Form BE-120 Questionnaire

Generic Clearance for Questionnaire Pretesting Research

BE-120 051217

BE-120 Cognitive Interviews

OMB: 0607-0725

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FORM

BE-120

(REV. 03/2017)

OMB No. 0608-0058: Approval Expires 10/31/2018
BE-120 Identification Number

2017 BENCHMARK SURVEY OF TRANSACTIONS IN SELECTED SERVICES
AND INTELLECTUAL PROPERTY WITH FOREIGN PERSONS
FORM BE-120
Due date:
June 30, 2018
Extension information:
See Part V, page 31 of the General
Instructions.
Electronic filing:
www.bea.gov/efile
Mail reports to:
Bureau of Economic Analysis
Balance of Payments Division, BE-50 (SSB)
4600 Silver Hill Rd.
Washington, DC 20233
Deliver reports to:
Bureau of Economic Analysis
Balance of Payments Division, BE-50 (SSB)
4600 Silver Hill Rd.
Suitland, MD 20746

Name and address of U.S. Reporter
10001 Company Name:
0
10002 Attention:
0
10003 Address:
0
10004 City, State, Zip Code (9-digit)
0

Fax reports to:
(301) 278-9507
Assistance:
E-mail: [email protected]
Telephone: (301) 278-9303
Copies of blank forms: http://www.bea.gov/ssb

BE-120 Filing Requirements:
• A BE-120 report must be completed in its entirety by each U.S. person who had sales to foreign persons that exceeded $2 million
or purchases from foreign persons that exceeded $1 million in any of the intellectual property or services categories listed
in Tables 1−4 , on pages 6 through 9 of this survey, during the U.S. Reporter’s fiscal year ending in 2017.
• Any U.S. person that had transactions in any of the intellectual property or services categories listed in Tables 1−4 and did not
exceed the mandatory reporting thresholds of $2 million in sales, or $1 million in purchases is required to complete the report
through page 10.
• Any U.S. person that does not have transactions directly with foreign persons in any of the covered services is required to complete
the report through page 10, if notified by BEA about this survey.
*NOTE – Because these thresholds apply separately to sales and purchases for each type of intellectual property or service listed in
Tables 1−4 , on pages 6 through 9 of this survey, reporting requirements may apply only to sales, only to purchases, or to both. For
more information on filing requirements, see the General Instructions on page 22.
Authority, Confidentiality, Penalties
This survey is being conducted under the International Investment and Trade in Services Survey Act (P.L. 94-472, 90 Stat. 2059,
22 U.S.C. 3101-3108, as amended). The filing of reports is mandatory, and the Act provides that your report to BEA is confidential.
Persons who fail to report may be subject to penalties. See page 22 of the General Instructions for additional details.
Contact Information
Provide information of person to consult about this report:
Name

Telephone Number

—
— — — - — — — —
Fax Number
0
(— — —) — — — - — — — —
0

10006

10005

E-mail Address
0
10008

10007

(—

—)

Extension

— — — —

NOTE: BEA uses a Secure Messaging System to correspond with you via encrypted message to discuss questions relating to
this form. We may use your e-mail address for survey-related announcements and to inform you about secure messages. When
communicating with BEA by e-mail, please do not include any confidential business or personal information.
Certification
The undersigned official certifies that this report has been prepared in accordance with the applicable instructions, is complete, and is
substantially accurate including estimates that may have been provided.
Signature of Authorized Official

Date

Name

Title

Telephone Number

(—

—

—)

— — — - — — — —

Extension

— — — —

Part I – Identification of U.S. Reporter
1 What is the U.S. Reporter’s 2017 fiscal year covered in this report?
Month

Day

Year

11001 1

__ __ / __ __ / __ __ __ __

Beginning date . . . . . . .

Month
11002 1

Ending date. . . . . . . . . .

Year

2 __
0 __
1 __
7
__ __ / __ __ / __

What was the status of the U.S. Reporter during the reporting period identified in question
11003

Day

1 ?

1 ■ In existence the entire reporting period – Continue filling out this form.

2 ■ In existence during only part of the reporting period – Continue filling out this form for the portion of the reporting period your
company was in existence and, in the comments section below, explain why your company did not exist for a part of the period.

3 ■ Not in existence during the reporting period – In the comments section below, explain why your company was not in existence
during the reporting period. Please return form according to instructions on page 1.

Was the U.S. Reporter owned more than 50 percent by another U.S. person at any point during the reporting period identified in
question 1 ? See Part II, page 23 of the General Instructions for the definition of U.S. person.
11004

1
1

1 ■ No — Continue filling out this form.

2 ■ Yes — Check A or B:
2

■ A – Owned by another U.S. person for part of the reporting period — Enter the name, contact information, and

address of the controlling U.S. person below and continue filling out this form, but only report transactions for
the period during which the U.S. Reporter was NOT owned by another U.S. person. Provide any comments in the
section below.

■ B – Owned by another U.S. person for the entire reporting period — Enter the name, contact information, and
address of the controlling U.S. person below, provide any comments in the section below, and return this form
according to the instructions on page 1.

10016

Name

10017

Contact name

10019

Address — Number and street

10020

City

Comments

10018 Phone number
0

10021 State

10022 Zip

4 What is the primary Employer Identification Number (EIN) used by the U.S. Reporter to file U.S. income or payroll taxes?
11009

___ ___ – ___ ___ ___ ___ ___ ___ ___

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Page 2

FORM BE-120 (REV. 03/2017)

Part I – Identification of U.S. Reporter
5 Using the summary of NAICS classifications on the following page, as well as the example below, enter the 4-digit code that best
describes the primary activity of the consolidated domestic U.S. Reporter. After entering your response, proceed to page 5. See
Part II, page 23 of the General Instructions for the definition of consolidated domestic U.S. Reporter.
11008

__ __ __ __

EXAMPLE FOR DETERMINING PRIMARY NAICS CODE
Report the NAICS code that best describes the primary sales activities of the U.S. Reporter’s consolidated U.S. operations. For example, if
60% of the consolidated domestic U.S. Reporter’s sales are generated by Company A, a U.S. automobile manufacturer (NAICS 3361), and
40% of the consolidated domestic U.S. Reporter’s sales are generated by Company B, an industrial engineering company (NAICS 5414),
then you should report your NAICS as 3361.

Consolidated Domestic
U.S. Reporter
($50 Million Total Sales)

Use NAICS
3361

U.S. Affiliate A
NAICS 3361
($30 Million Total Sales)

U.S. Affiliate B
NAICS 5414
($20 Million Total Sales)

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●

FORM BE-120 (REV. 03/2017)

Page 3

Summary of Industry Classifications – For a full explanation of each code see www.bea.gov/naics2012
Agriculture, Forestry, Fishing, and Hunting
1110
1120
1130
1140
1150

Crop production
Animal production and aquaculture
Forestry and logging
Fishing, hunting, and trapping
Support activities for agriculture and forestry

Mining
2111
2121
2123
2124
2125
2126
2127
2132
2133

Oil and gas extraction
Coal
Nonmetallic minerals
Iron ores
Gold and silver ores
Copper, nickel, lead, and zinc ores
Other metal ores
Support activities for oil and gas operations
Support activities for mining, except
for oil and gas operations

Utilities
2211

2212
2213

Electric power generation,
transmission, and distribution
Natural gas distribution
Water, sewage, and other systems

Construction
2360 Construction of buildings
2370 Heavy and civil engineering construction
2380 Specialty trade contractors

Manufacturing
3111
3112
3113
3114

3115
3116
3117
3118
3119
3121
3122
3130
3140
3150
3160
3210
3221
3222
3231
3242
3243
3244

3251
3252

3253

3254
3255
3256

3259
3261
3262
3271
3272
3273
3274
3279
3311
3312
3313

3314

3315
3321
3322
3323
3324
3325
3326
3327

3328

3329
3331
3332
3333

Page 4

Animal foods
Grain and oilseed milling
Sugar and confectionery products
Fruit and vegetable preserving and
specialty foods
Dairy products
Meat products
Seafood product preparation and packaging
Bakeries and tortillas
Other food products
Beverages
Tobacco
Textile mills
Textile product mills
Apparel
Leather and allied products
Wood products
Pulp, paper, and paperboard mills
Converted paper products
Printing and related support activities
Integrated petroleum refining and extraction
Petroleum refining without extraction
Asphalt and other petroleum and
coal products
Basic chemicals
Resins, synthetic rubbers, and artificial
and synthetic fibers and filaments
Pesticides, fertilizers, and other
agricultural chemicals
Pharmaceuticals and medicines
Paints, coatings, and adhesives
Soap, cleaning compounds, and
toilet preparations
Other chemical products and preparations
Plastics products
Rubber products
Clay products and refractories
Glass and glass products
Cement and concrete products
Lime and gypsum products
Other nonmetallic mineral products
Iron and steel mills and ferroalloys
Steel products from purchased steel
Alumina and aluminum production
and processing
Nonferrous metal (except aluminum)
production and processing
Foundries
Forging and stamping
Cutlery and handtools
Architectural and structural metals
Boilers, tanks, and shipping containers
Hardware
Spring and wire products
Machine shops; turned products; and
screws, nuts, and bolts
Coating, engraving, heat treating,
and allied activities
Other fabricated metal products
Agriculture, construction, and mining machinery
Industrial machinery
Commercial and service industry machinery

3334

3335
3336

3339
3341
3342
3343
3344

3345

3346

3351
3352
3353
3359
3361
3362
3363
3364
3365
3366
3369
3370
3391
3399

Ventilation, heating, air-conditioning,
and commercial refrigeration equipment
Metalworking machinery
Engines, turbines, and power
transmission equipment
Other general purpose machinery
Computer and peripheral equipment
Communications equipment
Audio and video equipment
Semiconductors and other
electronic components
Navigational, measuring, electromedical,
and control instruments
Manufacturing and reproducing
magnetic and optical media
Electric lighting equipment
Household appliances
Electrical equipment
Other electrical equipment and components
Motor vehicles
Motor vehicle bodies and trailers
Motor vehicle parts
Aerospace products and parts
Railroad rolling stock
Ship and boat building
Other transportation equipment
Furniture and related products
Medical equipment and supplies
Other miscellaneous manufacturing

Wholesale Trade, Durable Goods
4231

4232
4233
4234

4235
4236

4237

4238
4239

Motor vehicles and motor vehicle
parts and supplies
Furniture and home furnishing
Lumber and other construction materials
Professional and commercial
equipment and supplies
Metal and mineral (except petroleum)
Household appliances, and electrical and
electronic goods
Hardware, and plumbing and heating
equipment and supplies
Machinery, equipment, and supplies
Miscellaneous durable goods

Wholesale Trade, Non-Durable Goods
4241
4242
4243
4244
4245
4246
4247
4248
4249

Paper and paper product
Drugs and druggists’ sundries
Apparel, piece goods, and notions
Grocery and related product
Farm product raw material
Chemical and allied products
Petroleum and petroleum products
Beer, wine, and distilled alcoholic beverage
Miscellaneous nondurable goods

Wholesale Trade, Electronic Markets
and Agents And Brokers
4251 Wholesale electronic markets and

agents and brokers

Retail Trade
4410
4420
4431
4440

4450
4461
4471
4480
4510
4520
4530
4540

Motor vehicle and parts dealers
Furniture and home furnishings
Electronics and appliance
Building material and garden equipment
and supplies dealers
Food and beverage
Health and personal care
Gasoline stations
Clothing and clothing accessories
Sporting goods, hobby, book, and music
General merchandise
Miscellaneous store retailers
Non-store retailers

Transportation and Warehousing
4810
4821
4833
4839
4840
4850
4863

4868
4870
4880
4920
4932
4939

Air transportation
Rail transportation
Petroleum tanker operations
Other water transportation
Truck transportation
Transit and ground passenger transportation
Pipeline transportation of crude oil,
refined petroleum products, and natural gas
Other pipeline transportation
Scenic and sightseeing transportation
Support activities for transportation
Couriers and messengers
Petroleum storage for hire
Other warehousing and storage

Information
5111

5112
5121
5122

Newspaper, periodical, book, and
directory publishers
Software publishers
Motion picture and video industries
Sound recording industries

5151
5152
5171
5172

5174
5179
5182
5191

Radio and television broadcasting
Cable and other subscription programming
Wired telecommunications carriers
Wireless telecommunications carriers,
except satellite
Satellite telecommunications
Other telecommunications
Data processing, hosting, and related services
Other information services

Finance and Insurance
5221 Depository credit intermediation (Banking)
5223 Activities related to credit intermediation
5224 Nondepository credit intermediation
5229 Nondepository branches and agencies
5231 Securities and commodity contracts

intermediation and brokerage
5238 Other financial investment activities and
exchanges
5242 Agencies, brokerages, and other insurance

related activities
5243 Insurance carriers, except life insurance carriers
5249 Life insurance carriers
5252 Funds, trusts, and other finance vehicles

Real Estate and Rental and Leasing
5310
5321
5329
5331

Real estate
Automotive equipment rental and leasing
Other rental and leasing services
Lessors of nonfinancial intangible assets,
except copyrighted works

Professional, Scientific, and Technical
Services
5411
5412

5413
5414
5415
5416

5417
5418
5419

Legal services
Accounting, tax preparation, bookkeeping,
and payroll services
Architectural, engineering, and related services
Specialized design services
Computer systems design and related services
Management, scientific, and technical
consulting services
Scientific research and development services
Advertising, public relations, and related services
Other professional, scientific, and
technical services

Management of Companies and Enterprises
5512 Holding companies, except bank holding
companies
5513 Corporate, subsidiary, and regional

management offices

Administrative and Support, Waste
Management, and Remediation Services
5611
5612
5613
5614
5615
5616
5617
5619
5620

Office administrative services
Facilities support services
Employment services
Business support services
Travel arrangement and reservation services
Investigation and security services
Services to buildings and dwellings
Other support services
Waste management and remediation services

Educational Services
6110 Educational services

Health Care and Social Assistance
6210
6220
6230
6240

Ambulatory health care services
Hospitals
Nursing and residential care facilities
Social assistance services

Arts, Entertainment, and Recreation
7110 Performing arts, spectator sports,

and related industries
7121 Museums, historical sites, and similar
institutions
7130 Amusement, gambling, and recreation
industries

Accommodation and Food Services
7210 Accommodation
7220 Food services and drinking places

Other Services
8110
8120
8130

Repair and maintenance
Personal and laundry services
Religious, grantmaking, civic, professional,
and similar organizations

Public Administration
9200 Public administration
FORM BE-120 (REV. 03/2017)

Part II – Determination of Reporting Status
Determining Reportable and Non-Reportable Transactions
The scope of this survey is limited to cross-border transactions in selected services and intellectual property between the consolidated domestic U.S.
Reporter and foreign persons. A full list of the types of services and intellectual property covered is located in Tables 1–4 beginning on the next page.

