (LoB) section. Organizations must now choose a relevant LoB, which will undoubtedly result in additional difficulties in both form completion and validation.
It’s expected that a new form W-8IMY will follow to mirror a number of the changes made on the W-BEN-E.
So how can you avoid headaches and stay on top of this recent change? Having robust, automated documentation systems in place will ensure that the forms receive relevant validations and ease the burden of completion on the end users.
Download our complimentary ebook to learn about the benefits of utilizing automated tax technology, including the return on investment and the enhanced customer service.
Thomson Reuters is your foundation in a changing world. We stay one-step ahead of the regulations so you can future-proof your reporting strategy. With 25 years of experience in global tax reporting, we have the knowledge and expertise to assess and improve existing reporting solutions. To learn more visit tax.thomsonreuters.com/fatca-crs.