What classifies as US source of income? Do I need to fill out W-8BEN form?

Abby51
Level 1
Worcester, United Kingdom

What classifies as US source of income? Do I need to fill out W-8BEN form?

I filled out the W-8BEN form but now I'm questioning if I needed to.  Please can someone help?

I am British and my listings are all in the UK.  Re. taxable income, I currently do an annual tax return in the UK only.  I'm trying to figure out if I need to declare it in the US aswell?

The main question that I have is "What classifies as US source of income?"  

Is it:


a) the fact we are using Airbnb which is a US owned company? 
- If so, EVERY international host would surely be required to fill out the W-8BEN form.

b) where our listings are located?
-If so, ONLY international hosts with listings in the USA would be required to fill out the W8-BEN form.

Finally, IF the W-8BEN form is required, does US tax autimatically get deducted from our payouts or do we need to do something extra to pay tax due in the USA?  I read that foreign tax is 30%.....seems very harsh to be taxed both in the USA and in your home country.

Would appreciate a knowledgable answer!

4 Replies 4
Jeff158
Level 10
Caernarfon, United Kingdom

I presume the bank has sent you this, Barclays drive me potty with it.

W-8ben is only used if you sell goods and services in the USA, you are in the UK, your listings are in the UK, you get paid from airbnb in the UK. Big felt tip pen "not applicable" all over it and send it back.

Fred13
Level 10
Placencia, Belize

IF you were a US citizen then such a scenario would apply, but you are from UK, properties in UK.  Not applicable.

Olivier590
Level 2
Riga, Latvia

Hello Abby,
Did anything changed after you filled the form ? I mean, have you got some tax withheld on your income ?

Gina1525
Level 2
Christchurch, New Zealand

I have a timeshare in Las Vegas that i rent out on airbnb. I am a NZ citizen and live in NZ. I had to fil out the W-8ben form and now they take 30% off me. seems really harsh indeed. I am wondering if I still need to declare my earnings from air bnb in NZ as well?