Contact UsI am the owner of an LLC based in Wisconsin. I would like to confirm that if I work in the USA as a consultant for companies/entities from France, Belgium, England, Sweden and Switzerland, that I would not be subjected to taxes in these countries on my income. However, if I was to travel and do work in the country for these companies, I might be taxed and it would be my responsibility to file with both the USA and the European country. What would I need to do? Thank you!
Can you help me with what documents might be needed and how to go about doing this, as I may need to adjust my consulting agreement taking in consideration this additional tax.
I don't anticipate large sums of money involved here, probably between $10 and 25,000, unlikely more.
Of course, the USA will have 100% visibility to the income. Thank you!
I don't anticipate large sums of money involved here, probably between $10 and 25,000, unlikely more.
Of course, the USA will have 100% visibility to the income. Thank you!
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Tax Professional Answers
Chuck Heyde, CPA, CGMA
From an individual income tax perspective, you are correct. The US and most other countries tax income at the source. So if you do all the work in the US, you would pay taxes in the US. If you travel to some other country and work there, that country would want a piece of the pie....
PS - Watch out for "VAT" (Value Added Tax). It is kind of like sales tax in Europe. So long as you plan for it, it should not be a problem.
Good luck.
Chuck Heyde
www.GEMMS.us
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609 weeks ago
PS - Watch out for "VAT" (Value Added Tax). It is kind of like sales tax in Europe. So long as you plan for it, it should not be a problem.
Good luck.
Chuck Heyde
www.GEMMS.us
Question Owner
Thanks, Chuck! That is at least a start. Now, does the VAT vary from country to country or with the amount for the year? Certainly appreciate your very rapid response already!
Jean-Luc
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609 weeks ago
Jean-Luc