✓
✖

The following types of transactions are NOT reportable on this survey:
• Transactions between the U.S. Reporter’s foreign affiliates and other foreign persons.
• Transactions between the U.S. Reporter’s domestic operations and other U.S. persons.
• Imports or exports of goods (limited exceptions apply to contract manufacturing and construction services. See pages 27 and 33 of the General
Instructions for more information).
• Income on financial instruments (including interest, dividends, capital gains, etc.).
• Taxes, penalties, fines, gifts, or grants.
• Transportation of freight or passengers and port services.
• Travel-related services (including hotel accommodation and restaurant meals).
More information about the scope and purpose of this survey can be found in the General Instructions beginning on page 22.

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FORM BE-120 (REV. 03/2017)

Page 5

Part II – Determination of Reporting Status (Receipts)
REPORTING INSTRUCTIONS – For each transaction type listed in Table 1 below, enter the total receipts the U.S. Reporter had from foreign persons
during the reporting period identified in question 1 of the survey.
For each transaction type that exceeded $2 million during the reporting period, you are required to report receipts by individual country on Schedule A
(page 12).
NOTE: Definitions of the types of intellectual property transactions covered in Table 1 can be found in Part IV, pages 25–26 of the General Instructions.
IMPORTANT – Report amounts in thousands of U.S. dollars (omitting 000).
Round amounts of less than $500.00 to 0. Do not enter amounts in the shaded portions of each item.

Mil.

Thous.

Dols.

335

000

EXAMPLE: If amount is $1,334,891.00, report as. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Distribution of intellectual property receipts by types of rights conveyed
Transactions for rights related to intellectual property (previously reported under transaction codes 1 through 8 on this survey) must be reported based on
the types of rights conveyed with each transaction. Receipts for rights related to intellectual property typically fall into three categories: rights to use, rights
to reproduce and/or distribute, and outright sale of the intellectual property.
EXAMPLE: Receipts from foreign persons for rights related to the distribution of pharmaceutical products should be reported as “Rights related to the use
of a patent, process, or trade secret to produce and/or distribute a product or service” which corresponds with transaction code 1.1 as shown in Column 1
of Table 1 below.

Table 1 Receipts from Foreign Persons for Rights Related to Intellectual Property
Transaction
Code
(1)

Transaction Type

Total Receipts
from all non-U.S.
countries

If greater than
$2 million, report
country detail
for the reporting
period on

(2)

(3)

(4)

Rights related to patents, processes, and trade secrets
1.1
1.3

Rights related to the use of a patent, process, or trade secret to produce and/or distribute a product or service

000

Schedule A

Outright sales of proprietary rights related to patents, processes, and trade secrets

000

Schedule A

Rights related to books, music, etc.
2.1

Rights to use books, music, etc., including end-user rights related to digital content

000

Schedule A

2.2

Rights to reproduce and/or distribute books, music, etc.

000

Schedule A

2.3

Outright sales of proprietary rights related to books, music, etc.

000

Schedule A

Rights to use trademarks

000

Schedule A

Outright sales of proprietary rights related to trademarks

000

Schedule A

Rights related to trademarks
3.1
3.3

Rights related to recorded performances and events such as radio and television programs and motion
pictures
4.1

Rights to use recorded performances and events, including end-user rights related to digital content

000

Schedule A

4.2

Rights to reproduce and/or distribute recorded performances and events

000

Schedule A

4.3

Outright sales of proprietary rights related to recorded performances and events

000

Schedule A

000

Schedule A

Rights to broadcast and record live performances and events
5.2

Rights to broadcast and record live performances and events
Rights related to general use computer software

6.2

Rights to reproduce and/or distribute general use computer software

000

Schedule A

6.3

Outright sales of proprietary rights related to general use computer software

000

Schedule A

Fees associated with business format franchising

000

Schedule A

Outright sales of proprietary rights related to business format franchising

000

Schedule A

Franchise fees
7.1
7.3

Other intellectual property
8.1

Rights to use other intellectual property

000

Schedule A

8.2

Rights to reproduce and/or distribute other intellectual property

000

Schedule A

8.3

Outright sales of proprietary rights related to other intellectual property

000

Schedule A

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Page 6

FORM BE-120 (REV. 03/2017)

Part II – Determination of Reporting Status (Sales) – Continued
REPORTING INSTRUCTIONS – For each service type listed in Table 2 below, enter the U.S. Reporter’s sales to foreign persons during the reporting
period identified in question 1 . For each service type that exceeded $2 million, you must report sales by individual country on the mandatory Schedule/Part indicated in Column 4.
NOTE: Definitions of the types of selected services transactions covered in Table 2 can be found in Part IV, pages 26–30 of the General Instructions.

Table 2 Sales of Selected Services to Foreign Persons
Transaction
Code

Transaction Type

(1)

(2)

If greater than
$2 million, report
country detail for the
reporting period on:
(4)

Total Sales
to all non-U.S.
countries
(3)

Accounting, auditing, and bookkeeping services

3 $

000

Schedule A

Advertising services

000

Schedule A

Auxiliary insurance services

000

Schedule A

Computer software downloaded or otherwise electronically delivered

000

Schedule A

12.2

Cloud computing and data storage services

000

Schedule A

12.3

Other computer services

000

Schedule A

Construction services

000

Schedule C

14.1

News agency services (excludes production costs related to news broadcasters, see code 39)

000

Schedule A

14.2

Database and other information services

000

Schedule A

Education services

000

Schedule A

16.1

Architectural services

000

Schedule C

16.2

Engineering services

000

Schedule C

Surveying, cartography, certification, and technical inspection services

000

Schedule C

12.1

16.3
17

Financial services

Industrial engineering services

000

Schedule A

19.1

Maintenance services

000

Schedule A

19.2

Installation, alteration, and training services

000

Schedule A

Legal services

000

Schedule A

21.1

Market research services

000

Schedule A

21.2

Public opinion polling services

000

Schedule A

Other management, consulting, and public relations services

000

Schedule A

Merchanting services (net receipts)

000

Schedule A/Part V

Mining services

000

Schedule C

Operational leasing

000

Schedule A

Trade-related services, other than merchanting services

000

Schedule A

Artistic-related services

000

Schedule A

Premiums paid on primary insurance

Losses recovered on primary insurance
Research and development services undertaken on a systematic basis to increase the stock of knowledge

000

Schedule A

21.3

29.1

Other research and development services

000

Schedule A

Telecommunications services

000

Schedule A

Health services

000

Schedule A

Heritage and recreational services

000

Schedule A

Audiovisual and production services

000

Schedule A

Contract manufacturing services

000

Schedule A/Part III

Disbursements for sales promotion and representation

000

Schedule A

Photographic services (including satellite photography services)

000

Schedule A

Space transport services

000

Schedule A

Trade Exhibition and sales convention services

000

Schedule A

Agricultural services

000

Schedule A

Waste Treatment and depollution services

000

Schedule A

Other selected services n.i.e. (not included elsewhere)

000

Schedule A

29.2

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FORM BE-120 (REV. 03/2017)

Page 7

Part II – Determination of Reporting Status (Payments) – Continued
REPORTING INSTRUCTIONS – For each transaction type listed in Table 3 below, enter the total payments the U.S. Reporter had to foreign persons
during the reporting period identified in question 1 of the survey.
For each transaction type that exceeded $1 million during the reporting period, you are required to report payments by individual country on
Schedule B (page 14).
NOTE: Definitions of the types of intellectual property transactions covered in Table 3 can be found in Part IV, pages 25–26 of the General Instructions.
Distribution of intellectual property receipts by types of rights conveyed
Transactions for rights related to intellectual property (previously reported under transaction codes 1 through 8 on this survey) must be reported based
on the types of rights conveyed with each transaction. Payments for rights related to intellectual property typically fall into three categories: rights to use,
rights to reproduce and/or distribute, and outright sale of the intellectual property.
EXAMPLE: Payments to foreign persons for rights to distribute motion pictures should be reported as “Rights to reproduce and/or distribute recorded
performances and events” which corresponds with transaction code 4.2 as shown in Column 1 of Table 3 below.

Table 3 Payments to Foreign Persons for Rights Related to Intellectual Property
Transaction
Code

Transaction Type

Total Payments
to all non-U.S.
countries

(1)

(2)

(3)

If greater than
$1 million, report
country detail
for the reporting
period on:
(4)

Rights related to patents, processes, and trade secrets
1.1

Rights related to the use of a patent, process, or trade secret to produce and/or distribute a product or service

3 $

000

Schedule B

1.3

Outright purchases of proprietary rights related to patents, processes, and trade secrets

000

Schedule B

Rights related to books, music, etc.
2.1

Rights to use books, music, etc., including end-user rights related to digital content

000

Schedule B

2.2

Rights to reproduce and/or distribute books, music, etc.

000

Schedule B

2.3

Outright purchases of proprietary rights related to books, music, etc.

000

Schedule B

Rights related to trademarks
3.1

Rights to use trademarks

000

Schedule B

3.3

Outright purchases of proprietary rights related to trademarks

000

Schedule B

Rights related to recorded performances and events such as radio and television programs and motion
pictures
4.1

Rights to use recorded performances and events, including end-user rights related to digital content

000

Schedule B

4.2

Rights to reproduce and/or distribute recorded performances and events

000

Schedule B

4.3

Outright purchases of proprietary rights related to recorded performances and events

000

Schedule B

000

Schedule B

Rights to broadcast and record live performances and events
5.2

Rights to broadcast and record live performances and events
Rights related to general use computer software

6.2

Rights to reproduce and/or distribute general use computer software

000

Schedule B

6.3

Outright purchases of proprietary rights related to general use computer software

000

Schedule B

Franchise Fees
7.1

Fees associated with business format franchising

000

Schedule B

7.3

Outright purchases of proprietary rights related to business format franchising

000

Schedule B

Other intellectual property
8.1

Rights to use other intellectual property

000

Schedule B

8.2

Rights to reproduce and/or distribute other intellectual property

000

Schedule B

8.3

Outright purchases of proprietary rights related to other intellectual property

000

Schedule B

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Page 8

FORM BE-120 (REV. 03/2017)

Part II – Determination of Reporting Status (Purchases) – Continued
REPORTING INSTRUCTIONS – For each service type listed in Table 4 below, enter the U.S. Reporter’s purchases from foreign persons during the
reporting period identified in question 1 . For each service type that exceeded $1 million, you must report sales by individual country on the mandatory
Schedule/Part indicated in Column 4.
NOTE: Definitions of the types of selected services transactions covered in Table 4 can be found in Part IV, pages 26–30 of the General Instructions.

Table 4 Purchases of Selected Services from Foreign Persons
Transaction
Code

Service Type

(1)

(2)

If greater than
$1 million, report
country detail for the
reporting period on:
(4)

Total Purchases
from all non-U.S.
countries
(3)

Accounting, auditing, and bookkeeping services

3 $

000

Schedule B

Advertising services

000

Schedule B

Auxiliary insurance services

000

Schedule B

12.1

Computer software downloaded or otherwise electronically delivered

000

Schedule B

12.2

Cloud computing and data storage services

000

Schedule B

12.3

Other computer services

000

Schedule B

Construction services

000

Schedule B

14.1

News agency services (excludes production costs related to news broadcasters, see code 39)

000

Schedule B

14.2

Database and other information services

000

Schedule B

Education services

000

Schedule B

16.1

Architectural services

000

Schedule B

16.2

Engineering services

000

Schedule B

16.3

Surveying, cartography, certification, and technical inspection services

000

Schedule B

Financial services

000

Schedule B

Industrial engineering services

000

Schedule B

19.1

Maintenance services

000

Schedule B

19.2

Installation, alteration, and training services

000

Schedule B

Legal services

000

Schedule B

21.1

Market research services

000

Schedule B

21.2

Public opinion polling services

000

Schedule B

21.3

Other management, consulting, and public relations services

000

Schedule B

Merchanting services (net receipts)

Mining services

000

Schedule B

Operational leasing

000

Schedule B

Trade-related services, other than merchanting services

000

Schedule B

Artistic-related services

000

Schedule B

Premiums paid on primary insurance

000

Schedule B

Losses recovered on primary insurance

000

Schedule B

29.1

Research and development services undertaken on a systematic basis to increase the stock of knowledge

000

Schedule B

29.2

Other research and development services

000

Schedule B

Telecommunications services

000

Schedule B

Health services

000

Schedule B

Heritage and recreational services

000

Schedule B

Audiovisual and production services

000

Schedule B

Contract manufacturing services

000

Schedule B/Part IV

Disbursements for sales promotion and representation

000

Schedule B

Photographic services (including satellite photography services)

000

Schedule B

Space transport services

000

Schedule B

Trade Exhibition and sales convention services

000

Schedule B

Agricultural services

000

Schedule B

Waste Treatment and depollution services

000

Schedule B

Other selected services n.i.e. (not included elsewhere)

000

Schedule B

➙ Continue to the next page
●
FORM BE-120 (REV. 03/2017)

Page 9

Part II – Determination of Reporting Status – Continued
6 For any of the transaction types listed in Tables 1–4 , did you report sales greater than $2 million, or did you report purchases greater
than $1 million?
11010 1

■ Yes – For each transaction type with sales greater than $2 million during the reporting period, you are required to report country

detail on Schedules A , C or D , as indicated in column 4 in Tables 1–4 . For each transaction type with purchases greater
than $1 million, you are required to report country detail on Schedule B or E , as indicated. Continue to the reporting schedules.
Schedule / Part

Schedule B (Purchases/Payments)

1.1–42 (excluding 22)

Schedule C (Sales)

13, 16.1–16.3, 23

Schedule D / Part III (Sales)

Schedule E / Part IV (Purchases)

Page

1.1–12.3, 14.1–15, 18–22, 24–26, 29.1–42

Part V (Sales)

Transaction Codes

Schedule A (Sales/Receipts)

■ No –



STOP and return the report according to the instructions on page 1.

