About Tax Form 1042-S
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Form 1042-S – Foreign Person’s U.S. Source Income Subject to Withholding - is an information return required by the Internal Revenue Service (IRS), the United States (U.S.) federal tax administrator.
Form 1042-S is used to report a foreign person’s U.S. source income and any federal income tax withheld. Income from U.S. sources paid to foreign persons is required to be reported on Form 1042-S even if no federal taxes have been withheld.
Form 1042-S is sent to hosts when the following criteria (or requirements) are met:
- You identified as a non-U.S. (i.e., foreign) person during payments onboarding
- You listed a property located in the U.S., and
- You accepted payments through the Vrbo payment platform
Most types of U.S. source income received by a foreign person are subject to U.S. tax of 30%, although a reduced rate, including exemption, may apply in certain circumstances. The tax is generally withheld (NRA withholding) from the payments made to the foreign person.
For more information about withholding see:
Vrbo will mail Form 1042-S to you by March 15th of each year for payments collected the previous calendar year.
For guidance on what to do with your 1042-S, consult with your local tax advisor.
- Instructions for Form 1042-S
- Discussion of Form 1042, Form 1042-S and Form 1042-T
- Who Must File Form 1042-S, Foreign Person’s U.S. Source Income Subject to Withholding
- NRA Withholding
- Income Subject to NRA Withholding
- Nonresident Aliens - Source of Income
- Foreign Persons
- Information Reporting for Form 1042-S