A worker from Philippines have to pay US taxes?

Viltedali

Viltedali

Regular Member
Joined
Feb 10, 2008
Messages
310
Reaction score
34
If a person from the Philippines does steady coding work for a person in the US, will they have to pay US taxes on their earnings coming from the person in the US?

I think that a 1099 form would need to be filed, just wondering if taxes would have to be paid.
 
Advertise on BHW
I doubt it, but the person in US won't be able to claim the worker
(i don't have any experience with this, so im just guessing)
 
Don't know how. The worker in the Philippines doesn't have a social security number with the IRS, so can't see how it would be reported. The US company or business paying for the work might be required to withhold the tax, but that's the only way I could see it happening.
 
Phillipines worker is in the clear and couldn't possible be expected to pay or be penalized if he didn't but I am sure the US corp is responsible for all withholding, etc.

probably a few extra hoops your company has to jump through for outsourcing like this.
 
US government cannot ask people from other countries to pay taxes to them. They have NO jurisdiction there.

Only countries that have tax agreement (US-Canada, European Union) can ask for taxes to be paid for service sold on their territory (without double taxation ofc).

Good Luck!
 
I dont think people in the US would pay the taxes in the Philippines if the situation was reverse.

I think just pay your own Country is the rule for the world.
 
but I am sure the US corp is responsible for all withholding, etc.
Click to expand...

So, I'd have to pay for having him do work? I mean, if I paid him $5000 over the course of the year, I'd be responsible for paying taxes on that, as I imagine I can't just mark the $ paid to him as an expense, rather than doing a 1099?
 
The worker is required to pay his taxes in the country he is residing in.
So no he wont pay any taxes to the US gov.
The US company has no right to withold taxes from a person residing in another country, unless he is a US citizen, whereby he would be responsible for paying his own taxes,

The company or person hiring a worker in a foreign country , just needs an invoice for the payments made, He can then put this down as business expense,
So there is no taxes to be paid in the US on this money.

Hope this helps
 
The Person from the Philippines would be taken care of by their own government, coming after their taxes. You just need the invoice from them, showing that you are getting either a service or a product from them.
 
We are on BH forum and you wonder if your contractor from Philippines should pay his taxes in US or You should pay taxes for him...


Common Man...
 
We are on BH forum and you wonder if your contractor from Philippines should pay his taxes in US or You should pay taxes for him...
Click to expand...

Yes.


Common Man...
Click to expand...

I suppose, but if I keep my nose to the grindstone, maybe one day I'll be a mastermind like yourself.:)
 
The person in the Philippines would not have to pay US taxes, only in their own country. You need to deduct from your taxes what you paid them. Look up the rules for foreign contractors. I would have them invoice you for their pay and thus you have a good solid record for your taxes and can deduct that money in the proper way when you file your taxes.
 
Advertise on BHW
You must log in or register to reply here.
Sign up now!

Main Menu

Home Main Forum List Black Hat SEO White Hat SEO BHW Newbie Guide Blogging Black Hat Tools Social Media Downloads

Marketplace

Account Selling Content / Copywriting EBooks / Methods Hosting Misc Proxies For Sale SEO - Link building SEO - Packages Social Media Social Media - Panels Web Design More

Making Money

Affiliate Programs Hire a Freelancer IM Journeys Making Money Pay Per Click Site Flipping Want to Buy

BlackHat World

Dispute Resolution Forum Suggestions & Feedback Introductions Lounge
Back
Top