CWA Changes and Clarifications Announced - (9/26/12)
Effective October 1, 2012, all requests for Central Withholding Agreements (CWAs) must be sent to the following address/fax number:
Central Withholding Agreement Program
Mail Stop: 1441
2001 Butterfield Road
Downers Grove, IL 60515-1050
Fax: (603) 493-5906
The IRS has also announced that as of January 1, 2013, CWA requests must be received at least 45 days prior to the first event to be covered by the agreement. The IRS will not process any request it receives less than 45 days before the event, and therefore such event(s) will be subject to 30% withholding of the gross income. Take note, and be sure to submit all CWA requests well in advance!
For more information, the IRS has posted a Q & A from a recent phone forum about CWAs. The Q&A addresses many misconceptions about payments to – or for the services of – nonresident artists, and may be useful for anyone who presents or represents foreign artists.
The IRS has also stated that individual nonresident aliens working in the U.S. no longer need to wait 10 days after arrival to request a Social Security Number (SSN). However, legal advisors suggest the 10 day waiting period still be observed. It can take up to 10 days for the Department of Homeland Security to update arrival information and immigration status, and many workers at the Social Security Administration (SSA) who are unfamiliar with this IRS position turn away nonresident aliens who do not wait 10 days before filing for an SSN. Therefore, foreign artists are still advised to wait 10 days before visiting the SSA. Read further guidance on how to obtain an SSN or Individual Tax Identification Number.