An individual or organization that acts as a nominee on behalf of another individual or organization is considered the individual's or the organization's nominee.

Nominee applicants must submit:

When entering a Nominee applicant in the certification database:

Do not certify the Nominee applicant as a resident. Certify the taxpayer for which the applicant is a nominee.

When the taxpayer the Nominee represents has its residency status verified, certification will be issued using the paragraph NOM.PTR:

" I certify that the above-named partnership is an agent acting on behalf of the following list of individuals and entities, and to the best of our knowledge, each individual or entity listed below is a resident of the United States of America for purposes of U.S. taxation."

U.S. Citizens are required to file Form 1040, 1040A or 1040EZ and report their world wide income when their gross income exceeds the minimum dollar amount established for the filing status and the tax year for which the applicant is claiming U.S. residency. The Form 8802 for these applicants should include:

U.S. citizens that file married filing joint returns, but need individual certification and are not the primary taxpayer on the joint filed return, must have:

U.S. citizens who are not required to file a tax return must provide a written statement under penalties of perjury explaining why the law does not require that they file a tax return for the period the treaty benefit is claimed. Check Form 8802 for the statement. The applicant must also supply proof of income such as Form W-2, Form 1099, etc. when applicable. The Form 8802 should also include:

For U.S. citizens under the age of 14 whose parents have elected to use Form 8814, Parents' Election to Report Child's Interest and Dividends , to report the child's income on their return, Form 8802 must include:

For U.S. residents under the age of 14 whose parent/parents have NOT elected to use Form 8814, Parents' Election to Report Child's Interest and Dividends, to report the child's income on their return, Form 8802 must include:

When entering a minor under the age of 14 in the certification database:

Certification applications for U.S. Citizens who are deceased must include:

In addition to the information required above (IRM 21.8.4.7.12.2.), U.S. citizens and green card holders who attached to their Form 1040, U.S. Individual Income Tax Return, one of the following:

Certification may also be issued to such taxpayer if the Form 2555 was not filed by the applicant (it belongs to the spouse), or if Form 2555 is for a partial year, and the certification year requested is for the remainder of the year.

Exception: U.S. citizens and green card holders living outside the United States who are requesting certification for Bangladesh, Bulgaria, Cyprus, Hungary, Iceland, India, Kazakhstan, Malta, New Zealand, Russia, South Africa, Sri Lanka, or Ukraine are not required to submit additional information (described above in paragraphs (8) and (9)) and may be certified, provided that the individual is not a dual resident of the country for which certification is requested. When determining if an applicant that has filed Form 1040, with an attached Form 2555 requesting certification for the country of Bangladesh, Bulgaria, Cyprus, Hungary, Iceland, India, Kazakhstan, Malta, New Zealand, Russia, South Africa, Sri Lanka, or Ukraine is eligible for U.S. residency certification, a very important factor is the post of duty (POD) claimed on the Form 2555. See Job Aid. Use the following chart with CC RTVUE when processing a Form 8802 from an applicant that has filed Form 1040, with an attached Form 2555 requesting certification for the country of Bangladesh, Bulgaria, Cyprus, Hungary, Iceland, India, Kazakhstan, Malta, New Zealand, Russia, South Africa, Sri Lanka, or Ukraine to check the POD code to ensure that the applicant was not a resident of that same country.

If an individual is a resident of both the United States and the country for which certification is requested, he or she may be denied certification, unless the individual can establish that he or she is solely a resident of the United States under the tiebreaker provision of the applicable treaty. The 2006 U.S. Model treaty tiebreaker provision reads — Where an individual is a resident of both Contracting States, then his status shall be determined as follows:

Use the following chart with CC RTVUE when processing a Form 8802 from an applicant that has filed Form 1040, with an attached Form 2555 requesting certification for the country of Bangladesh, Bulgaria, Cyprus, Hungary, Iceland, India, Kazakhstan, Malta, New Zealand, Russia, South Africa, Sri Lanka, or Ukraine to check the POD code to ensure that the applicant was not a resident of that same country.

Once you've secured the return, turn to the Form 2555, or Form 1116 filed in lieu of Form 2555, and follow the procedures below for processing the certification application:

If the applicant is a resident of a foreign country for the year certification is requested, the applicant is not entitled to treaty benefits, unless approved by mutual agreement between the competent authorities.

U.S. Citizens living in a Foreign Country or Possession are treated as if living in the United States when they are:

Resident Aliens are individuals who:

Resident Aliens living in the United States are taxed on their worldwide income in a manner similar to U.S. citizens living in the United States, therefore, follow the guidelines above. See IRM 21.8.4.7.12.2.

Resident aliens who recently arrived in the United States and have not yet filed a U.S. income tax return, in addition to the requirements listed in IRM 21.8.4.7.12.2, must submit:

First year U.S. Residents who have made, or intend to make, the first-year residence election under IRC § 7701(b)(4) must, in addition to the requirements in IRM 21.8.4.7.12.2, provide a copy of the election statement required with the 1040 income tax return for the taxable year of the election. See Publication 519, Chapter 1 for details about the first-year residency statement requirements.

When the calendar year for which certification is requested has not yet passed and the applicant has not yet filed a first-year residence election statement, the applicant must attach, under penalties of perjury, a statement that he or she intends to file such statement and that he or she is eligible to make the election.

