Instructions on how to apply for a

Instructions on how to apply for a

Central Withholding Agreement

What is a Central Withholding Agreement?

Central Withholding Agreement (CWA) is a tool that can help

nonresident entertainers and athletes who plan to work in the

United States. A CWA provides for withholding based upon net

income at graduated rates.

Legal Background

Generally, Section 1441(a) of the Internal Revenue Code of

1986 requires all persons having the control, receipt, custody,

disposal, or payment of certain items of income from sources

within the United States of any nonresident alien individual, to

deduct and withhold from such income a tax equal to 30 percent

thereof. These persons are withholding agents. The income

items subject to this withholding include, but are not limited to,

interest, dividends, rent, salaries, wages, compensations,

remunerations, and emoluments.

Section 1.1441-4(b)(3) of the Income Tax Regulations provides

that compensation for personal services of a nonresident alien

(NRA) individual who is engaged during the taxable year in the

conduct of a trade or business within the United States, may be

wholly or partially exempted from withholding if a CWA is

executed between the Internal Revenue Service (IRS) and the

alien individual with respect to the amount of withholding

required. The regulation states that a CWA shall be available in

the circumstances and in the manner set forth by the IRS.

IRS Policy

The IRS will consider entering into a CWA permitting

withholding on projected net income at a graduated rate, as

opposed to 30% of gross income, provided that all requirements

of Revenue Procedure 89-47 are met. Accurately and timely

completing this application will fulfill the requirements for

consideration.

In no event will a CWA reduce the amount of withheld taxes to

an amount less than the anticipated income tax liability.

We would also accept Form 8821 from anyone else designated

to receive tax return information. Form 8821 authorizes any

individual, corporation, firm, organization, or partnership

designated to inspect and/or receive confidential information in

any office of the IRS for the type of tax and the years or periods

listed on Form 8821. The authorization should cover the same

tax return information as shown above.

When should I apply?

You must submit an application for a CWA at least 45 days

before the first event covered by the CWA to allow for timely

evaluation. An application received by the IRS less than 45

days before the first event covered by the application will be

denied and returned to the applicant.

Example: An artist has a performance scheduled for March 1,

2013. In order for the application to be considered, it must be

received by IRS 45 days prior to the performance which is

January 15, 2013. If the application is received on January 16,

2013, the application will not be processed since it was not

received 45 days prior to the first event. Note: For the

computation of the number of days, the day of the event is not

included since the application must be received prior to the first

event.

Where do I apply?

Submit your application and all accompanying documents by

fax to 1-866-715-1507 or by mail to:

Central Withholding Agreement Program

Internal Revenue Service

24000 Avila Road, MS 6040

Laguna Niguel, CA 92677

Steps to Apply for a CWA

Who can apply?

Individual nonresident alien (NRA) entertainers and athletes

who perform or participate in events in the United States can

request a CWA. They may qualify for a lower rate of withholding

than 30% of gross income.

An authorized representative may apply for the NRA. To

prevent unauthorized disclosures, we require a Form 2848,

Power of Attorney and Declaration of Representative, or Form

8821, Tax Information Authorization, to be fully executed, giving

us authority to discuss tax matters with the NRA’s

representative. The disclosure authorization (Form 2848 or

Form 8821) must be signed by the NRA. A faxed copy of this

form is acceptable. If there is a need to obtain additional

information from other sources, we will either request

authorization for that source or will request the information

through the source that already has authorization.

Catalog Number 50991Q

We may accept Form 2848 from an attorney, CPA, or enrolled

agent. Additionally, we may accept Form 2848 if the

representative is an officer of the company, a full-time employee

or family member. The authorization should cover, at a

minimum, a CWA for the current year, Income Tax Form

1040NR for the present and two prior years, as well as any

Form 1042-S in the taxpayer’s name for any year in question.

How do I apply?

You must submit a written application and appropriate

attachments.

The only standard portion of an application for a CWA is the

application form itself appearing at the end of these instructions.

The remainder of the application will consist of a computergenerated letter from you explaining the facts requested below,

along with the appropriate attachments.

