U.S. · Tax forms · Foreign persons
Form 1042-S box 12b, chapter 3 status code.
Box 12b is yours as the payer. The recipient’s code is in a different box.
Box 12b is the withholding agent’s chapter 3 status code, a two-digit code from Appendix B. It is not the recipient code: the recipient’s chapter 3 and chapter 4 status codes go in boxes 13j and 13k. The agent must enter both a chapter 3 code (12b) and a chapter 4 code (12c). Pick the code that most closely describes the agent, such as 15 for a corporation, or 41 for a U.S. college, university or other U.S. entity exempt under a section other than 501(c).
Look up a 1042-S Box 12b item
Result
1042-S Box 12b at a glance (2026 edition)
| Code | Meaning | Note |
|---|---|---|
| 05 | U.S. branch, treated as U.S. person | Listed in Appendix B of the instructions |
| 06 | U.S. branch, not treated as U.S. person | Listed in Appendix B of the instructions |
| 07 | U.S. branch, ECI presumption applied | Listed in Appendix B of the instructions |
| 08 | Partnership other than withholding foreign partnership, publicly traded partnership or partnership QDD | Recipient use is limited. See the instructions for box 13j |
| 09 | Withholding foreign partnership | Listed in Appendix B of the instructions |
| 10 | Trust other than withholding foreign trust | Listed in Appendix B of the instructions |
| 11 | Withholding foreign trust | Listed in Appendix B of the instructions |
| 12 | Qualified intermediary | U.S. withholding agent paying a QI (other than a disclosing QI) uses 12 |
| 13 | Qualified securities lender, qualified intermediary | Listed in Appendix B of the instructions |
| 14 | Qualified securities lender, other | Listed in Appendix B of the instructions |
| 15 | Corporation | Example in the instructions: a U.S. financial institution that is a corporation uses 15 in box 12b |
| 16 | Individual | Recipient individuals. Use 22 instead if income code 42 or 43 is used |
| 17 | Estate | Listed in Appendix B of the instructions |
| 18 | Private foundation | Listed in Appendix B of the instructions |
| 19 | International organization | Listed in Appendix B of the instructions |
| 20 | Tax exempt organization (section 501(c) entities) | Listed in Appendix B of the instructions |
| 21 | Unknown recipient | Recipient with no documentation, or payment that cannot be reliably associated with a recipient |
| 22 | Artist or athlete | Required instead of 16, 15 or 08 when income code 42 or 43 is used |
| 23 | Pension | Listed in Appendix B of the instructions |
| 24 | Foreign central bank of issue | Listed in Appendix B of the instructions |
| 25 | Nonqualified intermediary | Listed in Appendix B of the instructions |
| 26 | Hybrid entity making treaty claim | Listed in Appendix B of the instructions |
| 27 | Pooled reporting: withholding rate pool, general | Codes 27 to 32 are only for a QI, QSL, WP or WT; a QI acting as a QDD may use only 27 or 28 |
| 28 | Pooled reporting: withholding rate pool, exempt organization | Listed in Appendix B of the instructions |
| 29 | Pooled reporting: PAI withholding rate pool, general | Listed in Appendix B of the instructions |
| 30 | Pooled reporting: PAI withholding rate pool, exempt organization | Listed in Appendix B of the instructions |
| 31 | Pooled reporting: agency withholding rate pool, general | Listed in Appendix B of the instructions |
| 32 | Pooled reporting: agency withholding rate pool, exempt organization | Listed in Appendix B of the instructions |
| 35 | Qualified derivatives dealer | Listed in Appendix B of the instructions |
| 36 | Foreign government, integral part | Listed in Appendix B of the instructions |
| 37 | Foreign government, controlled entity | Listed in Appendix B of the instructions |
| 38 | Publicly traded partnership | Listed in Appendix B of the instructions |
| 39 | Disclosing qualified intermediary | Listed in Appendix B of the instructions |
| 40 | Partnership QDD | For a partnership reporting allocations of QDD items to its partners |
| 41 | U.S. government entity or tax exempt entity (other than section 501(c) entities) | Colleges, universities and similar U.S. entities exempt under a section other than 501(c). Applicable only for box 12b |
Correction to the common search
People often search for the recipient code under box 12b. According to the instructions, box 12b is the withholding agent’s chapter 3 status code and box 12c is the withholding agent’s chapter 4 status code. The recipient’s codes are in boxes 13j (chapter 3) and 13k (chapter 4). The same Appendix B list serves all of these boxes, so the codes themselves are the same table.
Rules the instructions add for the recipient (box 13j)
If income code 42 or 43 (artist or athlete earnings) is used, use recipient code 22 instead of 16 (individual), 15 (corporation) or 08 (partnership). Use 21 (unknown recipient) only if you have not received a withholding certificate or other documentation, or cannot determine how much of a payment is reliably associated with a specific recipient. Use 13 or 14 for a qualified securities lender. Only a QI may use 29 and 30; only a QI, WP or WT that made a pooled reporting election may use 27, 28, 31 and 32.
About this table
The table lists the chapter 3 codes 05 through 41 that appear in the text of Appendix B on the IRS page. The printed form may carry additional codes at the start of the list; check Appendix B on the IRS page before relying on a code not shown here.
Worked example
A made-up U.S. software company (a corporation) pays royalties to a foreign licensee and files Form 1042-S as the withholding agent. Following the instructions’ own example for a U.S. financial institution that is a corporation, the company would pick the chapter 3 code that most closely applies to it, 15 (corporation), for box 12b, and enter a chapter 4 code in 12c as well. The chapter 4 list in Appendix B includes 01 (U.S. withholding agent, FI) and 02 (U.S. withholding agent, other); see the chapter 4 status code page.
More pages in this set
Related decoder pages: 1042-S Chapter 4 Status Codes, 1042-S Income Code 50, 1042-S Exemption Code 04.
Sources
- Instructions for Form 1042-S (2026): the line-by-line and code instructions summarized on this page. Page last reviewed or updated April 30, 2026. Read November 2, 2026.
Edition: Instructions for Form 1042-S (2026). Line numbers, codes, dollar limits and rates are those printed in that edition and change by year. Names in worked examples are made up.
Frequently asked questions
What is Form 1042-S box 12b?
The withholding agent’s chapter 3 status code, a two-digit code from the recipient status code list in Appendix B.
Is box 12b the recipient code?
No. The recipient’s chapter 3 and chapter 4 status codes are in boxes 13j and 13k. Boxes 12b and 12c are the withholding agent’s own codes.
What code can a college or university use in box 12b?
Chapter 3 status code 41 (U.S. government entity or tax exempt entity other than section 501(c) entities) may be used by U.S. governmental entities and tax-exempt entities such as colleges and universities.
Do I need box 12c too?
Yes. The instructions say you must enter both a chapter 3 and a chapter 4 withholding agent status code regardless of the type of payment.
Which code does a corporation use?
Code 15 (corporation). The instructions use it as the example for a U.S. financial institution that is a corporation.
Not tax advice
This page summarizes IRS instructions, mostly written for the people who prepare the form, and is not tax, legal or financial advice. A CPA, an enrolled agent or a payroll professional can confirm what a line or code means for your filing. Everything runs in your browser; nothing you enter is sent anywhere.