Generally, A1, F1, M1, J1 and Q1 Visa Holders and their families (A2, A3, F2, F3, M2, J2, Q2, etc.) are not eligible for U.S. residency certification. If you receive an application from one of these type visa holders, who filed a Form 1040, the applicant must provide an explanation as to why the Form 1040 was filed, and provide proof that the applicant's worldwide income was reported on the Form 1040.

Treat an individual applicant as Dual Status taxpayers when, during the tax year for which certification is requested, the individual was both:

Dual Status situations generally occur in the year an alien first arrives in the United States (the year the alien becomes a U.S. Resident for tax purposes), or the year the alien departs from the U.S. (losing or giving up residency status). The dates of residency, on line 4a of Form 8802, must be entered in the dual resident field.

Individual certification applicants that need certification for the Current year must include a penalty of perjury statement.

See IRM 21.8.4.1.5, Current Year Certification Applications.

Follow instructions in the chart below when a Status Code 508 or 509 is generated.

Once you have verified that the applicant is a U.S. resident, and therefore entitled to treaty benefits, issue the certification (status code 099). Certify using the appropriate IND.1040 certification paragraph:

When no return has been filed (CFOL status code 012) and the date of birth (DOB) field on the entity indicates that the application is for a minor, issue letter 3426.

When an Individual Applicant (Resident Alien or U.S. citizen) appears to have a filing requirement, but has not filed a U.S. tax return (CFOL status code 509), issue letter 3426 . Letter 3426 requires one of the following:

United States Corporations are corporations that are created and organized in the United States; they are automatically considered resident corporations even if doing business abroad. All such corporations would File Form 1120.

United States Corporations may also include any domestically organized entity that is treated as a corporation for federal tax purposes under the "Check the Box" rules (Treas. Reg. 301.7701-2 through -3).

Corporate applicants that were not incorporated in the United States must specify their country of incorporation on Form 8802.

As a general rule, a corporation that is not incorporated in the United States is not entitled to U.S. Residency Certification. However, there may be exceptions for corporations that, under the following Internal Revenue Code sections, are treated as domestic (U.S.) corporations:

Corporations that are not incorporated in the United States, but are treated as U.S. corporations under IRC § 269B, IRC § 943(e)(1), IRC § 953(d), IRC § 1504(d), or IRC § 7874(b), must specify on Form 8802 the Code section under which they are treated as a domestic corporation. When certification is requested for the same country in which the corporation is incorporated, the application must be forwarded through the P&A analyst to the HQ analyst for review.

Corporations that are neither incorporated in the United States, nor treated as a domestic corporation under IRC § 269B, IRC § 943(e)(1), IRC § 953(d), IRC § 1504(d), or IRC § 7874(b) but nevertheless believe that they are entitled to U.S. Residency Certification, should seek competent authority assistance using Rev. Proc. 2006-54. In addition, the applicant must:

U.S. corporations are required to file one of the corporate forms within the 1120 series in order to qualify for certification. The filing requirements on the Form 1120 filers entity module are shown as 1120-01.

The Form 1120–IC–DISC, Interest Charge Domestic International Sales Corporation Return, is processed on Non-Master File (NMF). To verify a fact of filing, you must contact the NMF Accounting Unit.

Certain foreign organized entities that are disregarded for U.S. tax purposes (e.g., a single member LLC) may be certified, provided their income is reported on a consolidated Form 1120 and we can verify that the U.S. parent corporation has identified the foreign entity on Schedule N of its Form 1120. See IRM 21.8.4.7.12.10, Limited Liability Company Applicant, for additional instructions.

U.S. corporations, in addition to having filed a tax return or obtained an extension, must provide the following with their certification application:

Current year Corporate applications must also include a penalty of perjury statement from a corporate officer with legal authority to bind the corporation stating under penalties of perjury that,

" XXX corporation is a United States Corporation and shall remain so throughout the current tax year."

Corporate applicants are also required to indicate on Form 8802 whether they are Dual Resident Corporations (DRCs). DRCs must name the other country in which they are resident. DRCs may not be entitled to U.S. Residency Certification, if they are requesting certification for their other country of residence.

Generally, a DRC of Canada and the U.S. is considered a resident of the country in which the DRC is incorporated. However, an exemption to the general rule applies if a DRC is incorporated in both the U.S. and Canada. In such a case, determine where the company was incorporated initially, and if the company continues to be a resident of such country, or if DRC continued (incorporated) in the other country, then it would be a resident of the other country. A dual resident corporation of Canada will always be a U.S. resident because the tie automatically breaks in favor of the place of incorporation (provided it is only incorporated in the U.S.).

Dual resident corporations may not be entitled to U.S. residency certification, if requesting certification for their other country of residence named on Line 4e of Form 8802. See the chart below for determining if a DRC is entitled to treaty benefits in its dual resident country.

Dual resident corporations that are only entitled to treaty benefits if the competent authorities agree, must have obtained this mutual agreement using Rev. Proc. 2006-54, or prior to seeking U.S. residency certification. Applicants that have copies of the mutual agreement reached on their corporations, must submit a copy with their application.

Dual resident corporations that are never entitled to treaty benefits in their other country of residence must be denied certification.

DRCs requesting certification for China are not entitled to treaty benefits if it is a Dual Resident Corporation in a country that has a treaty with China. The following countries have treaties with China.

