For more information on how to apply for a CWA, see Form 13930. A Central Withholding Agreement (CWA) is a tool that can help entertainers and athletes who don't live in the United States (U.S.) but who do plan to work here. A CWA is an agreement to have U.S. income tax withheld based on the non-resident's income.
CWA requests must be received at least 45 days prior to the first event to be covered by the CWA. The IRS will not process any request it receives less than 45 days before the event, and therefore such event(s) will be subject to 30% withholding of the gross income.
Tax Sharing and Allocation Agreements are often used to allocate the burden of federal and state taxation among members of a consolidated group who, under applicable tax rules, are liable on a joint and several basis for tax obligations of the corporate group during tax years in which they are members.