Quote:
Originally Posted by Sunny Day
The statement
"If you are not a US citizen/company etc and do not own any property in the US and have no employees in the US, you must not file a w8ben form. If you do, then you're making a false statement."
IS TOTALLY INCORRECT
The fact that a US corporation is paying you, makes it US income, unless you fill out a W8 to prove you are not a US corporation or citizen.
You fill out the W8, the IRS won't tax you. However, they will report that money to the country you are in, if they have a tax treaty.
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W8ben applies to US
sourced income. "Sourced" refers to where the work was done, not where the one paying is located.
When you as an American visit Amsterdam, do you refuse to pay for your hotel room unless the hotel provides you with a w8 form?
When you as an American order a coffee in Paris, do you withhold 30% the price unless the waitress gives you a w8 form?