A DRC that requests certification for China and indicates on Form 8802, line 4e, a dual residence with one of the countries listed in IRM 21.8.4.7.12.3 (17) above, must be denied certification. According to the China treaty, the corporation is not entitled to treaty benefits.

Use the following chart to work status codes 500, 508, 509, 513 or 514:

Once the applicant has met the requirements specified for a U.S. corporation and you have verified residency, issue the certification. See IRM 21.8.4.7.12.4. when the applicant is a subsidiary.

U.S. corporations that have applied for an extension of time to file are qualified to receive certification. If you cannot verify the extension, do not certify the corporation.

When the U.S. corporation indicates that it is newly formed and the corporation has not yet been required to file a tax return, use the letter 3444 to request a copy of its corporate charter in lieu of the tax return.

When IDRS indicates that the account has not been established:

Foreign Corporations and Foreign Sales Corporations are not entitled to treaty benefits. These forms can be identified on IDRS by the tax class of "3" and a document code of 66, 67, 69 or 07.

Any Corporation that has had its application declined or certification rejected, but believes it is entitled to treaty benefits under a specific treaty article, should follow Rev. Proc. 2006-54 to request Competent Authority assistance.

A corporation that is a subsidiary of another corporation is included in that corporation's consolidated return.

A corporate subsidiary applicant that filed a Form 1120F, whether or not included on a consolidated return of a U.S. parent corporation, generally is not entitled to U.S. Residency Certification. If the subsidiary filed Form 1120F, and believes it is entitled to U.S. Residency Certification under a specific treaty article, refer the applicant to Rev. Proc. 2006-54.

A corporate subsidiary applicant that has a filing requirement of Form 1120F, whether or not included on a consolidated return of a U.S. parent corporation, is not entitled to U.S. Residency Certification. Issue letter 4057.

A corporate subsidiary applicant's Form 8802 must include:

If the application is for a subsidiary, and the applicant failed to supply a copy of the consolidated return and/or the Schedule 851, research the subsidiary's entity and tax module to verify that the applicant is recognized as a subsidiary by IRS.

Once you have verified that the entity is a subsidiary corporation, you must verify the parent corporation has filed its required return.

Begin entering the Form 6166 application information once you have all required information. See Form 8802 lines in (3) above.

In addition to inputting the other required fields specified in IRM 21.8.4.7.12.3., you must:

Use the chart below to work status codes 103, 508, 509, and 514.

When all of the required information has been received and entered, and the system has verified that the parent has filed its required return, validate (099) status. Otherwise, you must manually verify the filing of the parent return and issue the certification. Issue certification using one of the corporate paragraphs:

When the Parent corporation failed to file its required return, issue Letter 3444.

Any subsidiary corporation that has had its application declined, but believes it is entitled to U.S. Residency Certification, must submit a copy of its completed Form 8802, attach a detailed explanation and/or regulation or code section, including documentary evidence, as to why it believes it is entitled to certification.

Any subsidiary corporation that has had its application declined or certification rejected, but believes it is entitled to treaty benefits under a specific treaty article, must follow Rev. Proc. 2006-54 to request Competent Authority assistance.

Pursuant to IRC § 1362(a) and (b), an eligible corporation may elect to be an S Corporation by the filing and acceptance of Form 2553, Election by a Small Business Corporation. S Corporations are required to file a Form 1120S, U.S. Income Tax Return for an S Corporation. The filing requirements on 1120S filers' entity modules are shown as 1120-02 on CC INOLE or ENMOD.

The maximum number of shareholders in a Subchapter S Corporation depends on the tax year in question.

In tax years prior to 2004, Subchapter S Corporations that had more than 75 shareholders were considered in violation of their S election.

In tax years beginning after 2004, Subchapter S Corporations that have more than 100 shareholders may be in violation of their S election.

An S corporation, although incorporated in the U.S., is not taxable by the U.S. at the entity (corporate) level (S Corp. level) on its worldwide income.

Based upon the facts listed in paragraph (4) above, the certification issued to an S corporation is not similar to certifications issued to a C corporation (1120 filer).

A requestor (this includes shareholders within the S Corporation) of a Subchapter S corporation certification must have written authorization from each shareholder to receive the requested certification information. Approved authorizations include:

A requestor, if other than a shareholder of the S Corporation during the tax year for which certification is requested, must have written authorization to receive the S Corporation's tax information from a corporate officer with legal authority to bind the S Corporation.

The S Corporation's Form 8802 application must include:

Subchapter S Corporations that need current year certification must include:

Current year Corporate applications must include a statement from an officer with legal authority to bind the corporation stating under penalties of perjury:

"XXX corporation, EIN is an S Corporation, its entity classification has not changed since it filed its return, and it is a United States Corporation and shall remain so through the current tax year."

If the requestor failed to provide the required information, suspend the case and contact the requestor for the missing information using the letter 3441, or by telephone.

Certification of a S corporation requires:

In addition to using the procedures in this section for working S Corp. status codes, use the chart below for a quick reference to working status codes 515, 520, 521 and 522.

Issue the standard 1120S certification, when the S corporation and all of its shareholders have:

If one or more of the shareholders failed to file their required return, you must issue the 1120S Certification with a list indicating which shareholders have filed.

When all of the shareholders on the S Corporation failed to file their required individual tax return or extension, reject the S Corporation application. Issue 4060C letter.

