What's the W-8BEN form? | Investing in US stocks - Finder UK

What is the W-8BEN form?

Find out what W-8BEN is and why you need to know about it.

To trade US stocks you need to complete a W-8BEN form so that you’re entitled to tax savings on interest earned. Often, brokers that allow you to trade US stocks with them will allow you to fill out and return your W-8BEN form to them. Here’s the basic information on what the form is for and how you fill one out with your broker.

What is a W-8BEN form?

In short, it helps determine your tax status. Foreign investors are subject to US tax of 30% of the income you receive from dividends, premiums, rents, royalties, annuities or other fixed annual gains.

How often do I need to fill out a W-8BEN form?

Your W-8BEN form needs to be done every three years – if your broker helps you manage your W-8BEN form then it’ll let you know when it’s time to renew.

You’ll need to fill one out with every broker you use, too.

What does the broker do with the form after I submit it?

By submitting a W-BEN form, your broker is able to claim a US tax reduction on your interest and dividends from US shares, either to 15% or to 0% if the shares are held in a self invested personal pension (SIPP).

Will my broker sort the W-8BEN form for me?

Some brokers will assist in completion of your W-8BEN form, while others expect you to fill it out and send it to them. We’ve taken a look at some of brokers that offer US stocks below:

Broker How to complete your W-8BEN form
Stake Stake automatically completes your W-8BEN form for you.
Hargreaves Lansdown You’re prompted to complete the form online the first time you make a US trade.
Trading 212 The form is part of your account creation process if you created your account after December 2019. If you created your account before this, then you are prompted to fill out the form when you first trade a US stock.
Freetrade The form is in the “Profile” section of the app.
Revolut The form is automatically completed when you sign up with the information you provided.
IG You have two options. You can either print and fill out the form and send it via snail mail to IG, or you can fill it out in your IG account and fill it out in your settings.
eToro You need to fill out the form and send it to eToro’s customer care team for them to approve it.
interactive investor ii has this form under the account menu > useful forms. You need to fill it out and post it to interactive investor.
Vanguard You can log into the Vanguard website and fill out the form electronically within your account.
Moneyfarm The form and its instructions are linked to on the Moneyfarm website.
Fidelity You can fill out the form online in less than ten minutes and eSign it or print and post it, if you prefer.
Degiro You’ll be prompted to fill out the form when you sign up.

Where can I find the W-8BEN form online?

If you’re looking for the W-8BEN form, it’s on the Internal Revenue Service (IRS) website as well as instructions to fill it out.

