Wednesday, January 7, 2009

Re: [asterisk-biz] OT: Paying people in faraway (Western) places.

On Wed, 2009-01-07 at 18:58 -0500, Alex Balashov wrote:
> In this case I am more interested in the interactions with UK law than
> anything else. My understanding of US law suggests pretty clearly that
> I don't have to do anything on the US side for someone who is neither a
> US/territory resident nor a US citizen. I hope my understanding is correct.
>
verify that, its not right. Even if they are contractors not employees
you still have to submit a 1099 to the irs for them. They have to get a
TIN (like a ssn but just for tax purposes), they have to file US taxes,
etc.

If they are a real employee and not a contractor then they have to have
a W4 filled out and all that too, which can make it even uglier since
you have to do withholdings, and money they earn in their home country
can affect their tax rate in the US. Its a whole big steaming pile of
fish poo.

In general the US taxes globally if they can get away with it, and they
write the laws so guess how much they can get away with :) I strongly
suggest that you talk to a qualified tax person about this...

--
Trixter http://www.0xdecafbad.com Bret McDanel
pgp key: http://pgp.mit.edu:11371/pks/lookup?op=get&search=0x8AE5C721

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