If any one of the shareholders on the S Corporation failed to file or filed an individual tax return claiming a foreign tax home (Form 2555 exclusion), that shareholder must be excluded from the certification list (see exception). Issue certification with a list of the shareholders that filed as U.S. residents.

If none of the shareholders filed, there are more than 100 shareholders, or any one of the shareholders filed their individual tax returns as a non-resident:

Any S Corporation that has had its application declined, but believes it is entitled to U.S. Residency Certification, must submit a copy of the completed Form 8802, attach a detailed explanation and/or regulation or code section, including documentary evidence, as to why it believes it is entitled to certification.

Any S Corporation that has had its application declined or certification rejected, but believes it is entitled to treaty benefits under a specific treaty article, must follow Rev. Proc. 2006-54 to request Competent Authority assistance.

A Qualified Subchapter S Subsidiary (Q-Sub) is a domestic corporation whose stock is 100% owned by its parent S corporation.

IRC § 1361 permits S Corporations to elect to own a qualified Subchapter S subsidiary. Form 8869, Qualified Subchapter S Subsidiary Election, is used to make this election. See Job Aid.

When the IRS accepts a Q-Sub election, the Qualified Subchapter S Subsidiary is deemed liquidated into the parent S Corporation. If the Q-Sub was a separate corporation, it is no longer treated as such. The Q-Sub is a disregarded entity upon acceptance of the election and is not treated as a subsidiary of a corporation. That is to say, it is not recognized as a separate entity.

Approved Form 8869, Qualified Subchapter S Subsidiary Election, will have a transaction code 082 on the entity module.

Q-Sub Form 8802, Application for United States Residency Certification must include:

When the Q-Sub application is complete and includes acceptable proof of its Q-Sub status:

Acceptable proof of an approved Form 8869:

When an applicant submits an approved 8869 but a TC 082 is not posted on the Q-Sub's parent's account:

When an applicant submits a Form 966, Corporate Dissolution or Liquidation, filed in 2001 or prior, and claims that the previous corporation is now a subsidiary of an S Corporation (a Q-Sub), but a TC 082 cannot be located:

Once Entity has reviewed the case and made the determination, process your case accordingly.

Requestors that fail to provide the required information in (5) above must be corresponded with using letter 3441, or 3536, or by telephone.

Certification of a Qualified Subchapter S Subsidiary requires the following verification:

When all shareholders in the parent S corporation have filed their required returns, issue the standard Q-Sub certification paragraph.

When one or more of the shareholders in the parent S Corporation failed to file the required return, or failed to provide a tax information disclosure authorization, you must issue the Q-Sub paragraph with the parent S corporation list indicating which shareholders have filed.

When all of the shareholders on the Parent S Corp. failed to file the required individual tax return or extension, reject the Q-Sub application using Letter 4060.

If any one of the shareholders on the Parent S Corp. failed to file, or filed the individual tax returns claiming a foreign tax home (Form 2555 exclusion), issue certification with a list of the shareholders that filed Form 1040 as a U.S. resident.

If any one of the shareholders on the Parent S Corp. filed an individual tax return as a non-resident (Form 1040NR):

Working status codes for Q-Sub Applicants:

Any Q-Sub Applicant that has had its application declined, but believes it is entitled to U.S. Residency Certification, should submit a copy of its completed Form 8802, attach a detailed explanation and/or regulation or code section, including documentary evidence, as to why it believes it is entitled to certification.

Any Q-Sub that has had its application declined or certification rejected, but believes it is entitled to treaty benefits under a specific treaty article, must follow Rev. Proc. 2006-54 to request Competent Authority assistance.

Partnerships are not considered U.S. residents within the meaning of the residence article of U.S. income tax treaties. Treaty benefits are only available to partners within a partnership, not the partnership.

U.S. Partnerships are generally required to file a Form 1065, U.S. Return of Partnership Income. Certification of partnerships generally require:

Partnership Certification Application requires completion of:

When none of the partners filed the required tax return or extension, reject the partnership application.

If any one of the partners in the partnership failed to file, failed to provide tax disclosure authorization, filed as a non-resident, or filed an individual tax return claiming a foreign tax home (Form 2555 filed, see exception), issue certification with a list of the partners that filed as a U.S. resident.

Current Year Partnership Applications, in addition to the requirements listed in paragraph (2) above, must include:

A requestor (this includes partners within the partnership) of a partnership certification must have written authorization from each partner to receive the partner's tax information for certification. Requestors that are not a partner in the partnership must also secure authorization from the tax matters partner to receive the Partnership's certification information.

The forms used to secure tax disclosure authorization are:

Use the chart below to work status codes 091, 520, 521 and 522/322.

When the Partnership applicant has met all requirements, issue Form 6166.

When the applicant doesn't provide the required information; request the information using letter 3429 or letter 3536.

Advise any Partnership Applicant that has had its application declined, but believes it is entitled to treaty benefits under a specific treaty article, to follow Rev. Proc. 2006-54 to request Competent Authority assistance.

A Trust is an arrangement created either by a will or by an inter vivos declaration by which trustees take title to property for the purpose of protecting or conserving it for the beneficiaries. The beneficiary is:

A trust is a legal entity created under State law and taxed under Federal law. There are two different types of trusts that can be certified:

A trust is a domestic trust if a court within the U.S. is able to exercise primary supervision over the administration of the trust, and one or more U.S. persons have authority to control all substantial decisions of the trust.