Compare share dealing platforms

Table: sorted by promoted deals first
Data updated regularly
Name Product Price per trade Frequent trader rate Platform fees Brand description
Fineco
UK: £2.95
US: $3.95
EU: €3.95
N/A
£0
Your first 100 trades are free with Fineco (T&Cs apply)
Fineco Bank is good for share traders and investors looking for a complete platform and wide offer. The minimum deposit with Fineco is £0. Capital at risk.
eToro Free Stocks
£0
N/A
£0
Capital at risk. 0% commission but other fees may apply. The minimum deposit with eToro is $200.
Hargreaves Lansdown Fund and Share Account
£11.95
£5.95
£0
Hargreaves Lansdown is the UK's number one platform for private investors, with the depth of features you'd expect from an established platform. The minimum deposit with HL is £1. Capital at risk.
Degiro Share Dealing
UK: £1.75 + 0.014% (max £5)
US: €0.50 + $0.004 per share
N/A
£0
Degiro is widely seen as one of the best low-cost share brokers, for people who are looking to trade regularly. The minimum deposit with Degiro is £0. Capital at risk.
interactive investor Trading Account
£7.99 (with one free trade per month)
N/A
£9.99 per month
Interactive Investor offers everything most investors need. Its flat fees makes it pricey for small portfolios, but cheap for big ones. The minimum deposit with ii is £0. Capital at risk.
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Data updated regularly
Name Product Minimum deposit Maximum annual fee Price per trade Brand description
Moneybox stocks and shares ISA
£1
0.45% and £1 monthly subscription fee (free for first 3 months)
£0
Moneybox offers a smart and simple way to invest. Sign up in minutes and start investing with £1 via their award-winning app. Capital at risk.
interactive investor stocks and shares ISA
Any lump sum or £25 a month
£119.88
£7.99
Interactive Investor offers everything most investors need. Its flat fees makes it pricey for small portfolios, but cheap for big ones. Capital at risk.
Nutmeg stocks and shares ISA
£100
0.75%
N/A
Nutmeg offers three types of portfolios. Choose the one that goes with your investment style. Capital at risk.
Hargreaves Lansdown stocks and shares ISA
£100
0.45%
£11.95
Hargreaves Lansdown is the UK's biggest wealth manager. It's got everything you'll need, from beginners to experienced investors. Capital at risk.
InvestEngine stocks and shares ISA
£100
0.25%
£0
Offer - £50 welcome bonus for new customers. Subject to minimum investment. T&Cs apply. Capital at risk.
Moneyfarm stocks and shares ISA
£1500
0.75%
£0
Moneyfarm helps you meet your investment goals with fully-managed portfolios designed around you. Capital at risk.
Fidelity Stocks and Shares ISA
£1000 or a regular savings plan from £50
0.35%
£10.00
Fidelity is another good all-rounder, offering a good package at a decent price. Not suited for trading shares. Capital at risk.
Legal & General stocks and shares ISA
Legal & General stocks and shares ISA
£100 or £20 a month
0.61%
N/A
Legal & General is a big financial services company which offers insurance, lifetime mortgage, pensions and stocks and shares ISAs. Capital at risk.
AJ Bell Stocks and Shares ISA
£500
0.25%
£9.95
AJ Bell is a good all-rounder for people who to choose between shares, funds, ISAs and pensions. Capital at risk.
Saxo Markets stocks and shares ISA
No minimum deposit requirement
0.12%
£8.00
Saxo Markets offers a wide access to a range of stocks, ETFs and funds. Capital at risk.
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Data updated regularly
Name Product Minimum investment Choose from Fee for a £50,000 pension pot Brand description
Interactive Investor Pension
Any lump sum or £25 a month
Over 3,000 funds
Annual fee: £239.88, fund fees: £50-500
interactive investor is a flat-fee platform, which makes it cost effective for larger portfolios. Capital at risk.
Moneyfarm Pension
£1,500 (initial investment)
7 funds
0.35%-0.75%
Moneyfarm has pensions that are matched against your risk appetite, goals and planned retirement date. Capital at risk.
AJ Bell Pension
£1,000
Over 2,000 funds
Annual fee: £125, includes fund fees
AJ Bell has two different pension options, a self managed pension and one that is managed for you. Capital at risk.
PensionBee Pension
No minimum
9 funds
Annual fee: £250-475, includes fund fees
Pension Bee is a newbie in the pension market. It helps consolidate your pension plans into one place. Capital at risk.
Hargreaves Lansdown Pension
£100 or £25 a month
2,500 funds
Annual fee: £225 (£200 cap if holding shares), fund fees included
Hargreaves Lansdown is the UK's biggest wealth manager. It's got three different retirement options. Capital at risk.
Saxo Markets Pension
Saxo Markets Pension
£10
Over 11,000 funds
No annual fee
Saxo Markets gives flexibility and control over your investment strategy. Capital at risk.
Penfold
Penfold
No minimum
4 portfolios
Annual fee: £375-455, fund fees included
Moneybox Pension
£1
3 funds
Annual fee: £225, fund fee: £60
Manage your money with an easy-to-use Moneybox app. Capital at risk.
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All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Past performance is no guarantee of future results. If you’re not sure which investments are right for you, please seek out a financial adviser. Capital at risk.

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