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According to the US tax laws, any US company making payment to foreign person or business must withhold a mandatory amount of 30%. However, you can be exempted from a 30% withholding tax by submitting a W8 form.
W-8BEN, W8BEN-E, and other W-8 forms was created by U.S. tax authority (Internal Revenue Service) to proof that the receiver is not a tax payer in the US.
All non – US foreign persons and businesses are advised to submit a correct W-8 form. Otherwise, that the foreign individual or