Comments

Page 10

FORM BE-120 (REV. 03/2017)

SCHEDULE A – U.S. Reporter’s Sales of Selected Services and Intellectual Property to Foreign Persons
Schedule A Reporting Instructions
Transactions accrued during the reporting period, that exceeded $2 million, should be reported by transaction or service type and according to the
U.S. Reporter’s affiliation with the purchaser. ONLY report transactions between the U.S. Reporter’s domestic operations and foreign persons. DO NOT
report transactions between the U.S. Reporter’s foreign affiliates and foreign persons, or between the U.S. Reporter’s domestic operations and other
U.S. persons.
Table 1 and Table 2 on pages 6 and 7 contain the types of transactions and services that are reportable on Schedule A and corresponding
numerical transaction codes (from Column 1 of the Tables). Columns 3, 4, and 5 on Schedule A correspond to the U.S. Reporter’s affiliation with the
foreign purchaser.
How to Report:
1. For each transaction or service type that is reportable, enter the associated transaction code from Column 1 of Table 1 and/or Table 2 in the
designated box at the top of Schedule A .
2. Enter the country(ies) with which you had sales of this transaction or service type in the left most column of Schedule A (SALES TO – Specify
country).
3. For each country, enter the total value of the sale(s) you had of this transaction or service type in the column that corresponds to the purchaser’s
relationship with the U.S. Reporter (see Part III.A, page 26 of the General Instructions for more information on reporting relationships):
Column 3

Between the U.S. Reporter and a foreign affiliate

Column 4

Between the U.S. Reporter and its foreign parent group

Column 5

Between the U.S. Reporter and unaffiliated foreign persons

Example:
Your company sold advertising services to persons in Australia. Sales of $325,000 were to a foreign affiliate of the U.S. Reporter, and sales of $2,240,000
were to an unaffiliated foreign person.
First identify “advertising services” from the table on page 7. The corresponding transaction code is 10.
10

Advertising services

Enter “10” in the box marked Transaction Code on Schedule A . Enter “Australia” in the first column of row 1. Enter “325” in the column marked foreign
affiliates and “2,240” in the column marked unaffiliated foreign persons.

Example
REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1556).
BEA
USE
ONLY

SALES TO
(Specify country)

Transaction Code

10
______________
Foreign
affiliates
(3)

(2)
A1000

Australia

002

2
2

3
3 $

Foreign parent group
(4)

Unaffiliated foreign persons
(5)

325 000

4 $

5
5 $

000

IMPORTANT – Report amounts in thousands of U.S. dollars (omitting 000).
Round amounts of less than $500.00 to 0. Do not enter amounts in the shaded
portions of each item.
EXAMPLE – If amount is $1,334,891.00, report as. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2,240 000

Mil.

Thous.

Dols.

335

000

If you are reporting sales of more than one type of intellectual property or service, or need to report additional country detail, please use the overflow
sheets provided (pages 32 and 33 of the survey) or make additional copies of this schedule. (eFile users – select “Add overflow” from the survey selection
page).
If you report data for transaction code 22, merchanting services, you must also complete Part V – Additional Reporting of Transactions in Merchanting
Services, on page 21.
If you report data for transaction code 35, contract manufacturing services, you must also complete Part III – Additional Reporting of U.S. Reporter’s
Sales of Contract Manufacturing Services to Foreign Persons, beginning on page 17.

FORM BE-120 (REV. 03/2017)

Page 11

SCHEDULE A – U.S. Reporter’s Sales of Selected Services and Intellectual Property to Foreign Persons
If you are reporting sales of more than one type of intellectual property or service, or need to report additional country detail, please use the overflow
sheets provided (pages 32 and 33 of the survey) or make additional copies of this schedule. (eFile users – select “Add overflow” from the survey
selection page).

Mandatory Reporting for Sales of Each Type of Intellectual Property or Service Exceeding the $2 Million Threshold
REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1,556).
Transaction Code

BEA USE
ONLY

SALES TO

______________

(Specify country)
(1)
A1000

002

003

004

005

006

007

008

009

010

10.

011

11.

012

12.

013

13.

014

14.

015

15.

016

16.

017

17.

018

18.

019

19.

020

20.

021

21.

022

22.

023

23.

024

24.

025

25.

026

26.

027

27.

028

28.

029

29.

030

30.

031

31.

032

32.

033

33.

034

34.

035

35. Total all countries this page

001

Foreign affiliates
(3)

(2)

Unaffiliated foreign persons
(5)

Foreign parent group
(4)

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5

000

36. If you reported sales of transaction codes 8.1-8.3, other intellectual property, or 42, other selected services n.i.e., specify the major type of intellectual
property or service:
036 0

Page 12

FORM BE-120 (REV. 03/2017)

SCHEDULE B – U.S. Reporter’s Purchases of Selected Services and Intellectual Property from Foreign Persons
Schedule B Reporting Instructions
Purchases accrued during the reporting period, that exceeded $1 million, should be reported by transaction or service type and according to the
U.S. Reporter’s affiliation with the seller. ONLY report transactions between the U.S. Reporter’s domestic operations and foreign persons. DO NOT
report transactions between the U.S. Reporter’s foreign affiliates and foreign persons, or between the U.S. Reporter’s domestic operations and other
U.S. persons.
Table 3 and Table 4 on pages 8 and 9 contain the types of transactions and services that are reportable on Schedule B and corresponding
numerical transaction codes (from Column 1 of the Tables). Columns 3, 4, and 5 on Schedule B correspond to the U.S. Reporter’s affiliation with the
foreign seller.
How to Report:
1. For each transaction or service type that is reportable, enter the associated transaction code from Column 1 of Table 3 and/or Table 4 in the
designated box at the top of Schedule B .
2. Enter the country(ies) with which you had purchases of this transaction or service type in the left most column of Schedule B (PURCHASES
FROM – Specify country).
3. For each country, enter the total value of the purchase(s) you had of this transaction or service type in the column that corresponds to the seller’s
relationship with the U.S. Reporter (see Part III.A, page 26 of the General Instructions for more information on reporting relationships):
Column 3

Between the U.S. Reporter and a foreign affiliate

Column 4

Between the U.S. Reporter and its foreign parent group

Column 5

Between the U.S. Reporter and unaffiliated foreign persons

Example:
Your company purchased advertising services from persons in Australia. Purchases of $325,000 were from a foreign affiliate of the U.S. reporter, and
purchases of $2,240,000 were from an unaffiliated foreign person.
First identify “advertising services” from the table on page 9. The corresponding transaction code is 10.
10

Advertising services

Enter “10” in the box marked Transaction Code on Schedule B . Enter “Australia” in the first column of row 1. Enter “325” in the column marked foreign
affiliates and “2,240” in the column marked unaffiliated foreign persons.

Example
REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1556).
BEA
USE
ONLY

PURCHASES FROM
(Specify country)

Transaction Code

10
______________
Foreign affiliates
(3)

(2)

Australia

B1000

002

3 $

325 000

Foreign parent group
(4)

Unaffiliated foreign persons
(5)

4 $

5 $

000

2,240 000

Mil.

Thous.

Dols.

335

000

If you are reporting purchases of more than one type of intellectual property or service, or need to report additional country detail, please use the
overflow sheets provided (pages 32 and 33 of the survey) or make additional copies of this schedule. (eFile users – select “Add overflow” from the survey
selection page).
If you report data for transaction code 35, contract manufacturing services, you must also complete Part IV – Additional Reporting of U.S. Reporter’s
Purchases of Contract Manufacturing Services from Foreign Persons, beginning on page 19.

FORM BE-120 (REV. 03/2017)

Page 13

SCHEDULE B – U.S. Reporter’s Purchases of Selected Services and Intellectual Property from Foreign Persons
If you are reporting purchases of more than one type of intellectual property or service, or need to report additional country detail, please use the
overflow sheets provided (pages 32 and 33 of the survey) or make additional copies of this schedule. (eFile users- select “Add overflow” from the survey
selection page).

Mandatory Reporting for Purchases of Each Type of Intellectual Property or Service Exceeding the $1 Million Threshold
REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1,556).
BEA USE
ONLY

PURCHASES FROM

Transaction Code
______________

(Specify country)
(1)
B1000

002

003

004

005

006

007

008

009

010

10.

011

11.

012

12.

013

13.

014

14.

015

15.

016

16.

017

17.

018

18.

019

19.

020

20.

021

21.

022

22.

023

23.

024

24.

025

25.

026

26.

027

27.

028

28.

029

29.

030

30.

031

31.

032

32.

033

33.

034

34.

035

35. Total for all countries, this page

001

Foreign affiliates
(3)

(2)

Foreign parent group
(4)

Unaffiliated foreign persons
(5)

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

36. If you reported purchases of transaction codes 8.1-8.3, other intellectual property, or 42, other selected services n.i.e., specify the major type intellectual

property or service:

036 0

Page 14

FORM BE-120 (REV. 03/2017)

SCHEDULE C – U.S. Reporter’s Sales of Construction Services; Engineering, Architectural, and Surveying
Services; and Mining Services To Foreign Persons
Schedule C Reporting Instructions
Sales (operating revenues) accrued during the reporting period, that exceeded $2 million, should be reported by service type and according to the U.S.
Reporter’s affiliation with the purchaser. ONLY report transactions between the U.S. Reporter’s domestic operations and foreign persons. DO NOT report
transactions between the U.S. Reporter’s foreign affiliates and foreign persons, or between the U.S. Reporter’s domestic operations and other U.S. persons.
The table below contains the types of services that are reportable on Schedule C along with a corresponding numerical transaction code.
How to Report:
1. Identify the service type that best describes the U.S. Reporter’s sales (operating revenues) to the foreign person(s) from the table below, and enter the
associated transaction code in the designated box at the top of Schedule C .
Transaction code

Service type

13
16.1
16.2
16.3
23

Construction services
Architectural services
Engineering services
Surveying, cartography, certification, and technical inspection services
Mining services

2. Enter the country of the purchaser in the left most column on Schedule C (SALES TO – specify country).
3. Enter the value of the transaction(s) in the set of columns that correspond to the purchaser’s relationship with the U.S. Reporter (see Part III.A, page
26 of the General Instructions for more information on reporting relationships):
Report in
columns

Affiliation with U.S. Reporter

3–5

Between the U.S. Reporter and a foreign affiliate

6–8

Between the U.S. Reporter and its foreign parent group

9–11

Between the U.S. Reporter and unaffiliated foreign persons

Example:
Your company sold $325,000 of construction services to foreign affiliates in Australia. Goods exports and foreign expenses related to those sales totaled
$45,000 and $155,000, respectively.
First identify “construction services” from the table below. The corresponding transaction code is 13.
13

Construction services

Enter “13” in the box marked Transaction Code on Schedule C . Enter “Australia” in the first column of row 1. Enter “325” in Column 3. Enter “45” in
Column 4, and “155” in Column 5. (see Specific Reporting Instructions below for more information).

Example
REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1556).
BEA
USE
ONLY

SALES TO
(Specify country)

Transaction Code

13
_____________
FOREIGN AFFILIATES
Gross operating revenues
(3)

(1) (2)
Country

1. Australia

B1000

002

3 $

Goods exports
(4)
4

325 000

4 $

Foreign expenses
(5)
5

45 000

5 $

155 000

Report data in thousands of U.S. dollars (e.g., report $1,555,555.00 as 1,556). If you are reporting sales of more than one type of service, or need to
report additional country detail, please use the overflow sheet provided (page 34 of the survey) or make additional copies of this schedule. (eFile users –
select “Add overflow” from the survey selection page).
Specific Reporting Instructions:
Gross operating revenues (columns 3, 6, and 9) – Report revenues (sales) as recorded on your books for the value of services sold and/or completed
during the reporting period (not when actual payment is received).
Goods exports (columns 4, 7, and 10) – Report the value of merchandise exports from the United States during the reporting period that were made
in connection with projects. Exports should include the value of equipment, supplies, materials, etc., and should equal the amounts reported on the
Shippers Export Declarations (SED) filed with U.S. Customs and Border Protection plus the cost of transporting the goods to foreign destinations. Exclude
temporary exports of equipment or other goods that are intended to be returned to the United States within one year and in substantially the same
condition as when exported (consistent with the SED instructions regarding temporary exports).
Foreign expenses or disbursements (columns 5, 8, and 11) – Report salaries and wages transmitted or disbursed abroad; expenses or outlays for
services (including purchases from foreign subcontractors), materials, and equipment purchases abroad; and other foreign expenses (e.g., local taxes
and fees for permits). (Do not report purchases of material and equipment for import into the United States.)
FORM BE-120 (REV. 03/2017)

Page 15

SCHEDULE C – U.S. Reporter’s Sales of Construction Services; Engineering, Architectural, and Surveying
Services; and Mining Services To Foreign Persons (Only transaction codes 13, 16.1–16.3, and 23 are to
be reported on this schedule. Do not combine service types.)
If you are reporting sales of more than one type of service, or need to report additional country detail, please use the overflow sheet provided (page 34
of the survey) or make additional copies of this schedule. (eFile users – select “Add overflow” from the survey selection page).

Mandatory Reporting for Each Type of Service Exceeding the $2 Million Threshold
REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1,556).
Transaction Code

SALES TO
(Specify country)

(1)
Country

C1000

002

003

004

005

006

007

008

009

010

10.

011

11.

012

12.

013

13.

014

14.

015

15.

016

16.

017

17.

018

18.

019

19.

020

20.

021

21.

022

22.

023

23.

024

24.

025

25.

026

26.

027

27.

028

28.

029

29.

030

30.

031

31.

032

32.

033

33. Total for all countries, this page

001

Page 16

____________

BEA USE
ONLY

(2)

Foreign affiliates
Gross
operating
revenues
(3)

Goods
exports

Foreign
expenses

(4)
4

Foreign parent group

(5)

Foreign
expenses

(7)

(8)

(10)

(11)

Foreign
expenses

Goods
exports

Gross
operating
revenues
(9)

Goods
exports

Gross
operating
revenues
(6)

Unaffiliated foreign persons

FORM BE-120 (REV. 03/2017)

Part III – Additional Reporting of U.S. Reporter’s Sales of Contract Manufacturing Services to Foreign Persons
Contract manufacturing services – Contract manufacturing services cover processing, assembly, labeling, packing and so forth on materials and
physical components owned by others. The manufacturing is undertaken by a business that does NOT own the materials—the “manufacturing service
provider”—and that is paid a fee by the owner of the materials. Ownership of the goods does not transfer to the manufacturing service provider. Examples
of processes that are often conducted under contract manufacturing arrangements include oil refining, liquefaction of natural gas, assembly of clothing,
electronics and other goods, and labeling and packing (excluding those incidental to transport).
7 During the period, did your company perform contract manufacturing services on goods belonging to foreign owners?
XXXX

1
1

2 ■ No — Continue with question 10 on page 19.

If you answered Yes to question

7 , did you report the fee earned from providing these services as sales of contract manufacturing
services (transaction code 35) on Schedule A ?
XXXX

1
1

1 ■ Yes — Continue with question 8 below.

1 ■ Yes — Continue with question 9 below
2 ■ No — Please return to Schedule A and report fees earned for contract manufacturing performed on goods belonging to foreign
owners as sales of contract manufacturing services (transaction code 35) then continue with question 9 below.

Please provide a short description of 1) the materials received for further processing and 2) the manufactured (finished) goods. If you
are unable to provide a description, please write “unknown” in either box, as necessary.
Materials received for further processing

Manufactured (finished) goods

(1)

(2)

Based on the affiliation of the purchaser(s), use Schedule D on the next page to report the values of material inputs and outputs associated
with the manufacturing services performed by the U.S. Reporter, as well as the corresponding countries of origin and destination associated
with those materials.

➙ Continue to the next page
●

FORM BE-120 (REV. 03/2017)

Page 17

Schedule D – U.S. Reporter’s Sales of Contract Manufacturing Services to Foreign Persons
Contract Manufacturing Services: Sales to Foreign Affiliates
Report data in thousands of U.S. dollars (e.g., report $1,555,555.00
as 1,556).

Inputs:

Sales to
foreign affiliates
(As reported in
transaction code 35 on
Schedule A , column 3)
(2)

SALES TO
(Specify country)

002

003

004

005

006

007

008

009

000
000
000
000
000
000
000
000

Outputs:

Value of materials
received (for use
in manufacturing
service provided)

Primary country of
origin (inputs used)

(3)
3

(4)

000
000
000
000
000
000
000
000

3
3
3
3
3
3
3

Value of product
returned (after
manufacturing service
was completed)

Primary country of
destination (finished
output)

(5)

(6)

000
000
000
000
000
000
000
000

6
6
6
6
6
6
6
6

Contract Manufacturing Services: Sales to Foreign Parent Group
Report data in thousands of U.S. dollars (e.g., report $1,555,555.00
as 1,556).

Inputs:

Sales to
foreign parent group
(As reported in
transaction code 35 on
Schedule A , column 4)
(2)

SALES TO
(Specify country)

002

003

004

005

006

007

008

009

000
000
000
000
000
000
000
000

Outputs:

Value of materials
received (for use
in manufacturing
service provided)

Primary country of
origin (inputs used)

(3)
3

(4)

000
000
000
000
000
000
000
000

3
3
3
3
3
3
3

Value of product
returned (after
manufacturing service
was completed)

Primary country of
destination (finished
output)

(5)

(6)

000
000
000
000
000
000
000
000

6
6
6
6
6
6
6
6

Contract Manufacturing Services: Sales to Unaffiliated Foreign Persons
Report data in thousands of U.S. dollars (e.g., report $1,555,555.00
as 1,556).
Sales to
unaffiliated foreign
persons
(As reported in
transaction code 35 on
Schedule A , column 5)
(2)

SALES TO
(Specify country)

002

003

004

005

006

007

008

009

8.
Page 18

Inputs:

000
000
000
000
000
000
000
000

Outputs:

Value of materials
received (for use
in manufacturing
service provided)

Primary country of
origin (inputs used)

(3)
3

3
3
3
3
3
3
3

Value of product
returned (after
manufacturing service
was completed)

(4)

000
000
000
000
000
000
000
000

Primary country of
destination (finished
output)

(5)

(6)

000
000
000
000
000
000
000
000

6
6
6
6
6
6
6
6

FORM BE-120 (REV. 03/2017)

Part IV – Additional Reporting of U.S. Reporter’s Purchases of Contract Manufacturing Services from
Foreign Persons
Contract manufacturing services – Contract manufacturing services cover processing, assembly, labeling, packing and so forth on materials and
physical components owned by others. The manufacturing is undertaken by a business that does NOT own the goods—the “manufacturing service
provider”—and that is paid a fee by the owner of the materials. Ownership of the materials does not transfer to the manufacturing service provider.
Examples of processes that are often conducted under contract manufacturing arrangements include oil refining, liquefaction of natural gas, assembly
of clothing, electronics and other goods, and labeling and packing (excluding those incidental to transport).
10

During the period, did your company purchase contract manufacturing services from foreign persons on goods belonging to you?
XXXX

■ Yes – Continue with question 11 below.
■ No – You have completed this part of the survey. If you reported sales of manufacturing services, transaction code 22, please



proceed to page 22. Otherwise, STOP HERE, and return the survey according to the instructions on page 1.
11

If you answered Yes to question

10 , did you report the fee paid for providing these services as purchases of contract manufacturing
services (transaction code 35) on Schedule B ?
XXXX

1
1

■ Yes – Continue with question 12 below.
2 ■ No – Please return to Schedule B and report fees paid for contract manufacturing performed on goods belonging to you as
1

purchases of contract manufacturing services from foreign persons (transaction code 35), then continue with question 12 below.

Please provide a short description of 1) the materials provided for further processing and 2) the manufactured (finished) goods. If you
are unable to provide a description, please write “unknown” in either box, as necessary.
Materials provided for further processing

Manufactured (finished) goods

(1)

(2)

Based on the affiliation of the seller(s), use Schedule E on the next page to report the values of material inputs and outputs associated with
the manufacturing services performed for the U.S. Reporter, as well as the corresponding countries of origin and destination associated with
those materials.

➙ Continue to the next page
●

FORM BE-120 (REV. 03/2017)

Page 19

Schedule E – U.S. Reporter’s Purchases of Contract Manufacturing Services from Foreign Persons
Contract Manufacturing Services: Purchases from Foreign Affiliates
Report data in thousands of U.S. dollars (e.g., report $1,555,555.00
as 1,556).

Inputs:

Purchases from
foreign affiliates
(As reported in
transaction code 35 on
Schedule B , column 3)
(2)

PURCHASES FROM
(Specify country)

002

003

004

005

006

007

008

009

000
000
000
000
000
000
000
000

Outputs:

Value of materials
provided (for use
in manufacturing
service provided)

Primary country of
origin (inputs used)

(3)
3

(4)

000
000
000
000
000
000
000
000

3
3
3
3
3
3
3

Value of product
returned (after
manufacturing service
was completed)

Primary country of
destination (finished
output)

(5)

(6)

000
000
000
000
000
000
000
000

6
6
6
6
6
6
6
6

Contract Manufacturing Services: Purchases from Foreign Parent Group
Report data in thousands of U.S. dollars (e.g., report $1,555,555.00
as 1,556).
Purchases from
foreign parent group
(As reported in
transaction code 35 on
Schedule B , column 4)
(2)

PURCHASES FROM
(Specify country)

002

003

004

005

006

007

008

009

Inputs:

000
000
000
000
000
000
000
000

Outputs:

Value of materials
provided (for use
in manufacturing
service provided)

Primary country of
origin (inputs used)

(3)
3

(4)

000
000
000
000
000
000
000
000

3
3
3
3
3
3
3

Value of product
returned (after
manufacturing service
was completed)

Primary country of
destination (finished
output)

(5)

(6)

000
000
000
000
000
000
000
000

6
6
6
6
6
6
6
6

Contract Manufacturing Services: Sales to Unaffiliated Foreign Persons
Report data in thousands of U.S. dollars (e.g., report $1,555,555.00
as 1,556).
Purchases
from unaffiliated
foreign persons
(As reported in
transaction code 35 on
Schedule B , column 5)
(2)

PURCHASES FROM
(Specify country)

002

003

004

005

006

007

008

009

Page 20

Inputs:

000
000
000
000
000
000
000
000

Outputs:

Value of materials
provided (for use
in manufacturing
service provided)

Primary country of
origin (inputs used)

(3)
3

3
3
3
3
3
3
3

Value of product
returned (after
manufacturing service
was completed)

(4)

000
000
000
000
000
000
000
000

Primary country of
destination (finished
output)

(5)

(6)

000
000
000
000
000
000
000
000

6
6
6
6
6
6
6
6
FORM BE-120 (REV. 03/2017)

Part V – Additional Reporting of Transactions in Merchanting Services
13

During the reporting period, did your company have sales of merchanting services (net receipts) to foreign persons?
D1001 1
1

■ Yes — Continue to question 14 .

■ No —



STOP HERE, and return the survey according to the instructions on page 1.

Did you report sales of merchanting services (net receipts) (transaction code 22) on
D1001 1
1

Schedule A ?

■ Yes — Continue to question 15 below.
2 ■ No — Please return to Schedule A and report sales of merchanting services (net receipts) (transaction code 22), then continue
1

with question 15 below.

Please report the gross value of sales and purchases of the goods sold under the merchanting services (net receipts) you reported on

Schedule A . (Note: Net merchanting services are equal to the difference between your cost and the resale price of goods (such as crude oil,
grain, and other commodities) that are both purchased and resold abroad; that is, the goods are neither imported to, nor exported from, the United
States and they do not undergo significant processing during the time between when they are purchased and resold.)

REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1,556).
Net from Schedule A

Gross Sales

D1002

$_____________

FORM BE-120 (REV. 03/2017)

Gross Purchases

000

$_____________

000

–

$_____________

000

Page 21

GENERAL INSTRUCTIONS
Public reporting burden for this BE-120 report is estimated to average 20
hours per response. This burden includes time for reviewing instructions,
searching existing data sources, gathering and maintaining the data needed,
and completing and reviewing the collection of information. Send comments
regarding this burden estimate to Director, Bureau of Economic Analysis
(BE-1), U.S. Department of Commerce, 4600 Silver Hill Rd., Washington, DC
20233; and to the Office of Management and Budget, Paperwork Reduction
Project 0608-0058, Washington, DC 20503.
Purpose – Reports on this form are required to obtain reliable and upto-date information on intellectual property and services transactions
between U.S. and foreign persons. The data will be used in compiling the
U.S. international transactions accounts and national income and product
accounts. The information will also be used to formulate U.S. policy on such
international transactions, and to analyze the impact of that policy and the
policies of foreign countries.
Authority – This survey is being conducted under the authority of the
International Investment and Trade in Services Survey Act (P.L. 94-472,
90 Stat. 2059, 22 U.S.C. 3101-3108, as amended – hereinafter “the Act”).
Regulations for the survey may be found in 15 CFR Part 801. The survey has
been approved by the Office of Management and Budget (OMB) under the
Paperwork Reduction Act (44 U.S.C. 3501, et seq).
Penalties – Persons who fail to report may be subject to a civil penalty of
not less than $4,454, and not more than $44,539, and to injunctive relief
commanding such person to comply, or both. These civil penalties are
subject to inflationary adjustments. Those adjustments are found in 15 CFR
6.4. Whoever willfully fails to report shall be fined not more than $10,000
and, if an individual, may be imprisoned for not more than one year, or both.
Any officer, director, employee, or agent of any corporation who knowingly
participates in such violations, upon conviction, may be punished by a
like fine, imprisonment, or both. (See 22 U.S.C. 3105.) Notwithstanding
the above, a U.S. person is not subject to any penalty for failure to report
if a valid Office of Management and Budget (OMB) control number is not
displayed on the form. The control number for Form BE-120 (0608-0058) is
displayed at the top of the first page of this form.
Confidentiality – The Act provides that your report to this Bureau is
confidential and may be used only for analytical and statistical purposes.
Without your prior written permission, the information filed in your report
cannot be presented in a manner that allows it to be individually identified.
Your report cannot be used for purposes of taxation, investigation, or
regulation. Copies retained in your files are immune from legal process.
Per the Cybersecurity Enhancement Act of 2015, your data are protected
from Cybersecurity risks through security monitoring of the BEA information
systems.
I. WHO IS TO REPORT AND GENERAL COVERAGE
A. Who must report – The publication in the Federal Register of the
final rule implementing this survey is considered legal notice to U.S.
business enterprises of their obligation to report. Therefore, a response
is required from persons subject to the reporting requirements of the
survey, whether or not they are contacted by BEA.
1. Mandatory and voluntary reporting
a. Mandatory reporting – A complete BE-120 report is required from
each U.S. person that:
(1) had sales to foreign persons in any of the intellectual property or
services transactions listed in IV. of these General Instructions
that exceeded $2,000,000 in the U.S. person’s fiscal year ending
in 2017, OR
(2) had purchases from foreign persons in any of the intellectual
property or services transactions listed in IV. of these General
Instructions that exceeded $1,000,000 in the U.S. person’s fiscal
year ending in 2017.
The $2,000,000 (sales) and $1,000,000 (purchases) thresholds for
mandatory reporting are based on covered transactions with foreign
persons by all parts of the consolidated U.S. domestic reporter.
Because these thresholds apply separately to sales and purchases,
the mandatory reporting requirements may apply only to sales, only
to purchases, or to both.
The determination of whether a U.S. person is subject to mandatory
reporting may be based on the judgment of knowledgeable persons
in a company who can identify reportable transactions, on a recall
basis, with a reasonable degree of certainty, without conducting a
detailed records search.

Page 22

Complete Parts I and II of the survey as required. Provide responses
to all questions as they pertain to the consolidated domestic U.S.
Reporter’s fiscal year ending in 2017. In Part II, tables 1-4, enter the
total sales and purchases between the U.S. Reporter and foreign
persons during the reporting period for each type of transaction and
service listed. Report in amounts in thousands of U.S. dollars (omitting
000). For example, if the amount is $1,334,515.00, report it as $1.335.
For each transaction or service type that exceeded one of the
mandatory reporting thresholds ($2,000,000 in sales OR $1,000,000 in
purchases), the U.S. Reporter MUST provide additional country detail
on Schedules A through E as indicated in Column 4 of Tables 1-4.
Enter the total transaction amounts, applicable to a particular
schedule, in the appropriate column(s) on line 35 of the Schedule
A and B, and line 33 of the Schedule C. Distribute amounts to the
foreign country(ies) involved in the transaction(s) on lines above
the total line on each applicable schedule. Use additional copies of
the schedules, or the available overflow sheets, to report additional
countries as necessary.
b. Voluntary reporting
If, during the U.S. Reporter’s fiscal year 2017, total sales were
$2,000,000 or less or total purchases were $1,000,000 or less in
any of the types of services or intellectual property listed in IV. of
these General Instructions, the U.S. Reporter is requested to provide
additional country detail for each type of intellectual property or
service not exceeding the mandatory thresholds on the appropriate
schedule(s). Provision of this information is voluntary. The estimates
may be judgmental.
c. Exemption – Any U.S. person that was notified by BEA about this
survey, but has no transactions of the types of services covered, must
complete and return Parts I and II.
2. Consolidation – A U.S. enterprise should file a single Form BE-120
covering combined (total) intellectual property and services transactions of
all its domestic subsidiaries and parts.
Consolidating unincorporated enterprises
Consolidate into your BE-120 report the transactions of unincorporated
enterprises in which your company has voting control. Please see the
following items on determining the voting interest in typical unincorporated
enterprises.
Partnerships – Most partnerships are either general partnerships or
limited partnerships. Consolidation of partnerships and inclusion of their
intellectual property and services transactions (sales and purchases) on
the BE-120 survey is based on voting control.
a. General partnerships
Determination of voting interest – The determination of the percentage
of voting interest of a general partner is based on who controls the
partnership. The percentage of voting interest is not based on the
percentage of ownership in the partnership’s equity. The general
partners are presumed to control a general partnership.
Unless a clause to the contrary is contained in the partnership
agreement, a general partnership is presumed to be controlled equally
by each of the general partners.
Managing partners – If one general partner is designated as the
managing partner, responsible for the day-to-day operations of the
partnership, this does not necessarily transfer control of the partnership
to the managing partner. If the managing partner must obtain approval
for annual operating budgets and for decisions relating to significant
management issues from the other general partners, then the managing
partner does not have a 100 percent voting interest in the partnership.
b. Limited partnerships
Determination of voting interest – The determination of the percentage
of voting interest in a limited partnership is based on who controls
the partnership. The percentage of voting interest is not based on the
percentage of ownership in the partnership’s equity. In most cases,
the general partner is presumed to control a limited partnership, and
therefore, have a 100 percent voting interest in the limited partnership.
If there is more than one general partner, the partnership is presumed
to be controlled equally by each of the general partners, unless a
clause to the contrary is contained in the partnership agreement.
Therefore, unless a clause to the contrary is contained in the
partnership agreement, limited partners are presumed to have zero
voting interest in a limited partnership.
FORM BE-120 (REV. 03/2017)

