Got a 1042-S Form in the mail and don't know what to do with it as a UK investor?

The 1042-S Form is used to report income paid to foreign persons (like yourself) that's subject to withholding. In your case, as a UK investor using Robinhood, you received dividends from US investments, and Robinhood automatically withheld some taxes as required by US tax law. The good news is that for most UK residents, you don't need to file a US tax return just because you received a 1042-S with such a small amount. The $4 that was withheld satisfied your US tax obligation on that dividend income. However, you should report this income on your UK tax return if you're required to file one. If you want to try reclaiming the withheld amount, you could file a US tax return (Form 1040NR) with Form 8833 to claim treaty benefits, but honestly, for $4, the effort probably isn't worth it. The filing process would be more expensive than the refund. Just keep the form for your records in case you ever need to reference it for your UK taxes when your income reaches the threshold to file there.

I went through this exact situation last year with my US investments as a foreigner. The 1042-S form was confusing for me too until I uploaded it to taxr.ai (https://taxr.ai). Their system analyzed my international tax situation and explained exactly what I needed to do. In my case, they confirmed I didn't need to file anything with the IRS for the small amount, but they also showed me what forms I would need IF I wanted to try recovering the withholding. They even explained how the tax treaty between my country and the US applied to my situation. Saved me tons of research time!

Just wanted to update that I tried taxr.ai after reading about it here. I uploaded my batch of international tax forms (including several 1042-S forms from different countries) and it was surprisingly helpful. The system actually spotted that I was eligible for a reduced withholding rate under the tax treaty between my country and the US that I hadn't known about. What I found most useful was the plain language explanation of what each box on the form meant for my specific situation. For the small amounts like what OP is dealing with, they confirmed it wasn't worth filing, but for my larger holdings they outlined the exact process I'd need to follow. Definitely bookmarking this for next tax season!

If you do decide you want to get that $4 back or have questions about your 1042-S, good luck trying to reach the IRS! I spent literal WEEKS trying to call them about my international tax forms last year. Always "high call volume" messages and disconnects. I finally used Claimyr (https://claimyr.com) to get through to them. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c. They basically hold your place in the phone queue and call you when an IRS agent picks up. Saved me from the endless redial nightmare. The IRS agent I spoke with actually helped me understand my filing requirements as a non-resident with US investments and confirmed I didn't need to file anything for my small dividend amounts.

Just had to come back and say WOW - I was super skeptical about Claimyr but I tried it after seeing this thread. I've been trying to reach the IRS about my 1042-S forms for MONTHS with no success. Used the service yesterday and got connected to an actual IRS international tax specialist in about 45 minutes. I didn't even have to sit by my phone - they just called me when an agent was on the line! The agent confirmed that for my situation (similar to yours with small dividend amounts on US stocks), I don't need to file anything with the IRS. They also explained how I can set up a W-8BEN form properly with my brokerage to potentially reduce withholding in the future. Total game changer for dealing with cross-border tax questions.

Just want to add that you should check if you need to report this on your UK tax return. I'm also in the UK and even small amounts of foreign dividends technically need to be reported, but only if you're already filing a Self Assessment for other reasons or if your dividend income goes above the UK dividend allowance (which has been reduced for 2025 tax year btw). The 1042-S is actually useful documentation for your UK tax return if you ever need to claim foreign tax credit for the tax already paid in the US. HMRC gives you credit for foreign taxes paid so you're not double-taxed on the same income.

Quick tip from someone who's been investing in US stocks from abroad for years: If you haven't already, make sure your W-8BEN form is filled out correctly with Robinhood. This form tells them you're a foreign investor eligible for tax treaty benefits. For UK residents, this often means having dividend withholding reduced from 30% to 15%. It won't make a big difference for $13, but as your investments grow, it can save you a lot in unnecessary withholding. The form is usually valid for 3 years before you need to submit a new one. Most brokers will prompt you when it's time to renew.

Another UK investor here - just FYI, if you're using Robinhood from the UK, make sure you're aware they're not actually authorized by the FCA (our financial regulator) to offer services to UK customers. Many people use it anyway through various workarounds, but just be aware there's very little protection if something goes wrong. As for the 1042-S form, I get these too for my US investments. For amounts as small as yours, I just keep them on file but don't do anything with them. Once your dividend income gets larger, you'll need to report it on your UK Self Assessment and claim the foreign tax credit.

