W8 Form

[charancreations]

Hi everyone! I got a wholesale inquiry from a company in the US. I'm based in Canada. They have finalized all the designs, rates etc. And now they've asked me to fill out W-8 BEN form. I've send wholesale order to US before but was not asked to fill out this form before.
Does anyone know the purpose of this form and impact on my Canada/US taxes as a Canadian business?

Thanks!
Charan

[MariasWorkshop]

I am not familiar with this form, but from what I read, it may be used so the US does not tax you, but I am not sure.

I found this in the Internet, which I hope helps - you can also find the W-8BEN form itself in the Internet:

http://www.doughroller.net/taxes/what-is-a-w-8-form/

http://www.irs.gov/pub/irs-pdf/iw8ben.pdf

[MariasWorkshop]

You may want to read the Instructions for Form W-8BEN very carefully. They are contained in the second link I included above. I got these instructions from the US Internal Revenue Service' site. They mention the withholding of a 30% tax.

[charancreations]

This is very infomative. Thanks so much!