IRS introduces new U.S. tax certification procedure.

PositionNational

A new IRS tax form, Form 8802, Application for United States Residency Certification, will make it easier for U.S. individuals and businesses to establish that they are entitled to lower foreign tax rates provided by U.S. income tax treaties.

The United States has tax treaties with many countries, which generally will reduce the statutory tax rate for income paid to U.S. citizens and businesses investing or operating in those countries. Upon receiving proof of U.S. residency, some countries will allow withholding of that country's tax at the treaty-reduced rate, some even as low as zero.

As of July 5, taxpayers who need proof of U.S. residence to qualify for lower treaty rates while working or investing...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT