W8BEN-E for Canadian freight brokers

Freight17

Member
10
Can anyone offer advice on how to fill out a W8BEN-E for a Canadian freight broker? Up until now, we have used a W8BEN, but now they are asking us to update to W8BEN-E
 

Jim L

Well-Known Member
20
The W8BEN-E is the proper form for US companies to report on Canadian entities. We had our accountant in the US prepare it for us.

For us we filled:
PART I - Section 5, Check mark Active NFFE (Non-Financial Foreign Entity)
PART III - Section 14, the same information as you put in your W8
PART XXV - Section 39, check mark the box.
Of course, there is a bunch of other boxes like your name and signatures that is involved.

I still would recommend that you have your US accountant review your document because the FATCA rules are very complicated.

You can read more at:
 

johnnyn

Member
5
i am canadian freight broker as well and having the same issue with BEN-E.

What to write in "US TAXPAYER IDENTIFICATION NUMBER (TIN)? Or how to get one?
We have no office in USA.
 

Jim L

Well-Known Member
20
To do business with anyone in the US you have to apply for a US Taxpayer ID. As a Canadian Freight broker you should have applied and received an MC number for the US FMCSA broker. You need a US Taxpayer ID number to get this as well.
 

loaders

Site Supporter
30
I am not sure if that is quite correct Jim L. We have filled out numerous W8BEN-E and we do not have a US taxpayer ID. We do have an MC # as we are a US registered freight broker. As a Canadian freight broker you file under the Claim of Tax Treaty Benefits, Article V11 at a rate of 0% on business profits. You also include that the business has no permanent establishment in the US and as such, the business owner meets the terms of the treaty article. As a disclaimer, I am not a lawyer and this information was provided to us by the tax department of a very large US company when we were struggling with their request for this tax form. We have used this same format with other companies and have not received any questions or concerns. If in the future we are approached by the IRS, I may post something different regarding this form....however, I certainly hope not. By all means, if you are unsure, take Jim L’s advice and seek a professional legal opinion.
 

Freight17

Member
10
thank you Loaders. For the "0% on business profits. You also include that the business has no permanent establishment in the US and as such, the business owner meets the terms of the treaty article. ". does this go in Part 3 section 15 on the form?
 

Jim L

Well-Known Member
20
Maybe you're using a number but under a different acronym. TIN (Taxpayer ID Number), EIN (Employer ID number), SSN (Social Security Number) FEIN (Federal Employer ID Number) can all be interchangeable and usually have the format similar to ##-#######.

I find that most need a number because that is how they file and track the documentation.
 

Gord M

Active Member
15
Can anyone offer advice on how to fill out a W8BEN-E for a Canadian freight broker? Up until now, we have used a W8BEN, but now they are asking us to update to W8BEN-E
I had a big US broker send our W-8BEN-E 5 times i had to fix it and I just had confirmation I finally got it right, send me an e-mail at gord@greenwaycarriers.net and I will forward you a copy of our form filled out properly.
 
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