# Foreign vendors and the W-8BEN

> Foreign contractors give a W-8BEN, not a W-9; services performed abroad get no 1099; and the form lapses after three full calendar years.

Source: https://lopifi.com/learn/vendor-onboarding-w-9-and-tin-matching/foreign-vendors-w-8ben
Part of: Lopifi — US GAAP books on autopilot, checked by a CPA (https://lopifi.com)

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**What tax form do I need from a foreign contractor, and do they get a 1099?** Foreign contractors give a W-8BEN, not a W-9; services performed abroad get no 1099; and the form lapses after three full calendar years.

A developer in Portugal who works only from Portugal gives Northwind a W-8BEN, not a W-9. Income for services performed outside the United States is foreign-source, so no 1099 is filed for it. A W-8BEN does not last forever: signed on September 14, 2026, it stays in effect until December 31, 2029, unless something on it changes first. Put the date on the vendor record and ask for a new one before it lapses.

> “compensation for labor or personal services performed without the United States;”

— [IRC §862(a)(3)](https://www.law.cornell.edu/uscode/text/26/862), Services performed outside the US are income from sources without the United States

> “Generally, a Form W-8BEN will remain in effect for purposes of establishing foreign status for a period starting on the date the form is signed and ending on the last day of the third succeeding calendar year, unless a change in circumstances makes any information on the form incorrect.”

— [Instructions for Form W-8BEN (Rev. October 2021), Expiration of Form W-8BEN](https://www.irs.gov/instructions/iw8ben), A W-8BEN lapses after three full calendar years

## Where this page's rules come from

- [Form W-9 (Rev. March 2024), Foreign person](https://www.irs.gov/pub/irs-pdf/fw9.pdf) (PDF) — A foreign person does not give a W-9 (form)
- [Form W-8BEN (Rev. October 2021)](https://www.irs.gov/pub/irs-pdf/fw8ben.pdf) (PDF) — Form W-8BEN, Certificate of Foreign Status of Beneficial Owner (Individuals) (form)
- [Instructions for Form W-8BEN (Rev. October 2021), Expiration of Form W-8BEN](https://www.irs.gov/instructions/iw8ben) — A W-8BEN lapses after three full calendar years (irs)
- [IRC §862(a)(3)](https://www.law.cornell.edu/uscode/text/26/862) — Services performed outside the US are income from sources without the United States (statute)

## Read further

- https://lopifi.com/md/startups/collecting-w9s-and-backup-withholding
- https://lopifi.com/md/startups/form-1099-nec-for-startups
- https://lopifi.com/md/accounting/1099-nec

- **Track:** [Accounts payable](https://lopifi.com/md/learn/ap)
- **Part of:** [Vendor onboarding: W-9, W-8BEN and TIN matching](https://lopifi.com/md/learn/vendor-onboarding-w-9-and-tin-matching) — 4 min
- **Terms taught:** [Form W-8BEN](https://lopifi.com/md/glossary/form-w-8ben), [Form W-9](https://lopifi.com/md/glossary/form-w-9), [Vendor master](https://lopifi.com/md/glossary/vendor-master)
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