An estate is a legal entity that is created as the result of a person's death or bankruptcy. The estate consists of the real and/or personal property of the deceased person. The estate pays any debts owed by the decedent and then distributes the balance of the estate's assets to the beneficiaries of the estate.

The following is a list of definitions for different types of estates:

The type of estates that most often request U.S. Residency certifications are decedent estates.

A decedent estate figures its gross income much like an individual.

Income distributions to beneficiaries are taxable to the beneficiary; however, estates are treated as residents and U.S. residency certifications are issued at the estate level, regardless of whether or not it distributes its income.

Certification of an estate applicant requires that the applicant complete all of the Form 8802 required fields, that a Penalty of Perjury statement be provided when necessary eg., current year and that the estate has not filed its required Form 1041.

When an estate has met all certification requirements, issue certification using one of the EST.1041 paragraphs.

A Limited Liability Company (LLC) is an entity formed under state law by filing articles of organization as an LLC.

A Limited Liability Company may elect to be classified for Federal Tax purposes either as:

Pursuant to Treasury Regulation 301.7701-3(a), a single-member LLC can only elect to be classified for federal income tax purposes as:

A limited liability company uses Form 8832, Entity Classification Election, to elect their entity classification.

When the Form 8832 election is processed, transaction code 076 appears in the entity module if the election was accepted. Transaction code 078 appears if the election was rejected. See Job Aid.

A LLC that fails to file Form 8832 electing its classification will DEFAULT:

In the year 2001 and prior, a LLC electing to be classified for federal income tax purposes as disregarded as an entity separate from its owner filed Form 966, Corporate Dissolution or Liquidation.

When an applicant submits a Form 966 (filed in 2001 or prior) and claims that the LLC is classified for federal income tax purposes as a disregarded entity (DRE), but a TC 076 cannot be located, you must:

When certifying a LLC that is classified as a partnership entity for Federal Tax purposes, click the LLC box. See IRM 21.8.4.7.12.7 for procedures.

When certifying a LLC that has elected to be classified as a corporate entity for Federal Tax purposes, see IRM 21.8.4.7.12.3 for procedures.

Form 8802 of a single-member LLC requires:

Single-member owners will be one of the following type entities:

When required, the Single-Member LLC Penalty of Perjury Statement paragraph must state:

A Single Member LLC that files a Form 1120F, or is a foreign entity, generally is not eligible for U.S. Residency Certification. However, if the applicant believes it is entitled to U.S. Residency Certification, it should submit a copy of its completed Form 8802, and attach a detailed explanation, including documentary evidence, as to why it believes it is entitled to certification.

A single member LLC organized outside of the U.S., but the owner is a U.S. Corporation and the corporation has identified the LLC in the Schedule N attached to its Form 1120, can be issued certification for tax years ending prior to January 1, 2004.

For tax years beginning on or after January 1, 2004, an applicant that is a disregarded entity organized outside of the United States whose owner is a U.S. person or entity, must attach a copy of the Form 8858,Information Return of U.S. Person With Respect to Foreign Disregarded Entities , filed with the owner's return.

Applicants that were rejected but believe they are entitled to U.S. Residency Certification, should submit a copy of their completed Form 8802, and attach a detailed explanation or regulation or code section, including documentary evidence, as to why they believe they are entitled to certification. Once you receive the application:

If you have all of the LLC applicant's required information, in addition to inputting the other required fields, you must:

Any single member LLC applicant that has had its application declined, but believes it is entitled to U.S. Residency Certification, should submit a copy of its completed Form 8802, and attach a detailed explanation, regulation or code section, including documentary evidence, as to why it believes it is entitled to certification. Once you receive the application:

The following instructions apply when a state law partnership (including a general partnership, limited partnership, limited liability partnership, or limited liability limited partnership) becomes a single-owner entity for federal tax purposes and requests a U.S. residency certification.

Treasury Regulation 301.7701-3(f)(2) provides that an entity classified as a partnership becomes disregarded as an entity separate from its owner when the entity's membership is reduced to one member. No election is required to be filed.

The partnership files a partnership return, which serves as the notice of the termination of the partnership.

The owner reports all items of income, gain, loss, deductions, and credits from the disregarded entity in its required tax return. However, there are no specific lines on any of the required forms in which to report items from the disregarded entity.

Single-member owners will be one of the following:

If a partnership with two partners, one of which is wholly owned by the other partner and is disregarded for federal tax purposes, requests a U.S. residency certification, it must provide:

When documentary evidence proves that the entity has met all of its application requirements, you must:

When the owner has filed its required return as a U.S. resident, issue certification.

An Exempt Organization (EO) is an organization exempt from federal income tax under IRC § 501(a). Generally, these organizations must apply for a ruling or determination letter to have their exempt status recognized. When an organization is granted an exemption, the exemption data is added to the Exempt Plan — Exempt Organization Application Control System (EACS) system. For Additional information on exempt organizations, see IRM 21.3.8.12, Exempt Organizations (EO).

