C.F.R.

C.F.R. 1441-5 Claiming to be a Person Not Subject to Withholding

C.F.R. 1441-5 Claiming to be a Person Not Subject to Withholding

C.F.R. 1441-5 Claiming to be a Person Not Subject to Withholding

It used to be here (up to 2000).

C.F.R. 1.1441-5 Claiming to be a person not subject to withholding.

(a) Individuals. For purposes of chapter 3 of the code an individual's written statement that he or she is a citizen of the United States may be relied upon by the payer of the income as proof that such individual is a citizen or resident of the United States. This statement shall be furnished to the withholding agent in duplicate. An alien may claim residence in the United States by filing form 1078 with the withholding agent in duplicate in lieu of the above statement.

(b) Partnerships and Corporations. ...

(c) Disposition of Statement and Form The duplicate copy of each statement and form filed pursuant to this section shall be forwarded with a letter of transmittal to the Internal Revenue Service Center, Philadelphia, PA. 19255. The original statment shall be retained by the withholding agent.

Now it is here:

C.F.R. 1.1441-1(d)

(d) Beneficial owner's or payee's claim of U.S. status —(1) In general. Under paragraph (b)(1) of this section, a withholding agent is not required to withhold under chapter 3 of the Code on payments to a U.S. payee (U.S. person),

As you can plainly see in this regulation, you may claim that you are not subject to withholding of income tax if you give your payor a statement of Citizenship (in duplicate), instead of providing a W-4 or a W-9 with a Social Security number on it.

It is important that you provide your employer/client with the instructions of subsection (c), as no other IRS office in the country can deal with this Statement of Citizenship properly ! Now, why do you suppose they don't teach all of the IRS employees about this provision ?

Be sure to check what the IRS's instructions are in Publication 515 regarding the withholding of income tax. Do you see how these provisions are all consistent ?

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