GENERAL INSTRUCTIONS – Continued
Managing partners – See discussion under “General Partnerships”
above.
c. Limited Liability Companies (LLCs)
Determination of voting interest – The determination of the
percentage of voting interest in an LLC is based on who controls
the LLC. The percentage of voting interest is not based on the
percentage of ownership in the LLC’s equity. LLCs are presumed
to be controlled equally by each of its members (owners), unless a
clause to the contrary is contained in the articles of organization or in
the operating agreement.
Managing member – If one member is designated as the managing
member responsible for the day-to-day operations of the LLC, this
does not necessarily transfer control of the LLC to the managing
member. If the managing member must obtain approval for annual
operating budgets and for decisions relating to other significant
management issues from the other members, then the managing
member does not have a 100 percent voting interest in the LLC.
B. BE-120 definition of services – Services transactions covered by this
survey consist of 1) sales and purchases related to certain intellectual
property rights (see Tables 1 and 3 on pages on pages 6 and 8 for a list
of intellectual property-related transactions covered by this survey and
Part IV. of the General Instructions on pages 25 and 26 for definitions)
and 2) sales and purchases of selected services (see Tables 2 and 4 on
pages on pages 7 and 9 for a list of services covered by this survey and
Part IV. of the General Instructions on pages 26 to 31 for definitions).
Types of transactions excluded from the scope of this survey:
1. Sales and purchases of goods. Trade in goods involves products
that have a physical form, and includes payments or receipts for
electricity.
2. Sales and purchases of financial instruments, including stocks,
bonds, financial derivatives, loans, mutual fund shares, and
negotiable CDs. (However, securities brokerage is a service.)
3. Income on financial instruments (interest, dividends, capital gain
distributions, etc).
4. Compensation paid to, or received by, employees.
5. Penalties and fines and gifts or grants in the form of goods and cash
(sometimes called “transfers”).
For additional clarifications of reporting requirements, please read the
BE-120 survey instructions, call (301) 278-9303, or send an e-mail to
[email protected].
C. BE-120 definition of sales or purchases – It should be noted that
an item other than sales or purchases may be used as the measure
of a given service for purposes of determining whether the threshold
for mandatory reporting of the service is exceeded. Note that in
several cases – advertising; telecommunications; performing arts, etc.;
merchanting; miscellaneous disbursements (included in transaction
code 42 in IV. of these General Instructions) – measures other than, or
in addition to, sales or purchases of services should be used. See Part
IV. of these General Instructions for an explanation of what measure
should be applied in determining whether you are subject to the BE-120
survey’s mandatory reporting requirements for a given service.
D. Clarification of coverage and special situations
1. Reporting period – Form BE-120 should be filed for the U.S.
Reporter’s fiscal year ending in 2017.
2. Date of recording transactions – Transactions are to be reported
on an accrual basis. However, telecommunications services should
be reported on a settlement basis.
3. Withholding taxes – Data should be reported gross (before
deduction) of U.S. and foreign withholding taxes.
4. Services covered regardless of where performed – Sales to or
purchases from foreign persons for services should be reported
regardless of whether the services were performed in the United
States or abroad. Transactions should be reported based on the
resident country of the primary beneficiary (purchases) and primary
provider (sales) of the service(s) performed.
5. Services or intellectual property bundled with goods or with other
services and not separately valued – When a sale or purchase is for
both goods and services or intellectual property, or of several services

BE-120 Instructions (03/2017)

or intellectual property, that cannot be unbundled (i.e., the goods and/
or services/intellectual property are not separately valued), it should be
classified based on whichever accounts for a majority of the value or
on the basis of the reporter’s customary practice.
6. Accounting for purchases – Purchases of services or intellectual
property should be included without regard to whether they are
charged as an expense on the income statement, capitalized, or
charged to inventories.
7. Projects with U.S. Government nonmilitary agencies –
Report information on services that are provided abroad for U.S.
Government nonmilitary agencies, such as the United States Agency
for International Development (USAID) and the United States
Information Agency, or that are part of an aid or technical cooperation
program of the Government with foreign persons. However, do not
report services provided to the U.S. Department of Defense or any
of its agencies, such as the Army Corps of Engineers. Report funds
received from the U.S. Government on Schedule A as sales to the
country where the services are provided, and report any foreign
expenses related to those services as purchases on Schedule B.
8. International organizations – Report transactions with international
organizations, which, according to balance of payments conventions,
are considered foreign persons even if they are headquartered in the
United States. Enter the abbreviated designation, “Int’l Org.” as the
name of the country of the foreign party to the transaction.
9. Reciprocal exchanges – Include the value of reciprocal exchanges;
i.e., transactions involving barter. On Schedule A, value your sales to
the foreign participant in the reciprocal exchange at market rates, not
at the actual cost of performing the services. On Schedule B, value
your purchases from the foreign participant at the same amount as
the sale reported on Schedule A.
II. DEFINITIONS
A. United States, when used in a geographic sense, means the 50 states,
the District of Columbia, the Commonwealth of Puerto Rico, and all
territories and possessions of the United States. NOTE: The U.S. Virgin
Islands and Guam are territories of the United States.
B. Foreign, when used in a geographic sense, means that which
is situated outside the United States or which belongs to or is
characteristic of a country other than the United States.
C. U.S. Reporter is the U.S. person filing a report in this survey.
D. Consolidated domestic U.S. Reporter means the fully consolidated
U.S. domestic enterprise consisting of (i) the U.S. corporation whose
voting securities are not owned more than 50 percent by another U.S.
corporation, and, proceeding down each ownership chain from that
U.S. corporation, (ii) any U.S. corporation whose voting securities are
more than 50 percent owned by the U.S. corporation above it. The fully
consolidated U.S. domestic enterprise excludes foreign branches and
other foreign affiliates. Conditions may exist that would lead a U.S.
corporation to exclude certain majority-owned (more than 50 percent
owned) domestic subsidiaries from financial statements used in reports
to shareholders. If such a subsidiary has covered transactions, it must
file a report under its own name, and the subsidiary will be considered
the U.S. reporter for purposes of this survey.
E. Person means any individual, branch, partnership, associated group,
association, estate, trust, corporation, or other organization (whether
or not organized under the laws of any State), and any government
(including a foreign government, the United States Government, a State
or local government, and any agency, corporation, financial institution, or
other entity or instrumentality thereof, including a government sponsored
agency).
1. United States person means any person resident in the United
States or subject to the jurisdiction of the United States.
2. Foreign person means any person resident outside the United
States or subject to the jurisdiction of a country other than the United
States.
F. Business enterprise means any organization, association, branch, or
venture which exists for profit making purposes or to otherwise secure
economic advantage, and any ownership of any real estate. (A business
enterprise is a “person” within the definition in paragraph E above.)

Page 23

GENERAL INSTRUCTIONS – Continued
G. Financial services provider – Except for Monetary Authorities (e.g.,
Central Banks) the definition of financial services providers used for this
survey is identical in coverage to Sector 52 – Finance and Insurance,
and holding companies from Sector 55 of the North American Industry
Classification System United States, 2012. Go to http://www.census.
gov/eos/www/naics/ for more information on NAICS classifications.
H. Direct investment means the ownership or control, directly or
indirectly, by one person of 10 percent or more of the voting securities
of an incorporated business enterprise or an equivalent interest in an
unincorporated business enterprise.
I. Parent means a person of one country who, directly or indirectly, owns
or controls 10 percent or more of the voting stock of an incorporated
business enterprise, or an equivalent ownership interest in an
unincorporated business enterprise which is located outside that country.
1. U.S. parent means the U.S. person that has direct investment in a
foreign business enterprise.
2. Foreign parent means the foreign person, or the first person outside
the United States in a foreign chain of ownership, which has direct
investment in a U.S. business enterprise, including a branch.
J. Foreign Parent Group means (i) the foreign parent, (ii) any foreign
person, proceeding up the foreign parent’s ownership chain, which owns
more than 50 percent of the person below it up to and including that
person which is not owned more than 50 percent by another foreign
person, and (iii) any foreign person, proceeding down the ownership
chain(s) of each of these members, which is owned more than 50
percent by the person above it.
K. Affiliate means a business enterprise located in one country that is
directly or indirectly owned or controlled by a person of another country
to the extent of 10 percent or more of its voting stock for an incorporated
business or an equivalent interest for an unincorporated business,
including a branch.
1. Foreign affiliate means an affiliate located outside the United States
in which a U.S. person has direct investment.
2. U.S. affiliate means an affiliate located in the United States in which a
foreign person has direct investment.
L. Foreign affiliate of a foreign parent means, with reference to a given
U.S. affiliate, any member of the foreign parent group owning the U.S.
affiliate that is not a foreign parent of the U.S. affiliate.
M. Affiliated foreign person means, with respect to a given U.S. person,
(i) a foreign affiliate of which the U.S. person is a U.S. parent, or (ii) the
foreign parent or other member of the foreign parent group of which the
U.S. person is a U.S. affiliate.
N. Unaffiliated foreign person means, with respect to a given U.S. person,
any foreign person that is not an affiliated foreign person as defined in
paragraph M above.
O. Country means, for purposes of this survey, the country of location of
the foreign person with whom a transaction has occurred.
III. OTHER INSTRUCTIONS
A. Distinguishing between unaffiliated and affiliated transactions
This survey covers U.S. persons’ direct transactions, both receipts (sales)
and payments (purchases), with affiliated and unaffiliated foreign persons.

B. Understanding the U.S. Reporter’s relationship with foreign
persons
The relationship between the U.S. reporter and the foreign persons fall
into one of three categories:
Foreign affiliates – A foreign affiliate is defined as an entity domiciled in
a foreign country that is owned at least ten percent, directly or indirectly,
by the U.S. Reporter.
Foreign parents and foreign affiliates of foreign parents (aka the
“foreign parent group”) – A foreign parent is the foreign entity, or the
first entity outside the United States in a foreign chain of ownership,
which owns at least fifty percent, directly or indirectly, of the U.S.
Reporter. Foreign affiliates of foreign parents would be those companies
located abroad that are owned at least ten percent, directly or indirectly,
by the foreign parent, but less than ten percent, directly or indirectly, by
the U.S. Reporter.
Unaffiliated foreign persons – An unaffiliated foreign person is an
entity domiciled abroad that is owned less than ten percent, directly or
indirectly, by the U.S. Reporter or the U.S. Reporter’s foreign parent.
The diagram below illustrates each of these relationships with regards to
the U.S. Reporter.

Company A (Germany)
Foreign Parent
(owns 100% of companies A,
B, and C)

Company B
(Germany)
Foreign Affiliate
of Foreign Parent
(Member of
Foreign Parent
Group)

U.S. Reporter (USA)
(owns 50% of companies
D, E, and F)

Company C
(France)
Foreign Affiliate
of Foreign Parent
(Member of
Foreign Parent
Group)

Company E
(UK)
Foreign Affiliate

Company D
(Mexico)
Foreign Affiliate
Company F (USA)
U.S. Affiliate

Company G
(France)
Unaffiliated
Foreign Person
(0% owned by
any company)

Examples of affiliated transactions are:
1. A transaction between a U.S. person (U.S. parent) and its foreign affiliate.
2. A transaction between a U.S. person (U.S. affiliate) and its foreign
parent(s) or member(s) of the foreign parent group(s).
Examples of unaffiliated transactions are:
1. A transaction between a U.S. person and an unaffiliated foreign person.
2. A transaction between one U.S. person and another U.S. person’s foreign
affiliate. Such a transaction is reportable by the first U.S. person.
Examples of transactions that are not reportable are:
1. A transaction between a U.S. affiliate of a foreign parent and another
U.S. person.
2. A transaction between a U.S. parent’s foreign affiliate and another
foreign person.

Page 24

C. Foreign activities of a U.S. person that do not constitute a foreign
affiliate
Although the definitions of direct investment and foreign affiliate in
Part II. above, together with the discussion in Part III.A above, should
be sufficient to determine whether a given foreign activity is or is not a
foreign affiliate, in a number of cases the determination may be difficult.
Several factors to be considered are given below. If you still cannot
determine if the activity or operation is an affiliate, call (301) 278-9303
or send an e-mail to [email protected] for additional guidance.
If a U.S. person’s foreign activity or operation is incorporated abroad, it
is a foreign affiliate.
If a U.S. person’s foreign activity or operation is not incorporated
abroad, its status is based on the weight of the evidence when the
factors listed below are considered.

BE-120 Instructions (03/2017)

GENERAL INSTRUCTIONS – Continued
An unincorporated foreign activity or operation generally would be
considered a foreign affiliate if it: (i) is subject to foreign income
taxes; (ii) has a substantial physical presence abroad (e.g., plant
and equipment or employees); (iii) maintains separate financial
records that would permit the preparation of financial statements,
including an income statement and balance sheet (not just a record
of disbursements and receipts); (iv) takes title to the goods it sells and
receives revenues therefrom; or (v) receives funds for its own account
from customers for services it performs. Transactions with this type of
entity should be reported under “Foreign affiliates.”
An unincorporated foreign activity or operation generally would not be
considered a foreign affiliate if it: (i) conducts business abroad only
for the U.S. person’s account and not for its own account (e.g., sales
promotion or public relations type of activities); (ii) has no separate
financial statements; (iii) receives funds to cover its expenses only
from the U.S. person; (iv) is not subject to foreign income taxes; and
(v) has limited physical assets, or employees, permanently located
abroad. Transactions with this type of entity should be reported under
“Unaffiliated foreign persons.”
D. U.S. activities of a foreign person that do not constitute a U.S. affiliate.
Criteria for determining which U.S. activities do or do not constitute a U.S.
affiliate of a foreign person are parallel to those in Part III.B. above.
E. Determining who must report a transaction when an intermediary
is involved. At times, transactions between a U.S. person and a foreign
person may be arranged by, billed through, or otherwise facilitated by,
an intermediary. The intermediary may be U.S. or foreign, and may be
affiliated or unaffiliated with the U.S. or the foreign person.
A determination of whom a sale is to, or whom a purchase is from,
should be made on the basis of whom the U.S. person considers itself
to have a claim on for payment, in the case of a sale, or whom it has a
liability to, in the case of a purchase. For a sale, if the U.S. person looks
to the foreign person for payment, then the transaction is between the
U.S. person and the foreign person, and is to be reported by the U.S.
person. If the U.S. person looks to the intermediary for payment, and
the intermediary, in turn, looks to the foreign person for payment, then
whether either transaction is reportable, and who it is to be reported by,
depends on the location of the intermediary and the relationship between
the U.S. person and the intermediary.
If the intermediary is a foreign person, then the U.S. person would report
the transaction as a transaction with a foreign person.
If the intermediary is a U.S. person, then the initial transaction between
the original U.S. person and the intermediary is domestic-to-domestic
and not reportable in this survey. However, the intermediary must report
the transaction with the foreign person.
The reportability of a purchase would be determined in a similar manner.
IV. SERVICES COVERED
This survey covers sales (Schedules A, C, and D) and purchases
(Schedules B and E) of the following types of intellectual property and
selected services.
A. Transactions in Intellectual Property
Report receipts on Schedule A and payments on Schedule B.
Rights related to patents, processes, and trade secrets
1.1 Rights related to the use of a patent, process, or trade secret
to produce and/or distribute a product or service – Includes
license fees, royalties, and other fees received or paid for the use of
proprietary rights, including patents, industrial processes, and trade
secrets. Includes “maintenance” fees paid to foreign governments
for the continuation of patent rights. If the charge for the process,
design, etc., is subsumed in a contract for technical or professional
services, the receipt or payment generally should be reported under
the proper transaction number for that service.
Examples of transactions included in this category are royalties and
license fees related to the production and/or distribution of goods
such as pharmaceutical products, automobiles, medical equipment,
etc.
Excludes license fees related to the use or distribution of computer
software (reportable under transaction codes 6.2 or 12.1) and
the use or distribution of audiovisual content (reportable under
transaction codes 2.1-2.2, 4.1-4.2, or 5.2).