Each individual requesting a CWA must submit a timely

application. This includes all members of the group, regardless

as to whether or not they share in the profit of the tour or event.

This also includes any back-up singer or musician who is

requesting a CWA. When requesting a CWA for multiple

individuals list each individual and provide the complete

information for each.

www.irs.gov

Form 13930 (Rev. 9-2022)

Page 2

You may need to provide additional information that affects the

computation or completion of the CWA that is requested by the

IRS. This information must be provided by the deadline

provided by the IRS when requested. Delays in response may

jeopardize the approval of the CWA.

Each CWA application must include the following

statement and must either be signed by the NRA or by an

authorized representative of the NRA.

“I wish to obtain a Central Withholding Agreement between the

nonresident alien athlete/entertainer, the withholding agent, and

the Internal Revenue Service covering the services to be

provided as shown.

Under penalties of perjury, I declare that I have examined this

application, including any accompanying schedules, exhibits,

affidavits, and statements and to the best of my knowledge and

belief it is true, correct, and complete."

Initial Application must include:

1.

2.

3.

4.

5.

Name of NRA(s) to be covered by CWA

SSN or ITIN of NRA if known

Tour dates or event to be covered

POA for NRA as appropriate

Preliminary Budget

5. A list of any previous CWA(s) for the calendar year in which

the CWA is requested. If there is any US source income

previously earned in the calendar year not claimed on a

CWA, provide the income, the source and verification of

amounts withheld and deposited. If no prior income, state

not applicable.

6. For each NRA, state whether the NRA has been in the US

providing personal services during the current or six prior

years. Provide the US taxpayer SSN or ITIN of the NRA for

whom the income and deductions were reported.

For an Athlete, attach the following:

1. Copies of all agreements presented to the athletic

association (e.g. bout agreements).

2. Copies of any other agreements regarding residual income,

such as Pay Per View or exclusive television rights to

athlete's home country.

3. Copies of documents related to any other income such as

endorsement income or sponsorship contracts.

4. Date and location of this event as well as the promoter

name.

5. State whether the NRA has been in the US providing

personal services during the current or six prior years.

Provide the US taxpayer SSN or ITIN of the NRA for whom

the income and deductions were reported.

Supporting Documents Required to

Evaluate Your Application

1. Complete all boxes on the application form at the end of

these instructions with information regarding the NRA, the

withholding agent and an alternate contact representative, if

desired. For CWAs involving multiple entertainers, complete

the continuation sheet.

For an Entertainer(s), attach the following:

1. Copies of all documentation related to income of the

covered NRA(s) regarding the time period and

performances or events to be covered by the CWA.

Documentation should include (but not be limited to)

contracts, letters of understanding, offer letters,

engagement letters, agreements with employers, agents,

representatives, promoters, venues such as exhibition halls

and the like.

6. A spreadsheet of all expenses for the event such as

manager, trainer, cut man, sanction fee, sparring partner,

training facility expense, and travel to and from home

country. List all persons in the travel party and their function.

7. List any previous CWA(s) for the calendar year in which the

CWA is requested. If there is any US source income

previously earned in the calendar year not claimed on a

CWA, list the income, the source and verification of

amounts withheld and deposited. If no prior income, state

'not applicable'.

NOTE: These lists are not all inclusive. If other information

supports positions taken on the budget, include it.

Additional Information For the NRA:

NRA’s without an SSN who are in the US on work visas

should plan to apply for an SSN while in the U.S. See www.

ssa.gov for information. An NRA who has worked in the US

in a prior tax year will not be granted a CWA unless they are

in paying and filing compliance. Each NRA must have filed

and paid or arranged to pay past US tax returns as

appropriate. The NRA agrees to file Form 1040NR or Form

1040NR (EZ) for the tax year where the NRA has entered

into a CWA

2. All documentation related to merchandising, endorsements,

sponsorship income, production or tour support, and

reimbursement in any way associated with this activity or

event.

3. An itinerary of dates and locations of all performances or

events to be covered by the CWA. Include any anticipated

performances that may be in negotiation or planning. Tours

crossing calendar years may require additional information

and will require a separate CWA for each year.

