Form 8805: Complete Guide for Foreign Partners in US Partnerships: Filing, Withholding & Deadlines

If your partnership includes foreign investors, Form 8805 is the proof of tax withheld on each partner’s share of U.S. business income, effectively connected taxable income (ECTI). Your foreign partners use it to claim a credit on their U.S. return; without it, the IRS can’t match the withholding, so no credit or refund. Even if … [Read more…]