TaxBandits Knowledge Base

What are Chapter 3 or Chapter 4 codes in Form 1042-S?

You must complete either Chapter 3 or Chapter 4 codes if you are filing Form 1042-S.

• Chapter 3 is checked for Non-Resident Alien withholding, especially for their wages, fellowship, royalty payments, awards & prizes etc.
• Chapter 4 is checked for FATCA withholding. 

You need to fill either Box 3a or Box 4a with the Exemption code and Box 3b or 4b with the Tax rate, depending on your chosen chapter.