For the Withholding Agent:

4. A spreadsheet containing the proposed budget showing

itemized estimates of all gross income (including but not

limited to income attributable to items listed in 1 and 2

above) and US expenses for the tour or event. If the tour

encompasses events outside of the US, separately state the

US income and expenses.

Catalog Number 50991Q

www.irs.gov

Each CWA requires a designated withholding agent enter

into the CWA as a party to the agreement between the IRS

and the NRA Athlete or Entertainer. The designated

withholding agent must be an independent third party

unrelated to the NRA, or entities owned by the NRA.

Form 13930 (Rev. 9-2022)

Page 3

A CWA is effective only for the tour or events covered and

payments stipulated in the CWA. It is effective only when

signed by all parties to the CWA (i.e. the NRA, the

designated withholding agent and IRS). The designated

withholding agent is required to withhold and pay

withholding tax according to the terms of the CWA. The

designated withholding agent is required to provide a final

accounting of the income and expenses that were projected

in the CWA and deposit any additional withholding tax

required as a result of the final accounting. The CWA

program requires withholding agents to have a US bank

account and be enrolled in Electronic Federal Tax Payment

System (EFTPS). It also requires deposits to be made

through EFTPS. For enrollment procedures and

requirements, see www.eftps.gov.

What happens after IRS receives my Application?

You will be contacted within 3 business days of assignment

to a Tax Specialist regarding the status of your application

and any additional information that may be required. If your

request for a CWA is granted, the specialist will notify you in

writing and provide the agreement for signature. A CWA is

not in effect until all parties to the agreement have signed

the CWA. The withholding agent will withhold any required

income tax and pay over the withheld tax via EFTPS on the

dates and in the amounts specified in the CWA. The IRS

will apply the payments of withheld tax to the 1042 account

designated by the withholding agent. Each withholding

agent must file Form 1042 and Form1042-S for each tax

year in which income is paid with respect to the period and

events covered by the CWA.

Privacy Act and Paperwork Reduction Act Notice

We ask for the information on this form to carry out the Internal

Revenue laws of the United States. Our authority to request this

information is Section 7801 of the Internal Revenue Code.

Our purpose for requesting the information is to determine if it is

in the best interests of the IRS to execute a Central Withholding

Agreement (CWA). You are not required to request a CWA;

however, if you choose to do so, you must provide all of the

taxpayer information requested. Failure to provide all of the

information may prevent us from processing your request.

Catalog Number 50991Q

If you are a paid preparer and you prepared the Form 13930 for

the taxpayer submitting a CWA request, we request that you

complete and sign the application letter as described in Form

13930, and provide identifying information. Providing this

information is voluntary. This information will be used to

administer and enforce the Internal Revenue laws of the United

States and may be used to regulate practice before the IRS for

those persons subject to Treasury Department Circular No. 230,

Regulations Governing Practice before the Internal Revenue

Service. Information on this form may be disclosed to the

Department of Justice for civil and criminal litigation.

You are not required to provide the information requested on a

form that is subject to the Paperwork Reduction Act unless the

form displays a valid OMB control number. Books or records

relating to a form or its instructions must be retained as long as

their contents may become material in the administration of any

Internal Revenue law. Generally, tax returns and return

information are confidential as required by section 6103.

However, section 6103 allows or requires the Internal Revenue

Service to disclose or give such information shown on your

Form 13930 to others as described in the Code. For example,

routine uses of this information include giving it to the

Department of Justice to enforce the tax laws, both civil and

criminal, and to cities, states, the District of Columbia, and U.S.

commonwealths or possessions for use in administering their

tax laws. We may also disclose this information to other

countries under a tax treaty, to federal and states agencies to

enforce federal non-tax criminal laws, or to federal law

enforcement and intelligence agencies to combat terrorism.

Providing false or fraudulent information on this form may

subject you to criminal prosecution and penalties. The time

needed to complete and file this form and related schedules will

vary depending on individual circumstances. The estimated

average times are:

Recordkeeping . . . . . . . . . . . . . 5 hr., 00 min.

