Instructions for Completing W-7 and W-8BEN Tax Forms

United States tax law requires everyone who earns income from U.S. sources to have a Taxpayer Identification Number (TIN), including individuals who are citizens of other countries. This process is necessary to satisfy the regulations of various tax treaties between the United States and governments elsewhere. If your country has a tax treaty with the U.S., you will be taxed according to the requirements of that treaty. If there is no treaty, 30% of your U.S.-originated earnings will be withheld. The following two forms must be completed in order to secure the tax number and complete the process.

Form W-7—This form must be completed first if you do not already have a TIN. If you already have a TIN, you do not need to complete this form. As you will see from the instructions, it will be necessary for you to forward one of several documents with the form. You do not have to submit the original document. Certified copies are acceptable. The instruction sheets include the address where the form should be sent. The U.S. Internal Revenue Service will notify you in writing of your tax number in 4-6 weeks.

Form W-8BEN—Once you have received your tax number, then complete the W-8BEN form and return it to the attention of your editor here at the Press. Please note that home addresses must be used on the W-8BEN form.

We normally send both forms to overseas authors. The W-7 form includes all necessary instructions. Please begin the process immediately, since we will be unable to pay royalties until we receive the properly completed W-8BEN form.

FREQUENTLY ASKED QUESTIONS

1. What is a Taxpayer Identification Number?

A Taxpayer Identification Number (TIN) is a nine-digit number that is used by the U.S. Internal Revenue Service (IRS) to process taxes on individuals earning income from U.S. sources. There are two kinds of TINs: the Social Security Number (SSN)—issued to U.S. citizens, permanent residents, and temporary (working) residents by the Social Security Administration—and the Individual Taxpayer Identification Number (ITIN), which is issued by the IRS to persons who are ineligible for a SSN. When you submit the W-7 form to the IRS, you are applying for an ITIN.

2. Why must I submit a W-8BEN to Penn Press?

The University of Pennsylvania will not allow us to process royalty or other payments to international authors until we have obtained a completed and signed W-8BEN.

3. I believe that I may already have a TIN. How can I verify this?

If you have ever been a permanent resident of the United States, have ever been granted a permit to work in the United States, or have ever received royalties from a U.S. publisher, you should already have a TIN. If you are unsure, you can check with the U.S. institutions—such as universities or publishers—from whom you have received income in the past. These institutions should have your tax information on file.

4. I am completing the W-7 form. Which box should I mark in the first section?

You should mark box "a" for "Nonresident alien required to obtain ITIN to claim tax treaty benefit." You do not need to mark any of the other boxes in this first section. You will, however, need to complete the "additional information" fields at the bottom of this section.

5. What are the "treaty country" and "treaty article number"?

The treaty country is your current country of residence. To find the treaty article number, you will need to download a PDF of the income tax treaty between the United States and your country of residence. A complete list of tax treaties is available on the IRS website. Check the treaty's table of contents for the section that deals with royalties. The article number for that section is the treaty article number.

6. Where can I find out more information about this process?

Pages 2 through 4 of the W-7 contain additional information about that form and how to complete and submit it. The IRS website also has a section devoted to international taxpayers. In addition, you can direct any of your questions to the acquisitions assistant who is handling the contracts for your project.