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Foreign persons are generally subject to U.S. withholding tax at a 30% rate on the gross amount of certain income they receive from U.S. sources. By providing a completed Form W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding (PDF), to the U.S. payer (also known as the U.S. withholding agent) before or at the time income is paid or credited, you are:
•Establishing that you are not a U.S. person,
•Claiming that you are the beneficial owner of the income for which Form W-8BEN is being provided, and
•If applicable, claiming a reduced rate of, or exemption from, withholding as a resident of a foreign country with which the United States has an income tax treaty. In order to claim a reduced rate or exemption from tax under an income tax treaty, the Form W-8BEN must include a valid U.S. taxpayer identification number.

The completed Form W-8BEN is provided to the U.S. payer (also known as the U.S. withholding agent) before or at the time income is paid or credited. This form is not filed with the U.S. Internal Revenue Service. For additional information, please refer to the Instructions for Form W-8BEN.

In general, Form W-8BEN only applies to certain payments to foreign persons.

Since you are a U.S. citizen, regardless of where you live, you should provide your U.S. bank or payer with a completed Form W-9, Request for Taxpayer Identification Number and Certification (PDF), to:
•Certify that the tax identification number you are giving is correct (or you are waiting for a number to be issued),
•Certify that you are not subject to backup withholding, or
•Claim exemption from backup withholding applicable to payees that do not provide a valid TIN tax identification number or are U.S. exempt payees.

Please refer to Form W-9 Instructions for more details.

In general, the buyer or other transferee of U.S. real property must withhold tax on the sales proceeds when it acquires the U.S. property from a foreign person. This withholding serves to collect U.S. tax that may be owed by the foreign person.

By law, the buyer must withhold 10% of the proceeds from the sale of U.S. real property by a nonresident alien. Form 8288-A, Statement of Withholding on Dispositions by Foreign Persons of U.S. Real Property Interests (PDF), is used to report details of the sale, including the amount of U.S. tax withheld, and transmit the information to the seller and the IRS.

The 10% withholding tax may be reduced or eliminated by filing Form 8288-B, Application for Withholding Certificate for Dispositions, by Foreign Persons of U.S. Real Property Interests (PDF), with the IRS before the sale of the U.S. real property occurs.

The gain on the sale of your U.S. real property must be reported on Form 1040NR, U.S. Nonresident Alien Income Tax Return. The amount of U.S. federal income tax withheld that is listed on your Form 8288-A must be entered in the Payments section on page 2 of Form 1040NR in order for you to receive credit for the tax withheld.

If the property you sold was owned by both you and your spouse, two Form 1040NR tax returns will need to be filed. You will need to each separately complete your own individual Form 1040NR. Include a schedule D with your Form 1040NR and divide all amounts equally when completing the various forms.

If you incur a loss on the sale of the U.S. real property, you will need to file the Form 1040NR to claim a refund for the taxes withheld and reported on Form 8288-A.

In general, nonresident aliens are subject to a 30% tax on the gross proceeds from gambling winnings in the United States, if that income is not effectively connected with a U.S. trade or business and is not exempted by an income tax treaty. However, no tax is imposed on nonbusiness gambling income a nonresident alien wins playing blackjack, baccarat, craps, roulette, or big-6 wheel in the United States. The tax withheld and winnings are reported to the nonresident alien on a Form 1042-S.

Nonresident aliens are taxed at graduated rates on net gambling income won in the U.S. that is effectively connected with a U.S. trade or business, such as that of a professional gambler.

Also, check any income tax treaties between the U.S. and the applicable foreign countries. For example, gambling income of residents (as defined in the respective income tax treaty) of the following foreign countries is not taxable by the United States: Austria, Belgium, Bulgaria, Czech Republic, Denmark, Finland, France, Germany, Hungary, Iceland, Ireland, Italy, Japan, Latvia, Lithuania, Luxembourg, Netherlands, Russia, Slovak Republic, Slovenia, South Africa, Spain, Sweden, Tunisia, Turkey, Ukraine, and the United Kingdom.

To claim any applicable treaty benefits, you must provide the payer a valid Form W-8BEN – with a U.S. taxpayer identification number – if the gambling income is not effectively connected with a U.S. trade or business. The Form W-8BEN is not filed with the IRS.