An Exempt Organization applicant should include a copy of the organization's determination letter, private letter ruling, revenue ruling, etc., when applicable and their Form 8802 requires completion of:

Exempt organizations described in IRC 501(c)(1) are corporations organized under an Act of Congress that are:

Colleges and universities of states and other governmental units as well as subsidiary corporations wholly owned by such colleges and universities are required to file a Form 990–T, unless it is a corporation that falls under IRC § 501(c)(3).

Exempt organizations described in IRC § 501(c)(3) are corporations, and include any community chest, fund, or foundation, organized and operated exclusively for:

In addition, no part of the Exempt Organization's net earnings can inure to the benefit of any private shareholder or individual, no substantial part of the activities of which is carrying on propaganda, or otherwise attempting, to influence legislation (except as otherwise provided in subsection (h)), and which does not participate in, or intervene in (including the publishing or distributing of statements), any political campaign on behalf of (or in opposition to) any candidate for public office.

Exempt organizations that were NOT organized in the United States generally will not be issued a U.S. residency certification. However, those organizations that can prove entitlement to U.S. treaty benefits should complete Form 8802, submit it and all documentary proof of entitlement to treaty benefits.

An important factor in determining certification eligibility for an exempt organization that has not applied for determination letter or revenue ruling letter is verification of the organization's filing requirement.

The following exempt organizations are not required to file:

Exempt organizations that claim they are not required to file and have not secured a determination letter from the IRS, generally will not be issued a U.S. Residency Certification unless we can verify their exempt status and their filing requirement. However, those organizations that have other means of proving entitlement to U.S. treaty benefits must complete Form 8802, submit it and all documentary proof of entitlement to treaty benefits. Forward these types of applications to HQ via the Planning & Analysis Analyst.

An organization exempt from taxation may or may not be liable for filing a return.

Use the following Employment Codes to determine if an applicant is a federal, state or local agency that is exempt under IRC § 501(c). Organizations with the following employment codes are considered government entities or are treated as such and may be certified as government organizations.

State or local government agencies requesting U.S. Residency certification that have an employment code G or T, or that have received a determination letter, private letter ruling, revenue ruling, etc. can be granted U.S. Residency Certification. Issue the Form 6166 with a paragraph containing the following language:

Federal, State or local government agencies requesting U.S. Residency certification that have not obtained a determination letter, private letter ruling, revenue ruling, etc. can submit in writing, on official government letterhead, a letter under penalty of perjury from a government official that the organization is a U.S. government agency. The signature of the government official generally will be that of the Director of Taxation, Director of Personnel or the like.

The income of an approved Indian Tribal Governmental entity is not taxed, but it is not accurate to refer to them as tax exempt entities. When granting U.S. Residency Certification for an Indian Tribal Governmental entity with an Employment Code I, issue Form 6166 with a paragraph containing the following language:

When granting U.S. Residency Certification for an Indian Tribal Governmental entity with an Employment Code W, issue Form 6166 with a paragraph containing the following language:

An exempt organization's entity must contain an acceptable exemption status code or employment code when the organization has not provided a determination letter, private letter ruling, revenue ruling, or a letter on official government letterhead validating that the organization is exempt from taxation and filing (See (12) & (13) above).

When the exempt organization's entity has a missing or incorrect Employment Code, process as follows:

Use the following EO Entity Active Status Codes (STS-CD) in determining the type of exempt organization you are verifying and its filing requirements.

The following inactive status codes indicate the organization is not an active exempt organization.

The Subsection Code (Subsec-CD) is a code designating the type of exemption granted an organization. Use the following EO Subsection Codes, along with the EO status codes, in determining the appropriate certification paragraphs to issue.

Issue one of the 501(c) paragraphs, EOR.990.501C, to an organization with an EO Subsection Code 01,02, 04-27 - IRC § 501(c), along with a valid EO status code.

Issue one of the 501(c)(3) paragraphs, EOR.990.501C3, to an organization with an EO Subsection Code 03 - IRC § 501(c)(3), and a valid EO status code.

Issue the standard exempt organization paragraph, EOR.990.EXEMPT to an organization with an EO Subsection Code other than 01-27 - IRC 501(c), but with a valid EO status code, and Federal government entities with valid employment codes.

Exempt organizations, including government entities that are not required to file a return, that do not have valid EO status codes or Employment Codes, and have not received a determination letter or private letter ruling from the IRS, generally will not be certified as an exempt organization. However, such an organization that has other ways of proving that it is a resident for tax purposes, may request that its application be forwarded to Headquarters via P&A.

Issue a certification to exempt organizations, including government entities that are not required to file a return, do not have valid EO status codes and have not received a determination letter or private letter ruling, etc. from the IRS but have provided documentary evidence that they are U.S. residents and have had their applications approved by Headquarters. Use the following language:

When an organization exempt from taxation requests certification declaring that it is a church, but has not received a determination or ruling letter (generally in status code 01 with foundation code10), you must notify the applicant that it must contact the EO/EP office at 1–877–829–5500.

When an organization exempt from taxation requests certification declaring that it is a church, exempt from taxation and reporting information or filing a return, the following is required:

The following chart should be helpful when manually verifying an Exempt Organization's exempt status and determining its eligibility for certification.

An organization whose entity does not contain one of the valid exemption status codes, but states that it is exempt under a Group Exemption Number (GEN), must be validated as an exempt organization. These organizations' entity must contain the same GEN as the parent organization and you must be able to validate that the parent is an exempt organization using the EO procedures identified above.

