U.S.A.: Deadline to provide documentation by non-qualified intermediaries - reminder


Clearstream Banking1 reminds clients acting as non-qualified intermediaries that, as agreed on the signed One Time Certificate (“OTC”), clients are responsible for providing Clearstream with the proper documentation of their underlying clients (the persons treated as the beneficial owners of the income for U.S. tax purposes), prior to the time of payment. Clients should consult their OTC for full details of the underlying documentation required. 

Impact on clients

If clients provide this documentation after 1 January of the calendar year following the year of payment, Clearstream is therefore unable to issue a Form 1042-S to the beneficial owner and will issue a Form 1042-S to “Unknown Recipient” as required by the U.S. regulations. 

Under such circumstances, the U.S. regulations require a non-qualified intermediary to report on Form 1042 and Form 1042-S payments made to recipients to the extent it has failed to provide the appropriate documentation to another withholding agent, in this case, Clearstream. Clients should consult their U.S. tax advisor to file Form 1042 with the IRS, and Form 1042-S with the IRS and to beneficial owners of the payments.

Further information

For further information, please contact the Clearstream Banking Tax Help Desk or Clearstream Banking Client Services or your Relationship Officer.


1. Clearstream Banking refers to Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500.