Foreign vendors complete IRS W-8 form – W-8BEN, W-8ECI, W-8EXP or W-8IMY – and retroactive statement if they are an existing vendor. A brief summary of the purpose of each of the Forms W-8 is provided below with links to the form and its instructions.
Form W-8BEN (Certification of Foreign Status of Beneficial Owner for Unites States Tax Withholding) is for foreign vendors to provide their identifying information in Part I and certify in Part IV that they are not U.S. taxpayers. The Form W-8BEN is also used to exempt certain types of payments from the 30 percent federal income tax withholding required under U.S. tax law (see Part II). For a valid tax treaty exemption, the recipient must provide a U.S. tax identification number.
The form is valid for three years from the day it is signed after which MidAmerican Energy Company must receive a new Form W-8BEN. Access Form W-8BEN instructions and Form W-8BEN retroactive statement (applies to existing vendors only).
Form W-8ECI (Certification of Foreign Person's Claim that Income is Effectively Connected with the Conduct of a Trade or Business in the U.S.) is for exemption from withholding on income effectively connected with a trade or business in the United States. The form stipulates that the foreign entity files yearly U.S. tax returns to report all income claimed to be effectively connected with a U.S. trade or business. In order for the form to be completed properly, a U.S. tax identification number must be provided.
The form is valid for three years from the day it is signed after which MidAmerican Energy Company must receive a new Form W-8ECI. Access Form W-8ECI instructions and Form W-8ECI retroactive statement.
Form W-8EXP (Certification of Foreign Government or Other Foreign Organization for United States Tax Withholding) is used by foreign tax-exempt organizations to claim and document their tax-exempt status under U.S. tax law. To claim exemption from U.S. tax withholding, foreign tax-exempt organizations must provide documentation of their U.S. tax-exempt status. Foreign entities that cannot establish their U.S. tax-exempt status will be subject to 30 percent U.S. federal income tax withholding from their payments.
The form is valid for three years from the day it is signed or until circumstances change. The IRS requires that you notify MidAmerican Energy within 30 days of a change in circumstances. Access Form W-8EXP instructions and Form W-8EXP retroactive statement (applies to existing vendors only).
Form W-8IMY (Certification of Foreign Intermediary, Foreign Flow-Through Entity, or Certain U.S. Branches for U.S. Tax Withholding) is used for reporting payments to flow-through entities such as foreign partnerships or trusts.
The form is valid until circumstances change that make the certificate no longer correct. Access Form W-8IMY instructions and Form W-8IMY retroactive statement (applies to existing vendors only).
Form 8233 (Exemption from Withholding on Compensation for Independent [and Certain Dependent] Personal Services of a Nonresident Alien individual) is used by individual vendors who are eligible for tax treaty benefits to claim exemption from U.S. federal tax withholding.
The form is valid for one tax year. Access Form 8233 instructions and Form 8233 retroactive statement (applies to existing vendors only).