BE-120 Instructions (03/2017)

1.3 Outright sales or purchases of proprietary rights related to
patents, processes, and trade secrets – Includes the outright
sale or purchase of patents, processes, and trade secrets.
Excludes the outright sale or purchase of rights related to the
development of computer software (reportable under transaction
code 6.3) and the sale or purchase of proprietary rights to
audiovisual content (reportable under transaction codes 2.3 or 4.3).
Rights related to books, music, etc.
2.1 Rights to use books, music, etc., including end-user rights
related to digital content – Includes royalties and other fees
(commonly referred to as end-user licensing fees) received or
paid for the rights to view books downloaded from the internet
or otherwise electronically delivered, and fees for the rights to
perform, broadcast, or listen to digital music, other audio content,
etc., or otherwise use copyrighted or protected material.
Excludes subscription fees to newspapers, magazines, etc.,
(reportable under transaction code 14.2). Excludes fees for the
rights to display or view recorded audiovisual content such as radio
and television programs, motion pictures, etc. (reportable under
transaction code 4.1).
2.2 Rights to reproduce and/or distribute books, music, etc., –
Includes royalties and other fees received or paid for the rights to
reproduce and distribute books and other print or digital media
content; CDs, digital music, and other audio content; and other
copyrighted or protected material.
Excludes fees for the rights to reproduce or distribute recorded
radio and television programs or motion pictures (reportable
under transaction code 4.2).
2.3 Outright sales or purchases of proprietary rights related to
books, music, etc., – Include the outright sale or purchase of
proprietary rights to audio or print material such as manuscripts,
literary and artistic works, photographs, musical libraries,
recordings, etc., including copyrights and fees for the use of such
material in perpetuity.
Excludes the sale or purchase of copyrights for radio and television
programs, motion pictures, etc. (reportable under transaction
code 4.3). Excludes transactions related to exclusivity rights (for
example, the exclusivity of a publisher to publish literary works of
an author). These are considered assets that are a contract for
future production, and are not reportable.
Rights related to trademarks
3.1 Rights to use trademarks – Include receipts and payments for the
rights to sell products under a particular trademark, brand name,
or signature. Includes the initial fee and annual fees for the domain
name registration for the Internet. Includes fees for sponsorship of
other events if the fee is for the right to use the logo or trademark
of the payee. A sponsor of an international sporting event, such as
the Olympics, should include payments of sponsorship fees if the
right to use a trademark, such as the Olympic logo, in advertising,
or to place such a trademark on merchandise is conveyed.
Exclude fees received or paid under a business format franchise,
which are reportable under transaction code 7.1.
3.3 Outright sales or purchases of proprietary rights related to
trademarks – Include receipts and payments for the outright sale or
purchase of a trademark, or for its use in perpetuity. Include receipts
or payments for the outright sale or purchase of domain names.
Excludes fees paid for the display of the payer’s logo or trademark
(reportable as advertising payments under transaction code 10).
Excludes fees received or paid under a business format franchise
(reportable under transaction code 7.1).
Rights related to recorded performances and events such as radio
and television programs and motion pictures
4.1 Rights to use recorded performances and events, including
end-user rights related to digital content – Includes royalties,
license fees (including end-user licensing fees), and other funds
received or paid for the rights to recorded material such as radio
and television programs and motion pictures (including digital
recordings and video streaming). Includes rights to view and
display recordings of live performances and events. Includes
subscription fees for cable or satellite television programming.

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GENERAL INSTRUCTIONS – Continued
4.2 Rights to reproduce and/or distribute recorded performances
and events – Includes royalties, license fees, and other funds
received or paid for the rights to reproduce and/or distribute recorded
material such as radio and television programs and motion pictures
(including digital recordings and video streaming). Includes receipts
and payments for material distributed both theatrically and nontheatrically, or via cable and broadcast television.
Excludes fees for the rights to broadcast live performances and
events (reportable under transaction code 5.2).
4.3 Outright sales or purchases of rights related to recorded
performances and events – Includes the outright sale or purchase
of proprietary rights related to recorded material such as radio and
television programs or motion pictures, including outright sales or
purchases of copyrights and video libraries, and the associated use
of such material in perpetuity.
Rights to broadcast and record live performances and events
5.2 Rights to broadcast and record live performances and events
– Includes receipts and payments for rights to broadcast, display,
and record live artistic performances, sports events, and other live
performances or events. Includes receipts and payments for the
authorized reproduction, rebroadcast, or retransmission of live
performances and events, in part or in entirety.
Payments or receipts for the acquisition (or sale) of rights to broadcast
a major live performance or event, such as the Olympics, often
extend over several years prior to the event. The cumulative amount
of payments over all the years is to be reported on this form as an
acquisition or sale of broadcast rights only in the single period in
which the event is held. The prior year payments are considered to
be deposits with the organization (such as the International Olympic
Committee) selling the broadcast rights, and should be reported on
the Department of Treasury’s TIC C-form. Inquiries about the TIC
C-form survey should be directed to the Federal Reserve Bank of New
York (as contractor for the Department of Treasury) at (212) 720-6357.
Rights related to general use computer software
6.2 Rights to reproduce and/or distribute general use computer
software – Includes receipts or payments for the right to distribute
general use software, and rights to reproduce general use computer
software that was made from a master copy. This item includes
licensing fees for reproducing copies of general use software for
local area network (LAN) computer systems.
Excludes fees for custom software and programming services
(reportable under transaction code 12.1). Excludes fees received or
paid for the development of general use software (reportable under
transaction code 29.2). Excludes general use computer software
that was downloaded from the internet or otherwise electronically
delivered (reportable under transaction code 12.1). Excludes the
value of prepackaged general use software not intended for use
on a server in a LAN environment that was physically shipped to or
from the United States and non-customized (prepackaged) computer
software on physical media for perpetual use shipped to or from the
United States and reported on import or export declarations filed
with the U.S. Customs and Border Protection.
6.3 Outright sales or purchases of proprietary rights related to
general use computer software – Includes receipts and payments
for the outright sale or purchase of all proprietary rights related to
general use computer software.
Excludes fees received or paid for the development of general use
software (reportable under transaction code 29.1). Excludes general
use computer software that was downloaded from the internet or
otherwise electronically delivered (reportable under transaction code
12.1). Excludes the value of prepackaged general use software
not intended for use on a server in a LAN environment that was
physically shipped to or from the United States and non-customized
(prepackaged) computer software on physical media for perpetual
use shipped to or from the United States and reported on import or
export declarations filed with the U.S. Customs and Border Protection.
Franchise fees
7.1 Fees associated with business format franchising – Fees
received and paid by the U.S. reporter under business format
franchising agreements with foreign persons. Business format
franchising is characterized by an ongoing business relationship
between franchisor and franchisee that includes not only the product,
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service, and trademark, but the entire business format itself. This
may include a marketing strategy and plan, operating manuals and
standards, quality control, and continuing two-way communications.
Excludes receipts and payments for the use of trademarks (reportable
under transaction code 3.1), except where such trademarks are
part of a business format franchise, even if the fees are nominally
considered to be “franchising” fees.
Receipts and payments should be reported net of advertising
allowances and other deductions retained by franchisees from gross
franchise fees. Includes receipts and payments for one-time “up
front” charges to new franchisees as well as ongoing fees based
upon sales or other measures.
On Schedule A, U.S. franchisors should report receipts from both
foreign outlets and foreign master licensees. In the case of fees
received from a foreign master licensee, report only the net fees
received from foreign outlets. Include receipts from “companyowned” outlets abroad. Include receipts from jointly owned outlets.
On Schedule B, U.S. outlets and master licensees should report
payments made directly to foreign franchisors. U.S. outlets should
not report payments to U.S. master licensees, as these are domestic
(U.S.-to-U.S.) transactions. Payments by a “company-owned” U.S.
outlet to a foreign owner should be reported.
7.3 Outright sales or purchases of proprietary rights related to
business format franchising – Includes the outright sale or
purchase of a business format franchise to be used in perpetuity. A
business format franchise is a portfolio of intellectual property that
includes not only a product, service, and trademark, but the entire
business format itself. This may include a marketing strategy and
plan, operating manuals and standards, and quality control.
Excludes receipts and payments for the use of trademarks or for the
outright sale or purchase of trademarks (reportable under transaction
codes 3.1 or 3.3), except where such trademarks are part of a
business format franchise, even if the fees are nominally considered
to be “franchising” fees. Excludes any fees for real property or capital
equipment associated with the sale or purchase of a franchise.
Other intellectual property
8.1 Rights to use other intellectual property – Includes receipts and
payments for the right to use intellectual property not classified in
one of the preceding categories. Includes receipts or payments by
communications carriers to secure capacity by indefeasible rights
of user (IRU). When reporting data under this transaction code,
specify on line 36 of the appropriate schedule the type of intellectual
property involved.
8.2 Rights to reproduce and/or distribute other intellectual property
– Includes receipts and payments for the right to reproduce and/or
distribute intellectual property not classified in one of the preceding
categories. When reporting data under this transaction code,
specify on line 36 of the appropriate schedule the type of intellectual
property involved.
8.3 Outright sales or purchases of proprietary rights related to
other intellectual property – Includes receipts and payments for
the outright sale or purchase of intellectual property not classified
in one of the preceding categories. When reporting data under this
transaction code, specify on line 36 of the appropriate schedule the
type of intellectual property involved.
B. Transactions in Selected Services
Report sales on Schedules A and D (except transaction codes 13,
16.1–16.3, and 23, which are reportable on Schedule C) and purchases
on Schedules B and E.
9. Accounting, auditing, and bookkeeping services – Includes
accounting systems design, auditing of accounting records,
bookkeeping, budget development, financial statement preparation,
payroll preparation, tax return preparation, and similar activities.
Excludes data processing and tabulation services (reportable under
transaction code 12.3).
10. Advertising services – Preparation of advertising and placement
of such advertising in media, including charges for media space
and time. Includes advertising banners on web pages. An
advertising agency selling such services should report gross
billings to unaffiliated foreigners. Sales by media companies (e.g.,
broadcasters, publishers, etc.) that are arranged through U.S.
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GENERAL INSTRUCTIONS – Continued
advertising agencies are presumed to be reflected in billings of the
advertising agencies; thus, in order to avoid duplication, report only
direct transactions with foreign clients.
Excludes transactions that are with the U.S. affiliates of foreign
clients, rather than directly with foreign clients; such transactions are
considered domestic (U.S.-to-U.S.) and, therefore, outside the scope
of this survey.
Excludes charges for services other than advertising, such as
public relations or market research not directly associated with an
advertising campaign (reportable under transaction code 21.1).
U.S. media companies should report only direct sales of advertising
services to unaffiliated foreign persons; they should not report
advertising arranged by U.S. advertising agencies, including U.S.
affiliates of foreign advertising agencies.
Under purchases of advertising services, U.S. reporters that are
advertising agencies should report only funds paid to foreign
advertising agencies and media companies on behalf of their clients.
U.S. reporters other than advertising agencies should report only
payments made directly to foreign advertising agencies and media
companies. Do not report payments made through a U.S. advertising
agency. Also, do not report payments made through the U.S. office
of a foreign advertising agency if your payment is made to the U.S.
office.
Includes the value of reciprocal exchanges; i.e., transactions
involving barter. On Schedule A, value your sales to the foreign
participant in the reciprocal exchange at market rates, not at the
actual cost of performing the services. On Schedule B, value your
purchases from the foreign participant at the same amount as the
receipts reported on Schedule A.
11. Auxiliary insurance services – Agent’s commissions, insurance
brokering and agency services, insurance consulting services,
evaluation and adjustment services, actuarial services, salvage
administration services, and regulatory and monitoring services on
indemnities and recovery services. Non-insurance companies report
these transactions on this survey. Insurance companies would report
these transactions on the BE-45, Quarterly Survey of Insurance
Transactions by U.S. Insurance Companies with Foreign Persons. A
copy of the form can be downloaded from www.bea.gov/ssb.
12.1 Computer software downloaded or otherwise electronically
delivered – Noncustomized (mass-produced) software downloaded
or otherwise electronically delivered, whether with a periodic
license or a single payment. Software includes general business
productivity software, computer game software, and other
applications.
Includes software downloaded from the Internet, fees and
subscriptions for online gaming (including video games),
and licensing agreements and end-user fees associated with
downloading applications on to smart phones and tablets. Fees for
developing such applications, however, should be reported under
transaction code 29.1.
Excludes non-customized (prepackaged) computer software on
physical media for perpetual use shipped to or from the United
States and reported on import or export declarations filed with
the U.S. Customs and Border Protection. Also excludes computer
training courses not designed for a specific user (reportable under
transaction code 15), charges for licenses to reproduce or distribute
software (reportable under transaction code 6.2), and leasing of
computers with an operator (reportable under transaction code 24).
12.2 Cloud computing and data storage services – Data processing
and hosting services (cloud services or “wiki”), such as data entry,
tabulation, and processing on a time-sharing basis; web page
hosting services; and provision of applications, hosting clients’
applications, and computer facilities management.
12.3 Other computer services – Customized software (however
delivered) and related licenses to use; the development, production,
supply, and documentation of customized software, including
operating systems, made to order for specific users; licenses to
use noncustomized software provided on a storage device with a
periodic license fee; sales or purchases of originals and ownership
rights for software systems and applications; hardware and
software consultancy and implementation services, including the
management of subcontracted computer services; hardware and
software installation, including installation of mainframes and central
BE-120 Instructions (03/2017)

