Indian Instructors: How I updated W-8BEN-E? For Entities Based in India
I have seen a number of new Indian Instructors ask a question: How to update the Udemy Tax Form? In that, there are two situations.
Situation 1: is when you apply as an Organization from India.
Situation 2: is when you apply as an Individual from India.
In this post, I will share the details of How I completed the tax form for Situation 1: As an Organization from India. You will be using form W-8BEN-E. Please read the disclaimer before you proceed.
W-8BEN-E is a tax form to be filled by foreign entities/organizations. It is NOT to be filled by Individuals
This post does not cover all the situations and exceptions to fill out this tax form. It only covers how I have updated my tax form. I will NOT know answers to all of your questions.
This post is for Sole-Proprietorship Organizations based in India: My Organization is a Sole-Proprietorship registered in India. So, the inputs in this post will be applicable to those who have an organization registered as the sole-proprietorship in India.
Please Consult a Professional: This is just a guideline to help you fill out the form. Please consult a professional chartered accountants (CA) to ensure you are updating everything in the right way.
I am NOT an expert in filling out Tax forms: When I had filled out the form for the first time, I had sought help from my CA. I am just here to help. I should NOT be held responsible or liable for any trouble.
I was Looking for Some Guidance Back Then: I had many questions when I was filling out the form the first time. At that time, I had wished some Indian Udemy Instructor had written a post that would help in guiding with necessary inputs. I am sure you may be in the same situation. Hence, I am writing this post.
As I understand, most of you may be stuck on point 14b only. So, I am addressing this at the beginning of the post. For my organization, the only correct item was Company with an item of income that meets active trade or business test.
Details of how I filled out my W-8BEN-E Tax Form are outlined below:
Part 1: Identification of Beneficial Owner
Name of organization that is the beneficial owner: Add the name ofyourregistered organization here
Country of incorporation or organization: Ofcourse, add “India”
Name of disregarded entity receiving the payment: Left blank
Chapter 3 Status (entity type): I had ticked Private Foundation
Chapter 4 Status: Left Blank
Permanent Residence Address: I added my company registered address here
Mailing Address: Left Blank
US Tax Payer Identification Number (TIN): I selected Not Applicable
9a GIIN: Left Blank
9b Foreign TIN: Entered the PAN Number of my organization
10. Reference Number: You know what number to update here
Part 2: is all left blank
Part 3: Claim of Tax Treaty Benefits (if applicable)
14a The beneficial owner is a resident of India...
14b The beneficial owner derives the item (or items)…: Selected Company with an item of income that meets active trade or business test
14c Left Blank
Parts IV to Part XXIX are left blank
Part XXX Added the Signature, Self Certification, and Date.