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Q: For scholarship tax treaty applications, should Form W-8BEN be submitted and reviewed each year, given that most tax treaties have time limits on scholarship benefits?

A: Form W-8BEN is valid until the end of the year plus three additional years.

For example, if a taxpayer submits a W-8BEN in 2023, it remains valid until the end of 2026. However, the taxpayer must provide a new W-8BEN if there are any changes to their information.

It’s also important to verify the applicability of the treaty for the years ahead, as a treaty may expire before the W-8BEN form naturally expires. For example, a foreign student's treaty benefits might end before the W-8BEN form’s validity period.

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