Somebody’s ringin’ the bell.” -Paul McCartney
This time of year I’m buzzing around trying to collect outstanding W-9 forms from all the subcontractors my clients have worked with.
Can you guess the subcontractor who doesn’t get a Form 1099 for non-employee compensation? Anyone who lives and performs the the work abroad!
That’s right- if the contractor is not a U.S. taxpayer and the services were performed outside the U.S. they do not get a Form 1099. Instead, you will need to have them complete a Form W-8BEN. This form certifies that they are not a U.S. taxpayer. The form is for your files only. Attach it to the vendor profile in your bookkeeping software. Keep it safe and secure in case the IRS ever comes knockin!
#knowyourbusiness #ildertonbookkeepingllc #locallove #shopcharleston #shopcharleston #smallbusiness #smallbusinesstaxes #form1099 #formw8ben