Learning about the law or the form . . . 3 hr., 00 min.

Preparing the form . . . . . . . . . . . 2 hr., 30 min.

Copying, assembling, and sending

the form to the IRS . . . . . . . . . . . .1 hr., 30 min.

If you have any comments concerning the accuracy of these

time estimates or suggestions for making this form simpler, we

would be happy to hear from you. You can write to the Internal

Revenue Service, Tax Products Coordinating Committee, SE:

W:CAR:MP:T:T:SP, 1111 Constitution Ave. NW, IR-6404,

Washington, DC 20224. Do not send the tax form to this

address.

www.irs.gov

Form 13930 (Rev. 9-2022)

Form 13930

(September 2022)

Department of the Treasury - Internal Revenue Service

OMB Number

Application for Central Withholding Agreement

1. Athlete/Entertainer (nonresident alien)

AE-ID (IRS Use Only)

a. Legal Name (last, first, middle initial)

c. U.S. Taxpayer ID (SSN)

b. Address

d. Date of birth

1545-2102

Date received (IRS Use Only)

e. Country of residence

g. Applying as

Athlete

f. Country of citizenship

Entertainer

h. Group name (if applicable)

i. Percentage share of net income

j. Stage name

k. Marital status

Married

l. Operating as business (LLC, corporation, partnership)

U.S. Taxpayer ID of Business

Single

Business name

Country where business established

Date business started

Employer Identification Number (EIN) where 1042 deposits are being made

2. Withholding Agent

WHA-ID (IRS Use Only)

a. Firm

d. U.S. Taxpayer ID (EIN/SSN)

b. Contact person

e. Voice phone number

c. Address

f. Fax phone number

g. All CWA Deposits are required to be made using EFTPS. Are you currently enrolled in EFTPS

h. I am acting as

Promoter

Agent

Venue

CWA-ID (IRS Use Only)

Yes

No

Other

I declare that I have examined under penalties of perjury and to the best of my knowledge and belief, the statements are true, correct,

and complete.

Signature

Date

*Must be signed by each NRA on application unless signed by POA with authority under Form 2848

3. Contact Person: The valid Form 2848 or Form 8821 holder will be contacted for additional information if necessary. If utilizing Form

8821 please identify all individuals covered by the Form 8821

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

Catalog Number 50991Q

www.irs.gov

Form 13930 (Rev. 9-2022)

3. Contact Person (continued)

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

a. Name

b. Firm

c. Address

d. Voice phone number

e. Fax phone number

Catalog Number 50991Q

www.irs.gov

Form 13930 (Rev. 9-2022)

Continuation Sheet - For Entertainment Groups with Multiple Nonresident Aliens

Athlete/Entertainer (nonresident alien)

AE-ID (IRS Use Only)

a. Legal Name (last, first, middle initial)

c. U.S. Taxpayer ID (SSN)

b. Address

d. Date of birth

G-ID (IRS Use Only)

e. Country of residence

f. Country of citizenship

g. Applying as

Athlete

h. Group name (if applicable)

i. Percentage share of net income

j. Stage name

k. Marital status

Married

Athlete/Entertainer (nonresident alien)

AE-ID (IRS Use Only)

a. Legal Name (last, first, middle initial)

c. U.S. Taxpayer ID (SSN)

b. Address

d. Date of birth

Entertainer

Single

G-ID (IRS Use Only)

e. Country of residence

f. Country of citizenship

g. Applying as

Athlete

h. Group name (if applicable)

i. Percentage share of net income

j. Stage name

k. Marital status

Married

Athlete/Entertainer (nonresident alien)

AE-ID (IRS Use Only)

a. Legal Name (last, first, middle initial)

c. U.S. Taxpayer ID (SSN)

b. Address

d. Date of birth

Entertainer

Single

G-ID (IRS Use Only)

e. Country of residence

f. Country of citizenship

g. Applying as

Athlete

h. Group name (if applicable)

i. Percentage share of net income

j. Stage name

k. Marital status

Married

Catalog Number 50991Q

www.irs.gov

Entertainer

Single

Form 13930 (Rev. 9-2022)