Guide to Global Payroll Management - 2020 - D-104

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Guide to Global Payroll Management

1.1461-2(a)(2) or (3) (for withholding
under chapter 3), or Regulations section
1.1474-2(a)(3) or (4) (for withholding
under chapter 4).
If you repaid the recipient under the
reimbursement or set-off procedure
during the 2020 calendar year, do not
complete Box 9. Instead, reduce the
amount of withholding reported in Box
7a.
In most cases, an intermediary or
flow-through entity should not enter an
amount in Box 9 unless it is a QI that
represented on its Form W-8IMY that it
is assuming primary withholding
responsibility or is a WP or WT.

The adjustment for amounts
overwithheld does not apply to
CAUTION partnerships or nominees
required to withhold under section 1446.

Note. If the withholding agent meets
the above requirements, the withholding
agent may make adjustments to
overwithholding using either the
reimbursement or set-off procedures
until the extended due date for filing
Form 1042-S (or, if earlier, the date on
which the Form 1042-S is either filed or
furnished). Additionally, a withholding
agent may use the extended due date
for filing a Form 1042 to claim a credit
for any adjustments made to
overwithholding.
Box 10. Enter in Box 10 the combined
amounts reported in Box 7a (federal tax
withheld), Box 8 (tax withheld by other
agents), and Box 9 (overwithheld tax
repaid to recipient pursuant to
adjustment procedures).

Example. If the box 7a amount is
$600, the box 8 amount is $120, and the
box 9 amount is ($50), the box 10
amount will equal $670.

CAUTION

Box 10 must be completed in all
cases, even if no tax has been
deposited.

Box 11, Tax paid by withholding
agent (amounts not withheld). Enter
the total amount of tax paid by you and
not withheld from the payment to the
recipient. The amounts reported in Box
11 should be the amounts paid by the
withholding agent from its own funds
rather than through withholding from the
payment to the recipient. Any amount
reported in this box must not be
included in Box 10.

Box 12a, Withholding
Agent's Employer
Identification Number
(EIN)

You are required to enter your EIN.
However, if you are filing Form 1042-S
as a QI, WP, or WT, enter your QI-EIN,
WP-EIN, or WT-EIN. The Withholding
Agent's EIN cannot be truncated.

If you don't have an EIN, you may
apply for one online by visiting IRS.gov/
EIN. If you are outside the United
States, you may also apply for an EIN
by calling 267-941-1099 (not a toll-free
number). You may also apply for an EIN
by faxing or mailing Form SS-4 to the
IRS. File amended Forms 1042-S when
you receive your EIN.

To get a QI-EIN, WP-EIN, or WT-EIN,
submit Form SS-4 with your application
for that status. (See the definitions for
Qualified intermediary (QI) and
Withholding foreign partnership (WP) or
withholding foreign trust (WT) under
Definitions, earlier, for more
information.)

Boxes 12b and 12c,
Withholding Agent's
Chapter 3 and Chapter 4
Status Code

Enter the withholding agent status
code(s) from the list of Recipient Status
Codes in Appendix B, later. You must
enter both a chapter 3 and a chapter 4
withholding agent status code
regardless of the type of payment being
made. If you are a U.S. financial
institution (USFI), indicate your
chapter 4 status code as 01, except
when a foreign branch of a USFI issues
Form 1042-S (in such a case, indicate
the chapter 4 status code as 50).

Boxes 12d Through 12i,
Withholding Agent's
Name, GIIN, Country Code,
Foreign TIN (if any), and
Address

Enter your name and address in the
appropriate boxes. If your post office
does not deliver mail to the street
address and you have a P.O. box, show
the box number instead of the street
address.
If you are a nominee that is the
withholding agent under section 1446,
enter the PTP's name and other
information in Boxes 15a through 15i.
Note. On statements furnished to
individual recipients of U.S. source
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D-104

deposit interest, in addition to your
name and address, you must include
the telephone number of a person to
contact. This number must provide
direct access to an individual who can
answer questions about the statement.
The telephone number is not required
on Copy A of paper forms or on
electronically filed forms.

Box 12e, Withholding agent's GIIN.
The GIIN provided, if any, should be the
GIIN issued to the branch of, or
disregarded entity owned by, the
participating FFI or registered
deemed-compliant FFI that is making
the payment.

Box 12f, Country code. You must
enter the code (from the list at IRS.gov/
CountryCodes) for the country for which
you are resident under that country's tax
laws. Enter "OC" (other country) only
when the country of residence does not
appear on the list.
Note. If the withholding agent is a U.S.
person or a foreign branch of a U.S.
person, enter "US" in box 12f (even
though "US" is not a code on the list at
IRS.gov/CountryCodes).

Boxes 13a Through 13d,
Recipient's Name, Country
Code, and Address

Box 13a, Recipient's name. Enter the
complete name of the recipient in Box
13a.
* If you do not know the name of the
recipient, or are required to use the
recipient status codes for an unknown
recipient, enter "Unknown Recipient."
* If Form 1042-S is being completed by
a QI, WP, or WT for a chapter 3
withholding rate pool or chapter 4
withholding pool, enter "Withholding
rate pool" if withholding under chapter 3
was applied, or if chapter 4 withholding
was applied, a description of the
chapter 4 reporting pool (for example,
"Nonparticipating FFI Pool") in Box 13a.
* A withholding agent reporting
payments made to a participating FFI or
registered deemed-compliant FFI with
respect to a chapter 4 reporting pool
must include the name and address of
the FFI in Boxes 13a through 13g as
well as the FFI's GIIN and country code.
The GIIN reported must be the GIIN of
the branch to whom the withholding
agent is making the payment.
* A QI reporting payments made to a
PAI on a withholding rate pool basis
must include the name and address of
the PAI in Boxes 13a through 13g.
Instructions for Form 1042-S (2020)

Guide to Global Payroll Management - 2020

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