# W-8BEN — Sungho Park

**Status:** NOT STARTED
**Priority:** HIGH — required by OA § XI, needed before first distribution
**Owner:** Ace

## What

Form W-8BEN (Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting) must be completed and signed by Sungho Park. Required by the Operating Agreement and by IRC § 1441/1446.

## Why

- Establishes Sungho Park as a foreign person for US tax purposes
- Claims benefits under the US-Korea Income Tax Treaty
- Determines withholding rate on US-source income
- Without W-8BEN: 30% default withholding on ALL payments
- With W-8BEN + treaty: reduced rates on dividends (15%), interest (12%), and potentially 0% on capital gains

## Form Fields (Ace prepares, Sungho signs)

| Field | Value |
|---|---|
| Part I, Line 1 — Name | Sungho Park (박성호) |
| Part I, Line 2 — Country of citizenship | Republic of Korea (South Korea) |
| Part I, Line 3 — Permanent address | [Sungho's Korean address] |
| Part I, Line 5 — US taxpayer ID (ITIN) | [pending — see 26.02.27-itin-applications] |
| Part I, Line 6a — Foreign tax ID | [Sungho's Korean 주민등록번호] |
| Part I, Line 6b — Check if FTIN not legally required | No — Korea issues TINs |
| Part I, Line 7 — Reference number | Palace Fund LLC / Member |
| Part I, Line 8 — Date of birth | [Sungho's DOB] |
| Part II, Line 9a — Treaty country | Republic of Korea |
| Part II, Line 9b — Article | Article 16 (Capital Gains) / Article 12 (Dividends) |
| Part II, Line 9c — Withholding rate | Per treaty article |
| Part II, Line 10 — Special rates | Claim treaty benefits for capital gains from securities |
| Part III — Certification | Sungho signs and dates |

## Steps

- [ ] Ace: Download current Form W-8BEN from IRS (Rev. October 2021 or later)
- [ ] Ace: Pre-fill all fields except signature
- [ ] Ace: Research US-Korea treaty articles applicable to partnership income:
  - Article 6 (Income from Real Property) — not applicable
  - Article 12 (Dividends) — applicable if fund distributes
  - Article 13 (Interest) — applicable if fund earns interest
  - Article 16 (Capital Gains) — key article for securities gains
- [ ] Ace: Determine correct treaty claim for Line 10 (securities trading gains by a fund partner)
- [ ] Ace: Send pre-filled W-8BEN to Sungho Park for signature
- [ ] Sungho Park: Sign and date the form
- [ ] Sungho Park: Return signed form (scan/photo to junwon@palace.fund)
- [ ] Ace: File with fund records (W-8BEN is NOT filed with IRS — retained by withholding agent, i.e., the fund)

## Validity

- W-8BEN is valid for 3 years from the date of signing
- Must be renewed before expiration
- Expiration date: [signing date + 3 years]

## Dependencies

- Sungho Park's Korean address (need to confirm)
- Sungho Park's 주민등록번호 (for foreign TIN field)
- ITIN (can leave blank initially, update when received)