Advise an organization claiming to be a subordinate of an exempt organization that does not have a GEN, that we cannot certify it unless the central organization has it added as a subordinate to its group exemption or can demonstrate it is a recognized subordinate of the central organization.

A central organization may add a subordinate to its group exemption at any time by sending the required information to the EO Entity in Ogden. Those wishing to add a subordinate to their group exemption may call 1-877-829-5500 for details of the process.

An organization whose entity does not contain one of the valid exemption status codes, or is not confirmed as an exempt organization by a letter ruling, or a determination letter, is not considered an exempt organization according to IRS records and, therefore, cannot have its application certified as an exempt organization, even when there is a posted return.

An organization whose entity contains one of the valid exemption status codes, or is confirmed as an exempt organization by a letter ruling or a determination letter, is considered an exempt organization. However, you cannot certify the applicant as an exempt organization if IRS records show the applicant is required to file a return but did not.

An exempt organization that is denied certification and would like us to reconsider its application for certification must contact:

Any exempt organization applicant that has had its application declined but believes it is entitled to U.S. Residency Certification, must submit a copy of the completed Form 8802, and attach a detailed explanation, including documentary evidence, as to why it believes it is entitled to certification.

An employee plan sponsor or administrator is required to provide the following information on the Form 8802:

Employee benefit plans/trusts must identify the type of retirement benefit plan and specify the plan number when applicable. Use plan number 001 for the following type plans:

An employee plan sponsor/employer is liable for filing a return in all instances except:

The term plan sponsor means:

The term plan administrator means:

The following are certifiable employment codes. Use these codes in determining a federal, state, or local agency that is exempt or an Indian tribe that is not taxed under IRC § 501(c). Organizations with the following employment codes are considered government plans (see (3) above) and can be certified.

When the applicant's account has a missing or incorrect Employment Code, process as follows:

The Form 5500 is used to report information concerning employee benefit plans, direct filing entities (DFEs), master trust investment accounts (MTIA) and fringe benefit plans.

The Form 5500 must be filed every year for every:

A DFE includes plans that participate in certain trust accounts, and other investment arrangements. Some DFEs are required to file Form 5500.

An IRC § 401(a) trust created and/or organized in the United States and forming part of a pension plan for the exclusive benefit of employees or their beneficiaries that have a 990–T-2 filing requirement are exempt from filing Form 5500.

In certifying the U.S. residency of an employee plan, it is necessary to verify that the administrator or sponsor of an employee benefit plan subject to ERISA (Employee Retirement Income Security Act of 1974) has filed an extension or one of the following returns:

When researching a fact of filing for certification of an employee plan, please note:

In certifying employee plans, group insurance arrangements, and DFEs that are required or have chosen to file a return, you must verify that the name and TIN of the entity that is requesting certification is included in the Form 5500 that was filed.

In certifying Common/Collective Trust (CCT) and Pooled Separate Accounts (PSA) that are not required to file a Form 5500, you must verify that:

Certification applications must specify each Employee Benefit Plan number requesting certification, in addition to the standard requirements for Certification applications.

When an applicant has not filed its initial return or claims it is not liable to file but requests certification, the applicant must provide:

IRS Determination Letter or Revenue Ruling letter used as proof of exemption from taxation and filing, must specifically state that the organization is exempt from taxation and filing.

When all requirements are met and you have verified that the organization is a valid employee plan, you can certify the applicant as an organization exempt from U.S. taxation under the appropriate IRC section.

When all requirements are not met, correspond with the applicant using letter 3431.

An employee plan sponsor/employer is not required in all instances to apply for an Approval or Determination letter ruling.

An exempt organization that is denied certification, and would like us to reconsider its application for certification, must contact:

Any employee plan applicant that has had its application declined, but believes it is entitled to U.S. Residency Certification, should submit a copy of the completed Form 8802, attach a detailed explanation, including documentary evidence, as to why it believes it is entitled to certification. Once you receive the application, place the case in status 702 and forward to HQ via P&A.

The Commonwealth of Independent States are:

The Commonwealth of Independent States does not accept the usual wording on the Form 6166, Certification Program Letterhead.

The U.S. Competent Authority has agreed to special language for the Commonwealth of Independent States certification. When certifying, you must use the paragraphs specifically established for Commonwealth of Independent States. For example, a corporation's certification for Azerbaijan would read "I certify that the above named corporation is a U.S. corporation, and a resident of the United States of America in the sense of the Income Tax Treaty between the USSR and USA currently applied to the Republic of Azerbaijan, a member of the Commonwealth of Independent States."

Georgia is no longer a member of the Commonwealth of Independent States; therefore, its certification should not make any reference to it. For example, a corporation's certification for Georgia should read "I certify that the above named corporation is a U.S. corporation, and a resident of the United States of America in the sense of the Income Tax Treaty between the USSR and USA currently applied to Georgia."

When all certification requirements have been met, issue certification.

Greece does not accept the usual wording on the Form 6166, Certification of U.S. Residency, as valid proof of U.S. residence.

The U.S. Competent Authority has agreed to special language for the Greek certification. When certifying, use the paragraphs specifically established for Greece. All U.S. Residency Certifications for Greece must state that the applicant is: "A resident of the United States of America for purposes of the Greece - U.S.A. Double Taxation Convention."

When the certification is complete, mail Form 6166 to the applicant and the authorized representative.

