- Help Homekeyboard_arrow_right
- Taxes
Why US taxes are withheld from payouts
Vrbo is required to withhold 30% from your transactions and remit the funds directly to the United States Internal Revenue Service (IRS), if you meet all the following criteria:
Note: You should consult your US tax advisor before you complete any US tax form, including forms in the W-8 series. If you provide Form W-8ECI, we’re not required to withhold US income tax from your payouts, but you may still be required to file a US income tax return and remit the appropriate tax for your situation.
We issue Form 1042-S annually to all non-US persons listing a property in the US, regardless of whether any tax should be withheld. Your completed Form 1042-S reports the following:
- You are a non-US person listing a property in the US.
- You accepted payments on our website.
- You haven’t submitted Form W-8ECI to indicate you’re exempt from US income tax withholding.
Note: You should consult your US tax advisor before you complete any US tax form, including forms in the W-8 series. If you provide Form W-8ECI, we’re not required to withhold US income tax from your payouts, but you may still be required to file a US income tax return and remit the appropriate tax for your situation.
We issue Form 1042-S annually to all non-US persons listing a property in the US, regardless of whether any tax should be withheld. Your completed Form 1042-S reports the following:
- Your US property’s total rental income
- Any withheld US income tax
For more information about US income tax withholding on non-US persons, review the IRS resources.
For more information about obtaining a US tax ID number to complete Form W-8ECI, review the IRS Taxpayer Identification Numbers (TIN) resources.
If you’re applying for an Individual Taxpayer Identification Number (ITIN), you may need to submit a letter from Vrbo with your application. If you need a letter, please select Contact Us to contact our Customer Service team.