TaxBandits Knowledge Base

Who Must File Form 1042-S?

When an entity, like an employer, educational institution, or company, withholds taxes on payments made to a foreign entity, it must file a 1042-S form to the IRS and distribute the copy to the recipient. This form ensures compliance with tax regulations.

Submit a separate Form 1042-S for each instance, including:

• For each recipient, regardless of whether tax was withheld.
• For each tax rate applied to a particular category of income paid to the same recipient.
• For each type of income disbursed to the same recipient.