computing units; maintenance and repairs of computers and
peripheral equipment; data recovery services; analysis, design,
and programming of systems ready to use (including web page
development and design), and technical consultancy related
to software; systems maintenance and other support services,
including training provided as part of consultancy.
13. Construction services – The creation, renovation, repair,
or extension of fixed assets in the form of buildings, land
improvements of an engineering nature, and other engineering
construction such as roads, bridges, dam, and so forth. Includes
related installation and assembly work. Includes site preparation
and general construction as well as specialized services such
as painting, plumbing, and demolition. Includes services of
general contractors in the field of building and heavy construction;
construction work by special trade contractors, such as the
erection of structural steel for bridges and buildings; and on-site
electrical work. Includes management of construction projects.
14.1 News agency services (excludes production costs related to
news broadcasters, see code 40) – Includes the provision of
news, photographs, and feature articles to the media; outlays by
U.S. newspapers, news syndicates, and news magazines for the
operation of their foreign news bureaus, and outlays by foreign
newspapers, news syndicates, and news magazines for the
operation of their U.S. news bureaus.
NOTE: Where a set of related expenditures was made in several
countries, but your recordkeeping does not permit a precise
allocation of expenses among individual countries, estimates
are acceptable. If no basis for such estimates exists, then you
may record the expenditures against the country in which the
activities were centered or headquartered. For example, a news
correspondent may conduct news-gathering activities in several
countries. Although it would be preferable to report newsgathering expenses in each of the several countries, all of the
expenses may, if necessary, be recorded against the country
where the foreign news bureau is headquartered, or where the
correspondent had the largest outlays.
Transactions previously reported on the 2011 BE-120 survey as
disbursements for news-gathering costs of print media under
transaction code 36 should be reported in this category.
14.2 Database and other information services – Business and
economic database services, including business news, stock
quotation, and financial information services; medical, legal,
technical, demographic, bibliographic, and similar database
services; direct non-bulk subscriptions (including online) to
newspapers and periodicals; and other information services,
including reservation systems and credit reporting and
authorization systems. For airline reservation systems, include
booking fees from foreign carriers for the use of your reservation
system, whether accessed directly or by a U.S. or foreign travel
agent. Include downloaded content that is not software or
audiovisual services.
15. Education Services – Includes services relating to all levels
of education whether delivered through correspondence
courses, via television, satellite, or the Internet, as well as by
teachers and instructors who supply services directly in host
economies. Transactions are included if the service providers
are not employees of the entity from whom they are paid.
Includes training provided via U.S. Agency for International
Development (USAID) contracts. Report amounts received from
USAID as receipts from unaffiliated foreign persons, and any
foreign expenses associated with such contracts as payments to
unaffiliated foreign persons.
Excludes tuition and fees charged to U.S. and foreign persons by
educational institutions when the students travel to the institution
for study (i.e., foreign exchange students). Also excludes training
provided by a manufacturer in connection with the sale of a good
(reportable under transaction code 19.2).
16.1 Architectural services – Includes architectural design related
to landscaping, urban planning, and other development projects;
and transactions related to the design of buildings.
16.2 Engineering services – Includes the provision of designs,
plans and studies related to engineering projects. Includes those
engineering services performed in conjunction with construction
and mining services projects. Includes services purchased in
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GENERAL INSTRUCTIONS – Continued
connection with proposed projects (e.g., feasibility studies) as well
as projects that are actually being carried out.
Excludes industrial engineering services, such as product design
services (reportable under transaction code 18). Excludes mining
engineering (reportable under transaction code 23).
16.3 Surveying, cartography, annd technical inspection services –
Includes surveying; cartography; and technical inspection services.
Includes any other services related to engineering, architectural,
and surveying services not included in 16.1 or 16.2.
Excludes geological surveying services (reportable under transaction
code 23).
17. Financial services (purchases only) – Includes payment of creditrelated fees, fees on securities transactions, and fees for other
financial services. This service is to be reported by nonfinancial
services companies only. Financial services companies would
report these services on the BE-185, Quarterly Survey of Financial
Services Transactions Between U.S. Financial Services Providers
and Foreign Persons. A copy of the form can be downloaded from
www.bea.gov/ssb.
Credit-related fees include fees for establishing, maintaining, or
arranging credit, letters of credit, bankers acceptances, mortgages,
factoring services, loan guarantees, etc., that are commonly
provided by foreign banking establishments. Include fees paid
directly and fees that are withheld or deducted from your proceeds
by the foreign person. For example, for factoring services, the fee
may be calculated as the difference between the proceeds you
received from the sale of your receivables and the face amount
of the receivables sold; for arranging credit, letters of credit, etc.,
it may be calculated as the difference between the proceeds you
received from the loan, letter of credit, etc. (after the deduction
of the fee) and your liability to the foreign lending establishment.
Report credit-related fees in the accounting period in which they
are incurred, whether or not expensed in that accounting period.
Excludes interest on your obligations, because interest is a
payment for the use of the loan proceeds and is not a fee for the
establishment, maintenance, or arrangement of credit.
Fees on securities transactions include commissions and other fees
for securities transactions (including transactions in derivatives)
or futures trading, such as brokerage, underwriting, private
placements, etc. Fees for such services would commonly be paid to
foreign investment banks and securities brokers or dealers. Include
fees that can be calculated from transactions records or other
documentation issued by the investment bank or security broker
or dealer. Omit, rather than attempt to estimate, these fees if they
cannot be calculated from such documentation. (For example, a
dealer’s markup on bond purchases and sales cannot be directly
estimated from transactions records issued by a securities dealer.)
Fees for other financial services include fees for asset/liability
management, debt renegotiation, and other financial services.
Excludes leasing (operational leasing services are reportable
under transaction code 24), and real estate management services
(management, consulting, and public relations services are
reportable under transaction code 21.3).
18. Industrial engineering services – Engineering services related to
the design of movable products, including product design services.
Excludes engineering and architectural services that relate to
actual or proposed construction services projects (reportable
under transaction code 16.1-16.3). Excludes computer systems
engineering (reportable under transaction code 12.3). Includes,
however, services performed with the assistance of computers,
such as computer-assisted design work.
19.1 Maintenance Services – Includes maintenance services primarily
to machinery and equipment. May also include small maintenance
work on buildings, structures, dams, highways, etc., but only to
the extent that the work is not reported under transaction code 13.
Includes such services as the periodic overhaul of turbines, the
extinguishment of natural gas well fires, and refinery maintenance.
Include maintenance and repair of ships, aircraft, and other transport
equipment only if such transactions are not reported on the BE-30,
Quarterly Survey of Ocean Freight Revenues and Foreign Expenses,
or the BE-37, Quarterly Survey of U.S. Airline Operators’ Foreign
Revenues and Expenses.
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Excludes computer maintenance (reportable under transaction code
12.3).
19.2 Installation, alteration, and training services – Includes only
installation, startup, and training services provided by a manufacturer
in connection with the sale of a good.
Excludes such services where the cost is included in the price of
the goods and not separately billed, or is declared as a part of the
price of the goods on the import or export declaration filed with the
U.S. Customs and Border Protection; however, services provided
at a price over and above that entered on the declaration should be
included. These services would be reported elsewhere if not received
in connection with the purchase of goods. For example, installation
of machinery and equipment is normally considered a construction
activity, and training personnel in the use of new machinery would
ordinarily be reported as an educational or training service.
20. Legal services – Includes services provided in a range of, or
in a specific area of law, such as criminal law, corporate law, or
real estate law. Includes the provision of other legal services by
businesses such as notary public services, patent agent services
and real estate settlement offices.
Excludes fines, penalties, and settlements imposed by courts of law
or other government bodies.
21.1 Market research services – Includes market research; and
telemarketing.
21.2 Public opinion polling services – Includes public opinion polling on
various issues.
21.3 Other management, consulting, and public relations services
(including allocated expenses) – Includes management services,
consulting services, public relations services, and amounts received
by a parent company from its affiliates for general overhead and
stewardship.
Excludes consulting engineering services related to actual or
proposed construction projects (reportable under transaction code
16.1-16.3); computer consulting (reportable under transaction code
12.3); and public relations services that are an integral part of an
advertising campaign (reportable under transaction code 10). Also
Excludes transactions between parent companies and affiliates
that are identifiable as arising from the provision of advertising,
accounting, legal, R&D, etc. services, even if these amounts
represent reimbursements of sums paid to third parties. That is,
transactions between parent companies and affiliates should not be
reported in management services if they can instead be reported in
another services category.
22. Merchanting services (net receipts, Schedule A only) – Sales of
merchanting services are equal to the difference between your cost
and the resale price of goods (such as crude oil, grain, and other
commodities) that are both purchased and resold abroad; that is,
the goods are neither imported to, nor exported from, the United
States and they do not undergo significant processing during the
time between when they are purchased and resold. Without regard
to whether you initially purchased the goods from an affiliated
or unaffiliated foreign person, report data for those transactions
according to the company’s relationship with the foreign entity
(foreign affiliate, foreign parent group, or unaffiliated foreign person)
to which the goods were resold. Only the “all countries total” (line
35 of Schedule A) is required to be reported for this service, even if
total sales exceed $2 million. The data that are voluntarily reported
by individual foreign country should be reported according to the
individual foreign countries to which the goods were resold (and not
the foreign countries from which the goods were purchased).
NOTE: Reporters of merchanting services must also complete Part
V of the survey.
23. Mining services – Includes drilling wells for oil or gas field
operations; exploration, including prospecting and taking ore
samples; grading and building foundations at well locations; well
surveying; and making geological observations. Includes services
purchased in connection with proposed projects (e.g. feasibility
studies) as well as projects that are actually being carried out.
24. Operational leasing – Rentals for computer and data processing
equipment; transportation equipment (such as ships, aircraft,
railway cars, containers, rigs automotive fleets, etc.) without crew or
operators (if crew or operators are provided, the fee is considered
BE-120 Instructions (03/2017)

GENERAL INSTRUCTIONS – Continued
to be for transportation services, which may be reportable on BEA
forms BE-9, BE-30, or BE-37. Go to www.bea.gov/ssb to determine
which forms cover your particular transportation services); and
rentals of other machinery and equipment. Include fees from rentals
of furniture, coin-operated machines, construction equipment (without
operators), and electronic equipment except computers.
Excludes rentals under leases that have been capitalized (capital
leases) and rentals of any items other than machinery and equipment.
For example, excludes rentals of office buildings and other real estate,
film rentals, and employee leasing.
25. Trade-related services, other than merchanting services –
Auction services (including online), transactions fees for business
to business (B2B) exchanges conducted over the Internet, and
commissions or “finders’ fees” to independent sales agents. Includes
fees received or paid for services that connect consumers and
independent service providers using web-based platforms if these
fees are received from or paid to foreign persons.
Excludes transactions that are between a foreign affiliate of the U.S.
Reporter and foreign clients, which are considered foreign-to-foreign
and, therefore, outside the scope of this survey. Excludes transactions
between the U.S. Reporter and other U.S. persons, which are
considered domestic transactions, and, therefore, outside the scope of
this survey.
26. Artistic-related services – Includes fees to performers (such as
actors, dancers, musicians, etc.), athletes, directors, and producers
involved with live events such as concerts, theatrical and musical
productions, sporting events, and similar events. To be reported by
(a) U.S. management companies, booking agents, promoters, and
presenters who received funds from or paid funds to foreign persons
for performances and events, and (b) U.S. performers who received
funds directly from a foreign person rather than through a U.S.
management company or similar entity. As used here, “performers”
means entertainers, sports teams, orchestras, dance companies,
lecturers, and similar persons or performing groups such as
artists, sculptors, authors, models, etc. Includes fees related to the
production of live performances and events.
Excludes fees paid to employees of the entity making payments, such
as foreign athletes who play for U.S. resident sports teams. Excludes
production costs related to radio and television programs and motion
pictures (reportable under transaction code 34).
NOTE: Transactions previously reported on the BE-120 and BE-125
surveys under transaction code 26, performing arts, sports, and other
live performances, presentations and events should be reported in
this category.
Note for transaction codes 27 and 28: When you report either transaction
codes 27 or 28, also report the other transaction. If there are transactions
for one of these but not for the other, label a column in Schedule B with the
number for the other transaction code and enter “NA” on line 36.
27. Primary insurance premiums (Schedule B only) – Premiums
(net of cancellations) paid to foreign insurance carriers. A U.S.
Reporter that is an insurance company should not report direct
transactions with a foreign insurance company. However, a U.S.
Reporter that is not an insurance company that purchased insurance
from an affiliated foreign insurance company (for example, a captive
insurance affiliate) should report those purchases here.
28. Losses recovered on primary insurance (Schedule B only) –
Losses recovered on insurance purchased from foreign insurance
carriers. A U.S. Reporter that is an insurance company should not
report losses with a foreign insurance company. However, a U.S.
Reporter that is not an insurance company that purchased insurance
from an affiliated foreign insurance company (for example, a captive
insurance affiliate) should report losses recovered here.
29.1 Research and development undertaken on a systematic basis
to increase the stock of knowledge – Includes work aimed at
discovering new knowledge or developing new or significantly
improved goods and services. Includes customized and noncustomized research and product development services. Includes
fees associated with the development of intellectual property
protected by patents, trademarks, or copyrights and fees for the
development of general use software, such as smart phone, tablet,
and personal computer (PC) applications.
29.2 Other research and development services – Includes basic and
applied scientific research; fees for the conduct of experiments or
BE-120 Instructions (03/2017)

performances of research and development activities aboard
spacecraft.
Excludes medical and dental laboratory services (reportable under
transaction code 32), and routine product testing services (reportable
under transaction code 40).
NOTE: Examples of research and development services are medical
research (pharmacology, medical devices, and diagnostic research);
development of general use computer software; biological research,
including biotechnology; nanotechnology; environmental technology;
imaging technology; and energy technology.
30. Telecommunications services – Telecommunications services
encompass the broadcast or transmission of sound, images,
data, or other information by telephone, telex, telegram, radio,
and television cable transmission, radio and television satellite,
e-mail, facsimile, and so forth, including business network
services, teleconferencing, and support services. They do not
include the value of the information transported. Includes mobile
telecommunications services, Internet backbone services, and
online access services, including provision of access to the Internet.
Excludes installation services for telephone network equipment
(reportable under transaction code 13) and database services
(reportable under transaction code 14.2). Excludes subscription
fees for cable or satellite television programming (reportable under
transaction code 4.1).
Includes services of the following types (to be reported in
aggregate, rather than as five separate types of services):
Message telephone services, telex, telegram, and other jointly
provided basic services – On Schedule A, report receipts from
foreign persons (communications companies and postal, telephone,
and telegraph, or PTT, agencies) for your share of revenues for
transmitting messages originating abroad to U.S. destinations. On
Schedule B, report payouts to foreign persons (communications
companies and PTT’s) for their share of revenues for transmitting
messages originating in the United States to foreign destinations.
For messages originating in foreign countries and routed through
the United States (for example, from Caribbean countries via the
United States to Western Europe), report receipts from the foreign
person originating the message and payouts to the country of
destination. Also report receipts for transmitting messages between
foreign points when not offered in connection with enhanced
services, call-back services, and other regulated services of the
type reportable to the FCC on Report 43.61.
Private leased channel services – On Schedule A, report receipts
from foreign persons for circuits and channels terminating in the
United States and for circuits and channels between foreign points.
On Schedule B, report payouts to foreign persons (communications
companies and PTT’s) for leased channels and circuits terminating
in foreign countries.
Value-added (enhanced) services – Telecommunications
services that add value or function above and beyond the
telecommunications transport services that deliver the value-added
services to end users. They can include (a) e-mail, voice mail,
code and protocol processing, and management and operation
of data networks; (b) facsimile services and video-conferencing;
(c) Internet connections (online access service including Internet
backbone, router services, and broadband access services); (d)
satellite broadcasting business communication and paging services
provided by satellite connections; (e) telephony, interactive voice
response, virtual private networking, remote access service, and
voice over IP; and (f) other value-added (enhanced) services.
Support services – Services related to the maintenance and
repair of telecommunications equipment and ground station
services. Do not include installation services for telephone network
equipment (reportable under transaction code 13).
Reciprocal exchanges – Includes the value of reciprocal
exchanges; i.e., transactions involving barter. On Schedule A, value
your sales to the foreign participant in the reciprocal exchange at
market rates, not at the actual cost of performing the services. On
Schedule B, value your purchases from the foreign participant at
the same amounts as the sales reported on Schedule A.
32. Health services – Includes general and specialized human health
services provided by hospitals, doctors, nurses, etc., as well as
laboratory, diagnostic, and similar services, whether provided
Page 29

