A client has been short paid by a US customer and supplied with a 1042-S form showing $46.35 withheld as Federal tax.
How does he get that back?
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It depends on what it was withheld from. What Code was used? If I was withholding on, say, dividends, the client would claim credit in the UK.
it was
It is shown as "code income 12".
The client is a limited Co selling recordings of religious services
For 2014 Code 12 was Royalties. The company can file a US corporate return Form 1120-F to reclaim the withholding tax arguing that it is treaty exempt. Printing paper, toner and postage may exceed the cost of preparation.