As someone who's dealt with 1042-S forms as a foreign investor, I can confirm what others have said - for £13 in dividends, you really don't need to stress about this! The 1042-S is basically just a receipt showing that Robinhood withheld some US tax on your behalf. Think of it like when shops automatically take VAT from your purchase - except in this case, the "shop" (Robinhood) took US tax from your dividends before paying you. Since you're 21 and haven't filed UK taxes before, you're almost certainly under the £12,570 personal allowance threshold, so you wouldn't need to report this tiny amount to HMRC either. Just keep the form safe in case you need it later when your investments grow. The main thing to remember for the future is to make sure you have a proper W-8BEN form on file with any US brokers you use. This should reduce your withholding from 30% to 15% under the US-UK tax treaty, which will save you money as your portfolio grows. Don't worry about being on any "IRS blacklist" - they have much bigger fish to fry than chasing UK students over £4 in withholding tax!

I'm in a very similar situation as a UK resident who just started investing in US stocks! Got my first 1042-S form last month and was completely panicked thinking I'd done something wrong. What really helped me was understanding that this is totally normal - every foreign investor gets these forms. The US government requires brokers to withhold tax from non-US investors, and the 1042-S is just proof that this happened. It's actually a good thing because it shows everything was handled properly! For such a small amount, you definitely don't need to file anything with the IRS. I was in the same boat worrying about accidentally breaking tax laws, but the reality is that for amounts this tiny, neither the IRS nor HMRC are going to care if you don't file anything. One thing I learned that might help you: make sure to check that your W-8BEN form is properly filled out with Robinhood. This should reduce your withholding from 30% to 15% going forward thanks to the UK-US tax treaty. It won't help with this year's dividends, but it'll save you money as your investments grow. Keep the 1042-S form in a safe place though - you'll need it if you ever have to file UK taxes in the future and want to claim credit for the US tax that was already paid. But for now, you can breathe easy knowing you haven't done anything wrong!

Hey Chloe! Completely understand the panic - I remember getting my first 1042-S and thinking I'd accidentally triggered some international tax incident over pocket change! You're absolutely right not to stress about this. The form is basically just a receipt showing that Robinhood did what they're legally required to do - withhold US tax from your dividends before paying you. Think of it like automatic tax deduction from a paycheck, except it's from your dividend payments. For £13 in dividends with £4 withheld, you definitely don't need to file anything with the IRS. The withholding satisfied your US tax obligation, and the amount is way too small to worry about trying to recover through filing a US tax return. On the UK side, since you mentioned you've never earned enough to pay UK tax, you're almost certainly under the personal allowance threshold, so you wouldn't need to report this to HMRC either. Just keep the form filed away safely in case you need it in future years when your investments grow. One tip for going forward: double-check that you have a proper W-8BEN form on file with Robinhood. This should reduce your withholding rate from 30% to 15% under the US-UK tax treaty, which will save you money as your portfolio grows. The difference isn't much now, but it adds up over time! Don't worry - you haven't broken any laws and you're definitely not ending up on any blacklist over this. Welcome to the world of international investing!

Don't worry Chloe, you're definitely not alone in this confusion! I had the exact same panic when I got my first 1042-S form as a UK investor. The key thing to understand is that this form is actually proof that everything was handled correctly - Robinhood automatically withheld the required US tax from your dividends before paying you the rest. For your small amount (£13 dividends, £4 withheld), you absolutely don't need to file anything with the IRS or worry about breaking any laws. Since you mentioned you've never earned enough to pay UK tax, you're likely well under the personal allowance threshold, so you probably don't need to report this tiny amount to HMRC either. Just keep the form safe for your records. Going forward, I'd recommend checking that you have a proper W-8BEN form completed with Robinhood. This should reduce your withholding rate from 30% to 15% thanks to the UK-US tax treaty. Won't make much difference now, but as your investments grow over the years, that 15% savings really adds up! Trust me, the IRS has much bigger concerns than chasing UK students over £4 in tax. You're doing everything right - welcome to international investing!