topic W9 and W8BEN in Get your taxes done using TurboTax

W9 and W8BEN

lewisvo20 — Fri, 31 Jan 2025 00:31:39 GMT

Recently, I opened an account that earns interest. I am working in the US under and H1B visa. I submitted a W8BEN but was asked to submit it again due to an address change. However, when I went to see the banker, they helped me to submit W8BEN again but also submit a W9 as the bank system showed that I needed the W9. I am a non-US citizen/resident but I have an SSN. My question is do I need to submit W9 or just wait to see if my new W8BEN is ok?

When submit the new W8BEN, there is a section that asks me to explain why I have a US address. The tax person recommended me to aks for my tax advisor when filling this out. Do I really need a tax advisor for this?

Thank you

Re: W9 and W8BEN

KrisD15 — Fri, 31 Jan 2025 22:00:22 GMT

If the bank asks you to fill out Form W-9, and you are not claiming foreign tax filing status, you should fill out the W-9 and submit it to the bank.

Form W-9 is given to the person/company/bank that will be paying you. In your case, a bank that will be paying you interest. It has to do with the required tax withholding that needs to be done (if any) by the Payer (bank). W-9 is used by individuals with a Taxpayer Identification Number (TIN).

Form W-8BEN is also used to determine tax withholding, but is used by individuals that are not considered resident aliens for tax purposes.

Form W-8BEN has a section for a mailing address , but also a section for a foreign address. A foreign address would be required since Form W-8BEN is reporting that the person is NOT a resident for US filing purposes, so they would have a foreign residency.

The form the bank requires would depend on your residency status for tax filing.

Since you are H-1B status, if you meet the Substantial Presence Test you would file Form 1040 as a resident for tax filing purposes.

If you were physically in the United States 183 days in 2024, you would file Form 1040 as a resident for tax filing purposes.

You don't need help filling out W8BEN since we think you'll be submitting a W-9 to the bank instead of a W8BEN. You probably don't need help filling out Form W-9 by yourself, but if you do need help from a local professional, TurboTax may be able to recommend a Tax Pro in your area.

[Edited 01/31/2025 I 2:00 pm PST]

@lewisvo20

Re: W9 and W8BEN

Opus 17 — Fri, 31 Jan 2025 01:18:26 GMT

W-9 is probably correct, but it doesn't matter.

The W8BEN is used to collect the personal information of a foreign person who will be receiving money that could be subject to tax withholding (such as interest income). The W-9 is used to collect the same information from a US person (person subject to US tax law, which includes citizens, resident aliens, and green card holders).

As an H1B visa holder you are treated as a resident alien if you pass the substantial presence test.

https://www.irs.gov/individuals/international-taxpayers/substantial-presence-test

If you do not pass the substantial presence test for 2024, then you are a non-resident for 2024. The W8BEN is technically more correct, but it should not matter, since the W8BEN only affects whether or not the bank will withhold taxes if they pay you interest, and if they do withhold taxes, it goes to your credit when you file your tax return. If you are a non-resident for 2024, you can't use Turbotax, you need to use Sprintax or another tax software for non-resident aliens. The W8BEN does not go to the IRS, it just stays in the bank files to document that they collected appropriate information from you.

If you do pass the substantial presence test for 2024, then the W-9 is correct and you can use Turbotax when you file.

Depending on when you entered the US, you might be a non-resident alien this year but a resident alien next year.

https://www.irs.gov/individuals/taxation-of-alien-individuals-by-immigration-status-h-1b

Re: W9 and W8BEN

lewisvo20 — Fri, 31 Jan 2025 13:28:11 GMT

I stay in the us for a full year of 2024, so I am supposed to pass the substantial presence test, am I?

Re: W9 and W8BEN

Opus 17 — Fri, 31 Jan 2025 15:26:58 GMT

@lewisvo20 wrote:

I stay in the us for a full year of 2024, so I am supposed to pass the substantial presence test, am I?

Yes, check the rules at the link. If you are in the US more than 183 days, you are generally a resident alien.

Re: W9 and W8BEN

pk — Fri, 31 Jan 2025 22:31:34 GMT

@lewisvo20 , agreeing with my colleagues @KrisD15 and @Opus 17 for the responses, I just like to add two small points ( as a matter of general interest on the topic :(

(a) No you do not have to have a tax advisor --- the use of the TIN certification form W-9 and W-8BEN are really to declare to the payor ( of the interest/dividend -- non-employee earnings ) of your tax status and whether there is a need for withholding of federal taxes and at the appropriate rates ( federal or treaty mediated ).

(b) here is a page/article from the IRS that may be of general interest on the subject:

Federal income tax withholding and reporting on other kinds of U.S. source income paid to nonresidents | Internal Revenue Service

Hope this helps.

Is there more one of us can do for you ?

Re: W9 and W8BEN

lewisvo20 — Sun, 02 Feb 2025 15:46:19 GMT

Yes, those are really useful info. Thank you for all of your answers