Contracting for a US company, tax forms?

donncha

Registered User
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Hello

I'm an Irish citizen and resident about to work on a contract for a US company. I don't have a US bank account or SSN.

They have asked me for a form W9 to get set-up for payment.

From a search I think I actually need to provide a form W-8, as I'd not be liable for US tax, but I'm not clear. Can anyone help point me at a resource that explains what I need to do?

Many thanks
D
 
I think you're right - the W-8 is the form to fill out. In my experience, many US companies aren't aware of the W-8 - the standard form for them would be the W-9. The W-9 is only for US people, and that is stated on the form so it should be easy enough to explain to them.
 
Thanks WS.
I've used the W8 before, for online stock accounts, but I'm not sure if it applies beyond that. There seem to be some variations on the form, I will read into it more.
I have been trawling the US revenue site, and one thing is for sure, I will never ever complain about the complexity of our own tax system again! Their's is a monster.

Edit: also, I think I may be wrong about not being liable for US tax.
 
donncha,

is your contract direct with the company or through an agency... if an agency they should be helping you in this regards as it can be complicated, my company have some experience of this in the past, did the client assist you in getting a visa or are you an american citizen ?
 
Legend
No visa or agency - I am Irish citizen & taxpayer, doing the contract from Ireland, no reason to visit the US.
So far, I think I just have to submit a W-8BEN, and will not be subject to US taxes. I have a query in to the IRS and waiting to hear.
I will post back here when it is all sorted. Hoping it is less complicated than I originally thought.
D
 
This is the reply I received from the IRS. In short: W-9 wrong, W-8BEN correct.

Thank you for your inquiry. We apologize for the delay in our response. Yes the United States and Ireland have entered into a tax treaty to avoid double taxation. You can find the treaty along with a technical explanation of the treaty on our web site. If you are a U.S. nonresident alien, the Form W-9, Request for Taxpayer Identification Number and Certification, would not be the appropriate form to you to file. Please refer to the following information. Form W-9, Request for Taxpayer Identification Number and Certification, is used to request the taxpayer identification number (TIN) of a U.S. person (including a resident alien) and to request certain certifications and claims for exemption. Withholding agents may require signed Forms W-9 from U.S. exempt recipients to overcome any presumptions of foreign status.

You must give Form W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding, to the withholding agent or payer (not the I.R.S.) if you are a foreign person and you are the beneficial owner of an amount subject to withholding. Submit Form W-8BEN when requested by the withholding agent or payer whether or not you are claiming a reduced rate of, or exemption from, withholding. A foreign person includes a nonresident alien individual, a foreign corporation, a foreign partnership, a foreign trust, a foreign estate, and any other person that is not a U.S. person. It also includes a foreign branch or office of a U.S. financial institution or U.S. clearing organization if the foreign branch is a qualified intermediary. Generally, a payment to a U.S. branch of a foreign person is a payment to a foreign person. Failure to provide a Form W-8BEN when requested may lead to withholding at a 30% rate (foreign-person withholding) or the backup-withholding rate. For more information, please refer to the instructions for the above mentioned forms. Thank you for using our system.
 
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