Canadian Musicians, U.S. Royalties, and ITIN Questions

If you do business in the United States, you may have heard that U.S.-source royalty income can be subject to 30% withholding by default. For Canadians, the process is not always as simple as “get an ITIN and the problem goes away.” In many cases, the first form that matters is Form W-8BEN, which is given to the U.S. payer or withholding agent to claim any treaty benefit that may apply.

An ITIN may still be needed in some situations, but whether you need one depends on your exact circumstances and what the payer requires. I’m not an accountant or tax lawyer, so use this as a general guide only and verify the details with the current IRS instructions before relying on them.

Step 1: Find out whether your payer needs Form W-8BEN, an ITIN, or both

If you’re a Canadian musician receiving U.S.-source royalties, start by asking the U.S. company or payer what documentation they require. In many cases, treaty benefits are claimed through Form W-8BEN, which is the form individuals provide to the withholding agent to claim a reduced withholding rate under a tax treaty.

Form W-7
Instructions for Form W-7
IRS: How to Apply for an ITIN

Step 3: Don’t assume a consulate visit is the required path anymore

Older advice often said you had to get a passport copy notarized at a U.S. consulate and this is the way I originally had to do this. The IRS now points applicants to options such as applying by mail, using an IRS-approved Acceptance Agent or Certifying Acceptance Agent, or visiting certain IRS Taxpayer Assistance Centres that can review Form W-7 applications and supporting documents.

IRS: ITIN Application Options
IRS: ITIN Acceptance Agents

Step 4: Check the current document rules before sending anything

The IRS says the Form W-7 instructions list the acceptable documents for proving identity and foreign status. Because document rules matter, I would not hard-code old passport-copy instructions into this post anymore. Just point readers to the current W-7 instructions and ITIN supporting document page.

IRS: ITIN Supporting Documents
IRS: Obtaining an ITIN from Abroad

Step 5: Check the latest mailing details before submitting

The IRS still provides the Austin ITIN mailing route in its current materials, but mailing addresses and processing details should always be checked on the current IRS page before sending documents.

IRS: About Form W-7
IRS: Current ITIN Mailing and Application Information

Final thoughts

If you’re a Canadian musician earning royalty income from the U.S., the main things to understand are:

• U.S.-source royalties may be subject to 30% withholding by default.
• A reduced treaty rate is often claimed with Form W-8BEN given to the payer.
• An ITIN may be required in some cases, but you should confirm that based on current IRS rules and your payer’s requirements.
• If you do need an ITIN, use the latest Form W-7, the current instructions, and the current IRS guidance on applying from abroad or through an acceptance agent.

Useful current IRS resources:

Form W-8BEN
Form W-7
Instructions for Form W-7
How to Apply for an ITIN
Claiming Tax Treaty Benefits
Tax Treaty Tables
ITIN Acceptance Agents

If you need help with your productions, mixes, voice-over projects, or vocal editing, feel free to reach out.

If you need help with your productions, mixes, or voice-over projects, feel free to reach out!

Ashton Price

www.MorphProductions.com

ashton@MorphProductions.com

Instagram: @Morphpro

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Originally published January 10, 2010 · Updated March 27, 2026

I am not a lawyer, accountant or even really that smart. This blog provided for informational purposes. Please do your own research before messing with the IRS!