Allison Baker is an associate in the firm’s Washington, DC office and a member of the Tax Practice Group. Her practice focuses on a broad range of tax matters, including international tax planning, IRS audits, and the taxation of settlement payments.

The Internal Revenue Service recently released an online tool to help U.S. withholding agents comply with withholding and reporting obligations on IRS Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding.  Forms 1042-S are issued by withholding agents to non-U.S. beneficial owners of U.S. source FDAP income under Chapter 3 and to non-U.S. payees who receive U.S. source withholdable payments under Chapter 4.  Given the complexity of the Form 1042-S, this tool provides withholding agents with an opportunity to screen their draft Forms 1042-S for errors prior to filing.  The Form 1042-S Data Integrity Tool performs a quality review of data before IRS submission at no cost to the user.
Continue Reading IRS Releases Form 1042-S Data Integrity Tool to Assist Withholding Agents in Complying With Withholding and Reporting Obligations