QUESTION
If a US company hires an offshore contractor, what are the tax implications?
Asked on Jan 04th, 2013 on Taxation - Washington
More details to this question:
Since the services are performed outside of US and the contractor is not a US citizen, is the US company required to withheld any taxes?
1 ANSWER
If the person performing the services lives outside the US and performs the services outside the US, then the US company is not required to withhold any taxes. The US company can treat the person performing the services as an independent contractor.
Answered on Jan 10th, 2013 at 11:04 PM