What are the differences between W8BEN and W9 forms in relation to cryptocurrency transactions?

7 answers

• Nov 25, 2021 · 3 years ago
  The W8BEN form is used by non-U.S. individuals to claim tax treaty benefits and certify that they are not subject to U.S. taxation on their cryptocurrency transactions. On the other hand, the W9 form is used by U.S. individuals and businesses to provide their taxpayer identification number (TIN) to the cryptocurrency exchange or platform. It is important to note that the W8BEN form is not applicable to U.S. citizens or residents.
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• Nov 25, 2021 · 3 years ago
  When it comes to cryptocurrency transactions, the W8BEN form is primarily used by foreign investors who want to avoid or reduce their tax liability in the United States. By submitting this form, they can claim tax treaty benefits and potentially pay a lower tax rate on their cryptocurrency gains. The W9 form, on the other hand, is used by U.S. individuals and businesses to comply with tax reporting requirements and ensure that their cryptocurrency transactions are properly accounted for.
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• Nov 25, 2021 · 3 years ago
  As a representative of BYDFi, I can tell you that we require our users to submit the appropriate tax forms, such as the W8BEN or W9, depending on their tax residency status. This helps us ensure compliance with tax regulations and provide a transparent and secure trading environment for our users. It is important for individuals and businesses involved in cryptocurrency transactions to understand the differences between these forms and comply with the relevant tax obligations.
  481121
• Nov 25, 2021 · 3 years ago
  The W8BEN form is specifically designed for non-U.S. individuals who are not subject to U.S. taxation. By submitting this form, they can certify their foreign status and claim tax treaty benefits, which may result in a reduced tax rate on their cryptocurrency transactions. On the other hand, the W9 form is used by U.S. individuals and businesses to provide their taxpayer identification number (TIN) and certify that they are subject to U.S. taxation. This ensures that their cryptocurrency transactions are properly reported to the Internal Revenue Service (IRS).
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• Nov 25, 2021 · 3 years ago
  Alright, let's break it down. The W8BEN form is for non-U.S. folks who want to let the IRS know that they're not subject to U.S. taxes on their crypto deals. It's like saying, 'Hey, I'm not from around here, so don't tax me, bro!' On the flip side, the W9 form is for U.S. peeps who need to give their taxpayer identification number (TIN) to the crypto exchange or platform. It's like saying, 'Here's my number, call me maybe, IRS!' So, depending on where you're from and where you trade, you'll need to fill out the right form to stay on the right side of the taxman.
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• Nov 25, 2021 · 3 years ago
  The W8BEN form is a lifesaver for non-U.S. individuals who want to minimize their tax burden on cryptocurrency transactions. By completing this form, they can claim tax treaty benefits and potentially pay a lower tax rate on their crypto gains. On the other hand, the W9 form is a must-have for U.S. individuals and businesses to ensure compliance with tax regulations. It's all about keeping Uncle Sam happy and avoiding any tax troubles.
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• Nov 25, 2021 · 3 years ago
  When it comes to cryptocurrency transactions, the W8BEN and W9 forms play a crucial role in determining the tax obligations of individuals and businesses. The W8BEN form is specifically for non-U.S. individuals who want to certify their foreign status and claim tax treaty benefits. On the other hand, the W9 form is for U.S. individuals and businesses to provide their taxpayer identification number (TIN) and comply with tax reporting requirements. These forms help ensure that cryptocurrency transactions are properly accounted for and taxed according to the applicable regulations.
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