Russia requires specific wording on the Form 6166, Certification of U.S. Residency, as valid proof of U.S. residence.

The U.S. Competent Authority has agreed to Russia's specific language. Russian certification requires that you use the paragraphs specifically established for Russia. The U.S. Residency Certification for Russia must state that the applicant is: "A resident of the United States of America in the sense of the Double Tax Treaty between the Russian Federation and the United States of America."

When all of the certification requirements have been met, issue certification.

Spain requires specific wording on the Form 6166, Certification of U.S. Residency, as valid proof of U.S. residence.

The U.S. Competent Authority has agreed to Spain's specific language. Spanish certification requires that you use the paragraphs specifically established for Spain. The U.S. Residency Certification for Spain must state: "I certify that, to the best of our knowledge, the above-named taxpayer is a resident of the United States within the meaning of the United States - Spain Income Tax convention."

When all of the certification requirements have been met, issue certification.

The UK income tax treaty that entered into force on March 31, 2003 changed our certification process. The U.S. Residency Certification process does not require the submission of the United Kingdom Forms in order to receive U.S. Residency Certification. The requestor must ascertain what they are required to provide the U.K. to obtain treaty benefits.

Copies of the latest UK Forms can be obtained using the following web address:

http://www.hmrc.gov.uk/cnr/usdownload.htm

Applicants requesting certification under the UK income tax treaty can obtain the appropriate forms using the following web addresses:

http://www.hmrc.gov.uk/cnr/us_comp.pdf.
http://www.hmrc.gov.uk/cnr/us_individual_2002.pdf
http://www.hmrc.gov.uk/cnr/uk-reit-dt-individual.pdf
http://www.hmrc.gov.uk/cnr/us-company-uk-reit.pdf

Additional guidance can be found at:

http://www.hmrc.gov.uk/home.htm

Requestors that are not certain as to their needs, or have questions on the new forms or process, can phone the UK during office hours. If calling from outside the UK, call 44 151 210 2222. If calling from the UK, call 0845 070 0040. Those preferring to write to HM Revenue and Customs should address their letters to the following address:

Inland Revenue-Centre for Non-Residents,
Fitz Roy House, PO Box 46, Nottingham,
England NG2 1BD.

The following are some examples of the certification forms for the United Kingdom.

When processing certification applications for the UK, the processing procedures depend upon whether or not the requestor submits a UK claim form.

U.K. ACT Claim forms are generally filed in duplicate with the Philadelphia campus when the first claim is filed for the certification period. All subsequent claims for the same certification period can be sent directly to the Inspector of Inland Revenue - Centre for Non-Residents, Fitz Roy House, P.O. Box 46, Nottingham, England, NG2 1BD.

U.K. claims forms that are filed in duplicate at the Philadelphia campus are retained by the U.S. residency unit for six months.

Multiple tax years may be received on one form filed by an applicant. Certify each tax year requested.

When the application for certification is for the UK and a UK Form was not submitted, if all other certification requirements are met, issue Form 6166.

The French tax authorities require that their forms be handled in accordance with the instructions on their forms.

All original copies submitted by the U.S. applicant are completed as appropriate by the campus. Return the original forms to the U.S. person.

The French Form 5000–EN is used with the Form 6166 to certify U.S. residency for tax purposes. The Form 5000–EN will generally be accompanied by either a Form 5001–EN, 5002–EN, or 5003–EN depending on the type of income.

Verify the applicant's residency (the applicant has filed the required U.S. tax return):

If a current year application, and the applicant meets all current year requirements, you can issue certification:

A separate Form 5000–EN is required for each category of income.

Return the signed and sealed copy of the Form 5000–EN with the Form 6166 to the applicant. Extreme care must be taken to ensure that only the material relative to the taxpayer(s) to which the correspondence is addressed is enclosed in the envelope. See IRM 21.3.3.4.26, Breaches of Personally Identifiable Information (PII) Caused by Manual Stuffing Errors. Attach the Form 6166 to the Form 5000–EN. The Form 6166 provides the applicant's name and tax identification number requested in part IV of the Form 5000–EN. The signature stamp and seal are the only entries necessary in part IV of Form 5000–EN.

We have agreed with the Portuguese Tax Administration's request that the IRS certify (stamp and seal) their forms, in addition to providing a Form 6166, U.S. Residency Certification.

We certify four Portuguese tax forms that are in effect since January 1, 2008.

Each of the forms identifies the applicant as the beneficial owner of the income included on the form. Important: The purpose of the Certification process does not certify the beneficial owners of income; it only certifies the residency of the applicant. This statement is excluded from the Form 6166 certification.

Applicants submitting Portuguese forms for certification must first meet the requirements specified for the type of entity submitting the application. If all of the application requirements and certification residency requirements are met:

In the section for Certification by the Competent Tax Authorities of the Beneficial Owner's State of Residence, apply:

This section identifies the Foreign Claim Forms and countries that are not mentioned in the previous instructions.

These are additional countries for which the IRS has a formal agreement for certification.

The following forms are not required to be signed or sealed by an IRS official. Issuing the Form 6166 is all that is required of the IRS.

Sign (stamp) and seal all foreign tax forms when requested (form specifies) by the foreign country and the Competent Authority has agreed to certify the form.

The following charts indicate additional Foreign countries and their specific Tax Forms: