How do I tax foreign contractors working from outside the US for a US Corporation?
How do I show it in the books?
AtlantaTaxExpert
Dec 6, 2006, 04:25 PM
U.S. taxes do not apply to foreign citizens working outside the United States, even if the corporation is U.S.-based. The local tax laws do apply, however.
You show the salary paid as salary and taxes collected and paid as taxes.