GENERAL INSTRUCTIONS – Continued
remotely or on-site in the host economy. Includes diagnostic-imaging
services, as well as pharmaceutical, radiology, and rehabilitation
services. Transactions are included if the service providers are not
employees of the entity from whom they are paid.
Excludes health services provided to non-residents who are present
in the territory of the service provider (i.e., foreign patients treated in
the United States or vice-versa). Excludes veterinary services, which
are included in agricultural services under transaction code 40.
NOTE: Transactions previously reported on the 2011 BE-120 survey
as medical services under transaction code 36 should be reported in
this category.
33. Heritage and recreational services – Includes amounts received
or paid for services associated with museums and other cultural,
sporting, gambling, and recreational activities, except those acquired
by persons traveling outside their country of residence. Gambling
includes service charges receivable or payable to the unit organizing
the lottery or gambling. Includes online gambling.
34. Audiovisual and production services – Includes receipts and
payments for the production of motion pictures (on film, videotape,
disk, or transmitted electronically), radio and television programs (live
or on tape) and musical recordings.
Excludes production costs related to performing arts and other live
events, which are included in transaction code 26.
NOTE: Transactions previously reported on the 2011 BE-120 survey
as production costs of motion pictures, television programs, and
broadcast program material other than news under transaction code
36 should be reported in this category.
35. Contract manufacturing services – Contract manufacturing
services cover processing, assembly, labeling, packing and so
forth on materials and physical components owned by others. The
manufacturing is undertaken by a business that does NOT own the
goods—the “manufacturing service provider”—and that is paid a fee
by the owner of the goods. Ownership of the goods does not transfer
to the manufacturing service provider. Examples of processes that
are often conducted under contract manufacturing arrangements
include oil refining, liquefaction of natural gas, assembly of clothing,
electronics and other goods, and labeling and packing (excluding
those incidental to transport).
NOTE: Reporters of sales of contract manufacturing services on
Schedule A must also complete Part III. Reporters of purchases of
manufacturing services on Schedule B must also complete part IV.
36. Disbursements for sales promotion and representation –
Funding to maintain sales promotion and representative offices.
Sales promotion offices typically have few assets other than office
furniture; to the extent that their employees are compensated by
commissions, the commissions arise only from sales or business
that the employees generate for their U.S. or foreign parents; they
do not produce revenue, other than funds from their parents to
cover their expenses; and they are engaged only in sales promotion,
representational, and public-relations type activities. Report the funds
to maintain this type of office as a transaction with an unaffiliated
entity as opposed to a transaction with an affiliated foreign person.
Excludes exhibition services provided by trade fairs (reportable under
transaction code 39).
37. Photographic services (including satellite photography services)
– Includes all photographic services undertaken on an ad-hoc or
contract basis. Includes remote sensing/satellite imagery services.
Excludes fees paid to a database of stock photographs (reportable
under transaction code 14.2).
38. Space transportation services – Includes satellite launches,
transport of goods and people for scientific experiments, and space
passenger transport.
39. Trade exhibition and sales convention services – Includes foreign
expenses incurred by U.S. persons participating in foreign trade shows;
exhibition services provided by trade fairs.
40. Agricultural services – Soil preparation services, crop services,
veterinary and other animal services, farm labor and management
services, and landscape and horticultural services.
41. Waste treatment and depollution services – Treatment of
radioactive and other waste, stripping of contaminated soil, cleaning
Page 30

up of pollution including spills, restoration of mining sites, and
decontamination and sanitation services. Includes all other services
that relate to the cleaning or restoring of the environment.
42. Other selected services n.i.e. (not included elsewhere) – When
reporting data under this transaction code, also identify the specific
type of transaction from the list below accounting for the largest
share of the reported total on line 36 of Schedule A or B.
Excludes travel, transportation, insurance, financial services, and
expenditures by students and medical patients who are studying
or seeking treatment in a country different from their country of
residence, which are outside the scope of this survey, as described
in I.B.
This category includes, but is not limited to, the following types of
services:
Note for miscellaneous disbursements: Where a set of
related expenditures was made in several countries, but your
recordkeeping does not permit a precise allocation of expenses
among individual countries, estimates are acceptable. If no basis
for such estimates exists, then you may record the expenditures
against the country in which the activities were centered or
headquartered. For example, a news correspondent may conduct
news-gathering activities in several countries. Although it would
be preferable to report news-gathering expenses in each of
the several countries, all of the expenses may, if necessary, be
recorded against the country where the foreign news bureau is
headquartered, or where the correspondent had the largest outlays.
Disbursements to fund news-gathering costs of broadcasters
– U.S. broadcasters’ outlays to fund operations of their foreign news
bureaus and for support of correspondents in foreign countries, and
foreign broadcasters’ outlays to fund operations of their U.S. news
bureaus and for support of correspondents in the United States.
(See note above.)
Disbursements to fund news-gathering costs of print media –
Outlays by U.S. newspapers, news syndicates, and news magazines
for the operation of their foreign news bureaus, and outlays by
foreign newspapers, news syndicates, and news magazines for the
operation of their U.S. news bureaus. (See note above.)
Disbursements to maintain government tourism and business
promotion offices – Funding to maintain State tourism and
business promotion offices located abroad, and funding to maintain
foreign government sponsored tourism and business promotion
offices located in the United States. (See note above.)
Disbursements for sales promotion and representation –
Funding to maintain sales promotion and representative offices.
Sales promotion offices typically have few assets other than office
furniture; to the extent that their employees are compensated by
commissions, the commissions arise only from sales or business
that the employees generate for their U.S. or foreign parents;
they do not produce revenue, other than funds from their parents
to cover their expenses; and they are engaged only in sales
promotion, representational, and public-relations type activities.
Report the funds to maintain this type of office as a transaction with
an unaffiliated entity as opposed to a transaction with an affiliated
foreign person. (See note above.)
Employment agencies and temporary help supply services –
Employment services and provision of temporary help and personnel
to perform services on a contract or fee basis. Where workers are
carried on the payroll of the agency, includes amounts received or
paid for the compensation of workers as well as agency fees.
Mailing, reproduction, and commercial art – Direct mail
advertising services; mailing services, such as re-mailing
services in connection with direct mail advertising; commercial
photography, art, and graphic services; address list compilation;
and stenographic services.
Other services n.i.e. (not included elsewhere) – Report
transactions in the following types of services: language translation
services, salvage services, security services, collection services,
and transcription services. Also include services not elsewhere
classified, except those that are outside the scope of this survey.
See I.B. for a definition of services covered by the BE-120 survey
that – when considered in connection with service categories 9
through 39 above – also helps to describe what transactions are
reportable in this category.
BE-120 Instructions (03/2017)

GENERAL INSTRUCTIONS – Continued
V. REPORTING PROCEDURES
A. Due date and extensions – A completed BE-120 is due by June 30,
2018. However, BEA recognizes the burden imposed by this and
other surveys with 2018 filing deadlines. BEA is therefore providing
extensions of the BE-120 due date as outlined below.
Automatic extensions:
1) File with BEA no later than July 30, 2018 if the U.S. Reporter was
notified of the BE-120 survey by BEA and has a BE-120 identification
number below XXXXXXXXX.
2) File with BEA no later than August 30, 2018 if the U.S. Reporter was
notified of the BE-120 survey by BEA and has a BE-120 identification
number above XXXXXXXXX.
3) File with BEA no later than July 30, 2018 if the U.S. Reporter was
NOT notified of the BE-120 survey by BEA and does NOT have a BE120 identification number.
Extensions requiring requests:
1) If the automatic extension described in 1 or 2 above applies, and
you need to request time beyond the automatic extension, you may
call BEA at (301) 278-9303 or send a written request via e-mail to
[email protected]. BEA will consider extensions of up to an
additional 30 days if a request is submitted by July 30, 2018.
2) If the automatic extension described in 3 above applies, and you need
to request time beyond the automatic extension, you may request an
extension of up to an additional 60 days by following the instructions
at www.bea.gov/ssb/be120 and by providing the information
requested by July 30, 2018. Following the instructions referenced
above will enable BEA to assign the U.S. Reporter an identification
number that can also be used to access BEA’s eFile system.

B. Assistance and additional copies of the forms – Phone
(301) 278-9303 for assistance. Copies of BEA survey forms are also
available on BEA’s web site: www.bea.gov/ssb.
C. Rounding – Report currency amounts in U.S. dollars rounded
to thousands (omitting 000). For example, if the amount is
$1,334,515.00, report it as $1,335.
D. Estimates – If actual figures are not available, report estimates and
label them as such. When data items cannot be fully subdivided as
required, report totals and an estimated breakdown of the totals.
E. Original and file copies – File a single original copy of the form.
Please use the copy with the address label if such a labeled copy has
been provided. In addition, retain a copy of the report in your files to
facilitate resolution of problems; these copies should be retained by
the U.S. Reporter for a period of not less than three years beyond the
original due date.
Where to send the report – To file a report electronically see our web
site at www.bea.gov/efile for details.
Send reports through the U.S. Postal Service to:
Bureau of Economic Analysis
Balance of Payments Division, BE-50 (SSB)
4600 Silver Hill Rd.
Washington, DC 20233
Send reports by direct private express delivery to:
Bureau of Economic Analysis
Balance of Payments Division, BE-50 (SSB)
4600 Silver Hill Rd.
Suitland, MD 20746
Fax reports to: (301) 278-9507

Please visit www.bea.gov/efile for details about using BEA’s online
eFile system.

BE-120 Instructions (03/2017)

Page 31

OVERFLOW FOR SCHEDULES A OR B OF FORM BE-120,
BENCHMARK SURVEY OF TRANSACTIONS IN SELECTED SERVICES AND
INTELLECTUAL PROPERTY WITH FOREIGN PERSONS
Company Name

Control Number

Form BE-120 Schedule ____ (Enter “A” or “B”)

Overflow Page# ____ of ____

REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1,556)
BEA
USE
ONLY

Country

Transaction Code
____________________
Foreign affiliates

BEA USE ONLY ____________ 00.
Country total for this page
(sum of 39–64). . . . . . . . . . . . . .

01.

Foreign parent group

000

4
4

000
39.
40.
41.
42.
43.
44.
45.
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
61.
62.
63.
64.

000

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

Unaffiliated foreign persons
5

000
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4

000

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

000
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

NOTE — Use this overflow sheet if there is insufficient space on Form BE-120, Schedules A or B, to list every individual foreign country with which you
had transactions. The overflow sheet is also available in Microsoft Excel format. If you wish to receive a copy of the Excel file, send an e-mail message to
[email protected] with your request and we will reply to you with the file attached to our message.
Page 32

BE-120 Instructions (03/2017)

OVERFLOW FOR SCHEDULES A OR B OF FORM BE-120,
BENCHMARK SURVEY OF TRANSACTIONS IN SELECTED SERVICES AND
INTELLECTUAL PROPERTY WITH FOREIGN PERSONS
Company Name

Control Number

Form BE-120 Schedule ____ (Enter “A” or “B”)

Overflow Page# ____ of ____

REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1,556)
BEA
USE
ONLY

Country

Transaction Code
____________________
Foreign affiliates

BEA USE ONLY ____________ 00.
Country total for this page
(sum of 39–64). . . . . . . . . . . . . .

01.

Foreign parent group

000

4
4

000
39.
40.
41.
42.
43.
44.
45.
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
61.
62.
63.
64.

000

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

Unaffiliated foreign persons
5

000
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4

000

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

000
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5

000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000
000

Page 33

OVERFLOW FOR SCHEDULE C OF FORM BE-120,
BENCHMARK SURVEY OF TRANSACTIONS IN SELECTED SERVICES AND
INTELLECTUAL PROPERTY WITH FOREIGN PERSONS
(Only transaction codes 13, 16.1–16.3, and 23 are to be reported on this schedule. Do not combine service types.)
Company Name

Control Number
Overflow Page# ____ of ____
REPORT IN THOUSANDS OF U.S. DOLLARS (e.g., report $1,555,555.00 as 1,556)
Transaction Code
____________________

BEA
USE
ONLY

Country

Foreign affiliates
Gross
operating
revenues

Goods
exports

Foreign parent group

Foreign
expenses

Gross
operating
revenues

Goods
exports

Unaffiliated foreign persons

Foreign
expenses

Gross
operating
revenues

Goods
exports

Foreign
expenses

BEA USE ONLY ____________ 00.
Country total for this page
(sum of 39–62). . . . . . . . . . . . . .

01.

39.
40.
41.
42.
43.
44.
45.
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
61.
62.
NOTE — Use this overflow sheet if there is insufficient space on Form BE-120, Schedule C , to list every individual foreign country with which you had
transactions. The overflow sheet is also available in Microsoft Excel format. If you wish to receive a copy of the Excel file, send an e-mail message to
[email protected] with your request and we will reply to you with the file attached to our message.
Page 34

BE-120 Instructions (03/2017)

File Type	application/pdf
File Title	untitled
File Modified	2017-05-12
File Created	2017-05-12